As An Alternative To Currency, Bitcoin Is A Flexibility Option When Economic Conditions Are Not Stable

JAKARTA - In May, China's Central Bank experienced a significant slowdown in its gold purchase, signaling a potential change in strategy. This is happening amid increasing global geopolitical tensions and efforts by countries to seek alternative reserve currency.

Since the beginning of the 21st century, China has consistently bought gold to secure profits from trade surpluses and as an alternative to the dollar. The decline in gold purchases shows a shift in the country's foreign exchange reserve policy, which has a potential to have a significant impact.

Oscar Darmawan, CEO of IDODAX revealed, because of the shift in global geopolitical, diversification is important because diversification also protects against the negative impact of political or economic instability in one region, as well as fluctuations in exchange and inflation.

"This increase in tension has prompted several countries to look for alternatives in their reserve currency," said Oscar, in a written statement, Saturday, June 15.

Oscar added, in seeking alternatives, Bitcoin emerged as an attractive option. Bitcoin offers an advantage as an asset that is not linked to a country's monetary policy and has decentralized properties that make it more resistant to political pressure and external sanctions.

He also highlighted that Bitcoin has proven to be an effective investment tool for investors seeking growth opportunities and protection against conventional currency fluctuations.

El Salvador became the first country to adopt Bitcoin as an official foreign exchange in September 2021, under the leadership of President Nayib Bukele. The main goal of this step is to increase financial inclusion, attract foreign investment, and reduce the cost of sending money to citizens working abroad, El Salvador integrates Bitcoin in its national financial system to achieve long-term economic benefits.

On the other hand, in investing in crypto assets such as Bitcoin, platforms such as INDODAX provide easy and secure access for investors to buy and sell Bitcoin as well as various other crypto assets. INDODAX offers a variety of features that make it easier for users, and secure security.

In addition, one of the investment approaches that can be considered is the Dollar Cost Averaging (DCA) method. DCA techniques are strategies where investors divide the total amount to be invested in the same periodic purchases, regardless of the price of the asset.

By doing this, investors can reduce the impact of market volatility and avoid the risk of making large investments at peak prices. In the long term, DCA can help create a more stable average cost for invested assets, including Bitcoin.

Through the 'Regular Investment' feature on platforms like INDODAX, this can be an effective way to protect and optimize investment for profit.