How To Turn Bitcoin’s Volatility to Your Advantage?

After Bitcoin’s phenomenal run from around 3800 USD to 69000 USD to 15400 USD in 2020-2022, many Bitcoin doubters ran victory laps declaring Bitcoin’s yet-another death. Meanwhile, many people regarding Bitcoin as a long-term savings instrument kept calmly accumulating more Bitcoin, unphased by the spectacular volatility caused by the drastic changes in central bank monetary policies and dodgy business practices of non-Bitcoin-focused crypto companies, such as FTX.

At the time of writing, Bitcoin’s USD price is comfortably over 25000 USD, and its recent price rise has contrasted dramatically with the string of bank failures in the US and Europe. People calling Bitcoin a bubble have an increasingly challenging time convincing people, as Bitcoin rises to higher highs, then sinks to higher lows, only to reach new higher highs repeatedly in roughly four-to-five-year cycles.

For people appreciating the essential features of Bitcoin, the rise in the asset’s value is a mathematical near-certainty, as the practically unchangeable 21 million Bitcoin hard-cap creates extreme demand-vs-supply dynamics during bull markets when Bitcoin’s price appreciation attracts millions of new investors from the world’s eight billion people. As a nascent digital sound money, Bitcoin’s price will repeatedly rise to new heights and drop over 50% after the euphoria turns into panic. Still, with a five-year holding period, every Bitcoin purchase has been profitable in USD terms.

Bitcoin experts expect the asset’s price volatility to reduce as Bitcoin’s market cap grows, but until then, the roller coaster ride will be wild. This unpredictability of Bitcoin’s short-term price has created a movement of people dollar-cost-averaging (DCA) into Bitcoin, in other words, buying Bitcoin for a set amount of dollars, for instance, 10 USD, automatically daily, weekly, or monthly. A testament to the power of the DCA savings strategy is that if you had started buying 10 USD of Bitcoin every day on the day when Bitcoin reached its all-time high of 69000 USD in 2021, you would be sitting on solid profits today, even with Bitcoin’s price under 30000 USD.

Don’t Build from Scratch; use Hatch.

The magic of low-time preference, patience, and people’s growing motivation to save in Bitcoin inspired us to create Hatch. This white-label Bitcoin savings platform makes launching Bitcoin DCA services remarkably easier than building a similar platform from scratch. Hatch includes all the essential features one expects from a Bitcoin DCA app:

• Account creation
• One-time purchases
• Automated DCA purchases
• Highly secure custodial Bitcoin wallet
• Easy Bitcoin withdrawals to personal non-custodial wallets
• Educational content for teaching people the basics of Bitcoin

Our team built and launched a Bitcoin broker service already in 2013. We used our ten years of experience building Bitcoin services to make Hatch an extremely efficient and versatile white-label software platform.

Oivan can offer Hatch as a pure technical backend system, allowing the client’s team to build the user interfaces and internal dashboards to their liking, or as a fully customized turn-key solution, including world-class mobile apps. As Oivan is a digital transformation consultancy, we make the most of our business by selling our deep digitalization expertise to clients. Therefore, we can offer flexible licensing terms for using the Hatch platform. One of Oivan’s three core values, Fellowship, directs us to seek win-win solutions with our partners and clients.

Hatch is ideal, for instance, for digital banks wanting to offer Bitcoin saving as a feature inside their existing banking apps. Bitcoin saving can appear as a new service under the list of value-added services the bank provides for its clients, next to stock market investing. Hatch is also perfect for startups wanting to launch a service similar to Swan Bitcoin in the USA or Relai in Europe without building everything from scratch.

We see fantastic opportunities in launching Bitcoin-only savings-focused services in emerging markets, such as the Middle East and Southeast Asia, once the regulatory framework allows for such services. With Hatch and Oivan’s expertise, companies can prepare for the coming bloom of Bitcoin savings services and be ready to launch the day it becomes legally possible.

Meet Me at Bitcoin 2023& Nordic Fintech Summit 2023

This week’s Thursday, 11 May, I will attend the Nordic Fintech Summit 2023 in Helsinki. Next week 18-20 May, I will attend the world’s premier Bitcoin event, Bitcoin 2023, in Miami, USA. At the events, I am happy to meet with anyone interested in using Hatch technology, and Oivan’s digital transformation expertise, to build business opportunities around Bitcoin saving. You can DM me on Twitter or the Brella networking app to schedule a time to speak at the events.

A very positive trend in the past 12 months has been the focus of bitcoiners shifting from recommending that people buy Bitcoin to suggesting that people study Bitcoin. Learning about Bitcoin is a fascinating rabbit hole of learning what money is, how the current debt-based fiat system works, and how open-source technologies such as Bitcoin can bring everyone equal opportunities for financial inclusion.

For anyone who spends more than 100 hours studying Bitcoin, perhaps reading Saifedean Ammous’s classic book The Bitcoin Standard, or watching YouTube videos featuring the human rights activist Alex Gladstein or the Microstrategy CEO Michael Saylor, the likelihood of buying Bitcoin typically increases. The least risky way to save in Bitcoin is to DCA, and arguably the least complicated way to launch a Bitcoin DCA savings app is to use our Hatch platform as its foundation.