How does Uphold shield me from bitcoin volatility?
Bitcoin's value fluctuates greatly relative to fiat currencies, such as the U.S. dollar and the euro. The Bitcoin Network has many attributes — it's a fast, low-cost way to transfer value peer-to-peer without involving much slower and more expensive banks. However, bitcoin's volatility relative to fiat currencies, and general lack of familiarity with bitcoin, make it very difficult to use for most commercial transactions. Uphold solves this problem by enabling you to hold bitcoin denominated as the money you use every day. This cloud money is as stable as its physical counterparts with all the benefits of digital - instant, transparent and free to store and send.
As an Uphold member, you can hold your bitcoin in as many as fiat currencies, but still transfer value in and out as bitcoin using the Bitcoin Network. If you buy a bitcoin for $1,000, you can protect that value by denominating it in Uphold as U.S. dollars. If the price of bitcoin drops to $100, you would still have $1,000 on your Uphold U.S. dollar card that you could then use to send approximately 10 bitcoin over the Bitcoin Network.
Alternatively, you can send that $1,000 to other Uphold members instantly and for free as USD. If you want to hold your money in Uphold as volatile bitcoin rather than any of our available currencies or precious metals, you can do that too.