Difference Between Bitcoin and Shares

When most people hear terms such as trading, investment, ROI, and equity, they immediately think of stocks and shares. There are countless individuals and businesses active on the stock market, turning profits and facing losses. Buying shares of a promising company is an established way of investing for the future, and many have amassed great fortunes on this route. 

There are also many who believe that the crypto market has the same investment potential as the stock market. The staggering growth of Bitcoin over the last decade has caught the eye of many prospective investors who are currently trading stocks and shares.  

Do you want to explore the difference between Bitcoin and shares? This article will help you greatly! But first, let’s get an overview of how Bitcoin and shares work. 

Photo by CardMapr on Unsplash 

Bitcoin and Shares: An Overlook

Bitcoin, like any other cryptocurrency, is a purely digital asset. That’s the main difference between gold and Bitcoin. Bitcoin is not governed by a centralized entity such as the government, and it operates on an infrastructure known as the blockchain. It’s encrypted chiefly via a secret private key that is protected by a hardware or software wallet. Many online and offline retailers have accepted Bitcoin as a payment medium to buy goods and services in the last couple of years. 

As you already know, the price of a share determines the value of the company. Many business owners sell their shares in order to expand their business and accelerate their growth. Shares can be purchased or sold directly or through stock exchanges. Like any other line of investment, buying shares has the potential to generate profits or create losses. 

Difference Between Bitcoin and Shares

As trading and investing in the crypto space is still in the early stages, many don’t know what to expect when entering the market and how it differs from trading shares. Understanding the differences between Bitcoin and shares will help clear up everything. 


Both Bitcoin and stock shares are known to fluctuate in price, and neither is free of risk. However, Bitcoin has gained a reputation for sudden spikes and dips that can happen virtually overnight. Of course, a part of that is because the crypto world is still relatively new, and it will take some time for it to become more established. Despite all of this, many believe that Bitcoin is the future.

Buying shares won’t have as many ups and downs. Traders in the stock market carefully monitor news and company reports to predict the value of a company in the short- and long term.


While some believe that Bitcoin is not a currency yet, many services and goods providers are beginning to accept Bitcoin as a form of payment. However, there’s a limited supply of Bitcoin because it cannot be produced out of thin air like fiat currency. Payments in cryptocurrencies are processed and encrypted via technologies that are not used in digital wallets. That’s the difference between Bitcoin and PayPal

Shares merely represent a company’s value and do not work as a medium of exchange. Depending on the company’s situation, shares can go up or down in value or quantity. They are nowhere near a currency, and they are overseen by a wide range of financial and legal authorities.


Perhaps the most well-known fact about Bitcoin and other cryptocurrencies is that no central authority governs them. All transactions are verified and authenticated through blockchain ledgers without a third-party involved. 

On the other hand, stocks and shares are heavily regulated and controlled by financial and legal agencies like the U.S. Securities and Exchange Commission that oversees the stock market to prevent fraud, protect investors, and make sure that all trades are fair.


Since Bitcoin is not under the thumbs of any state authority, all transactions go through without the interference of someone outside the blockchain controlling or regulating the process. Investors in the crypto space buy Bitcoin OTC because of how much easier it is. Recently, the number of hacking attacks and liquidity problems have driven people from exchanges towards OTC desks.

When buying shares, however, intermediaries such as banks, digital payment platforms, and brokerage firms exist that overlook the process and charge commissions to finalize the transactions. 

Start Making Money with Bitcoin

Strict regulations, hefty commissions, and dishonest brokerage firms and hedge funds are only some of the common issues that have left traditional traders looking for investment options. The government’s involvement inevitably brings an element of politics into the stock market, sometimes making it even more unpredictable than the crypto space.

While the crypto market is not as established as the stock market, it is a space free of any unnecessary intervention heavily endorsed by well-known figures worldwide. The upwards trend of Bitcoin in the last decade, along with its growing adoption, should be enough to prove that Bitcoin is indeed the future. You don’t need to worry about the tools to make it in the crypto space because Secure Digital Markets provides all the tools and expertise you need. Don’t hesitate to contact us as our team of experts is ready and waiting to help you.