With the advent of cryptocurrency such as Bitcoin, the business community has been benefiting a lot from this revolution in currency ownership and transaction. This has a lot to do with the inflation of the digital currency. You will hear people refer to cryptocurrency, blockchain technology and Bitcoin in general as THE financial breakthroughs of the 21st century.
Cryptocurrency has taken the world by storm with the innovative technology utilization in a manner never dreamed of being feasible with the help of decentralized systems, no traditional banking fees and peer-to-peer currency ownership and transfer. You don’t have to worry about banks anymore because you are your own bank.
This is evident from the fact that according to CNBC, the cryptocurrency value crossed $185 billion in start of November 2017. Yet, many people and very well established businesses shy away from buying and using cryptocurrencies such as Vertcoin. Traditionalists deem it as a volatile fad that will evaporate and be worthless eventually.
The people adopting it claim that it’s an evolutionary step in the currency market and is here to stay. It equates to the people scoffing it to the ones who refused to deal in paper currency and prefer gold and silver coins to be part of the past.
Why Deal in Cryptocurrency?
Cryptocurrencies give the people and organizations using the same security as a traditional bank would give on a paper currency, without the need of the bank as a middle man. Money is received the same day and rather quickly. The thought of getting a chargeback because of an unauthorized transaction is long gone.
Speed: Transferring money can sometimes be a very long and tedious process. Sometimes the banks of buyers and sellers are different and connecting their two respective accounts can be difficult. This is even more pronounced when transferring to banks across borders.
Cryptocurrencies make the process very simple and fast. Cryptocurrencies can be practically sent anywhere in the world in a matter of minutes.
Transaction Fee: When you pay with a credit card or some type of card, the vendor or seller gets a fee charged. That fee adds up and eventually hurts to business. Unlike card transactions that charge upwards of 4% per total transaction, some cryptos like Litecoin and Vertcoin don’t even cost a penny. The fee is also paid to the buyer so the seller has a lot going for their side.
Secure: One of the most secure technologies that all major cryptocurrencies are based on blockchain. This has clearly defined financial rules and is verifiable without the danger of being tampered with.
Transparency: Piggy backing off the blockchain talk, blockchain is one of the most talked about technologies because of the amount of transparency it provides. Traders who take money from other investors will trade on the blockchain to show all the profits they made.
Smart Contracts: Programming codes that facilitate the exchange of anything of value, agreements are written down as smart contracts and are executed automatically without the need of any middle man, ensuring that all obligations from concerned parties are enforced.
All of these attributes of cryptocurrency means that there is lowering of costs of transactions, with an increase in honesty and security. Thus for a business that wants to thrive and save in today’s market, the cryptocurrency is the way of the future.
Alex has been very deep in the cryptocurrency space for the last 3 years soaking in everything there is to know. With such a new industry popping up, Alex is constantly sharing about the latest news and updates in cryptocurrencies on CoinPupil. To learn more about him and his work, read here.