The rapid growth of cryptocurrencies across the globe in recent years has many people asking aside from the volatility monetary value the virtual coin carries, what else can it be used for? Can we use it in our daily life? If yes, what are the benefits of cryptocurrencies as a means of payment compared to fiat money?
In this article, we will discuss on this topic and present 10 advantages of cryptocurrencies as a means of payment in our daily life that are universally known among crypto experts.
1. Affordable and almost instant worldwide payment method
Created by the most sophisticated and secure technology in the 21st century, blockchain technology enables the crypto users to enjoy almost immediate transaction experience anytime and anywhere. Nano, one of the most prominent cryptocurrency blogs, has conducted research on the average transaction speed and found that the fastest cryptocurrency transaction takes only 0.14 seconds.
Despite of offering the most sophisticated services to its users, the transaction fees for each transaction using cryptocurrencies is actually lower than what we imagine, because all transactions will be carried out without any intermediary. According to GOBankingRates, most of the cryptocurrency transaction charge between 0.1% to 1%, and it is more affordable than banking transactions.
2. You can take cryptocurrency anywhere
Globally regarded as the future of money, cryptocurrency takes on the form of virtual and you are given the choice to store your crypto coins in either a digital wallet, hardware wallet or credit card.
This is a clear benefit of cryptocurrencies over paper currency as the users can take it anywhere by simply carrying a digital device without the trouble of carrying a bundle of paper currency around.
3. You will have the total control over cryptocurrency
The moment you buy cryptocurrency, it becomes your very own property, and you have complete control and ownership over your cryptocurrency, which cannot be intervened by third party, such as bank or even the cryptocurrency platform.
Now you might confuse that this is something similar to the concept of deposits your money into bank, but in fact, it is not at all! From a legal point of view, the moment you deposit money into your bank account, you will become a depositor and the bank will become the intermediary that have total control over your funds in the bank. Any amendments that made by the bank can end up for you to lose money.
It is a completely different story with cryptocurrencies as you can transfer your virtual coins or do business with one another without the intervention of anyone, including the bank.
4. Banking the unbanked
While saving money in a bank has become a norm in this 21st century, there are approximately 2 billion people around the world do not own a bank account or never deposit their money into bank account, but majority of them do have a mobile phone.
Researchers across the globe have it that majority of those people have either partially or completely adopted cryptocurrencies as their main financial instrument, as the decentralized-and-revolutionary virtual coins are a great tool to manage and increase their prosperity.
5. Integrity of transactions
Cryptocurrencies are virtual coins that designed to settle payment without relying on traditional modes, such as debit cards, credits cards, checks or currency notes, and its value is not derived from an institution such as bank, but from the computer code of the specific cryptocurrency.
Therefore, we can conclude that the value of cryptocurrencies is solely rely on people’s trust towards it. Now you might think this is a disadvantage of cryptocurrency, but in fact it is what makes cryptocurrency unfloppable, as there are more and more people, including one of the wealthiest men in the world, Elon Musk trusting and using cryptocurrencies, hence making it to be more security guaranteed.
It is legit to say cryptocurrency is too big to fail.
6. High level of privacy
There are many services in our world require us to tradeoff their service with personal information, including banking. Even if you are the legal owner of you funds in the bank account, you are still obliged to provide extensive personal information to carry out any monetary transactions with the bank.
When it comes to paying with cryptocurrency, you do not need to provide any personal data to use the services, this feature allows you to remain anonymous and hide your costs, no one from the transaction have the ability to find out they carried out the transaction with whom, unless the user himself disclosed his identity. High level of privacy is one of the main advantages of cryptocurrencies.
7. Full 24/7 traceability of transactions
Every transaction that carried out within the blockchain technology is traceable all the time and it will never be manipulated or reversed by the sender or third party.
This is all thanks to blockchain technology that records every transaction on time and automatically link it to the previous transaction, creating an easy to trace and irreversible chronological series of transactions for its user. Another benefit of cryptocurrency is that you can follow any transaction anonymously via the block explorer.
8. Cryptocurrencies: money as DNA
As we mentioned before, most cryptocurrencies are operated in a decentralized manner, that is, no government, banking or financial agencies have the ability to intervene a process of transaction or a blockchain project. This eventually promotes equal rights among all cryptocurrency users.
Crypto experts see the cryptocurrency industry as a human body, where blockchain register functions as our DNA in which a single server/node contains the entire blockchain, which similar to the DNA of our cells that carry the blueprint of our entire body.
9. Crypto ensures fast, transparent and secure handling of smart contracts
You can place literally everything, from tangible products like foods, houses, cars to intangible services like loans, insurances and more, in the blockchain system and trade it via automatic contracts (smart contracts).
All of these can be done without the intervention of banks or financial agencies, which promotes a faster, simple and more affordable transaction. Apart from that, small contracts can also be used to execute government tasks, such as collect taxes, issue permits, pay subsidies, and the best part is that this can be viewed by everyone via block explorer, thus increases the transparency.
10. Cryptocurrency is based on trust
As We have mentioned earlier, the value of cryptocurrency is based on trust, and this is the biggest advantage of cryptocurrency over fiat money because the former has the ability to grow indefinitely by simply having more and more people trust in it. The more people trust in cryptocurrency, the higher the monetary value of a cryptocurrency.
While cryptocurrency continues to grow, fiat money will become less valuable over time, and end up erode our prosperity. Using cryptocurrency as payment method can solve this problem once and for all, as the global cryptocurrency community shows steady growth over time.
We hope this article will answer all your questions and give you a clearer picture about cryptocurrency. It is never too late to start earning cryptocurrency by joining cryptocurrency affiliate program, such as BK8 Affiliate Program. Offering up to 45% of commission rate to its users, BK8 Affiliate Program has quickly become the most popular affiliate program in the market.
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After getting your hands on crypto coins, you might wonder which digital wallet is the best for keeping your precious virtual coins. Feel free to check out our next article “Top 10 Best Cryptocurrency Wallets in 2022” to know more about this topic.
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