The internet has been revolutionizing multiple areas of the economy and Bitcoin is the revolution in currency made possible by the fast-growing internet. Bitcoin is the digital currency which is created and held electronically and is the first successful digital coin that can be transferred over the web.
Though Bitcoin doesn’t have any physical existence, it is safer, faster and easier than traditional money with advantages for both consumers and business owners. This cryptocurrency doesn’t rely on governments or central banks but is instead managed ideally via a network called blockchain. The blockchain is essentially an online ledger that keeps a secure record of every transaction made at one place so that every time anyone makes a transaction or exchange using Bitcoin, it is recorded safely and securely.
Bitcoin is a peer-to-peer payment network which in simple words means that it can be transferred from a person to another directly over the internet. This permits users to avoid using a middleman such as a credit agency or bank and it provides them more control over their funds digitally. This peer-to-peer system creates a new way of transacting and with Bitcoin at the forefront of the digital currency market; it is creating a new way to make online payments.
The Rising Star of Digital Currency Today — Bitcoin
Bitcoins was released in 2009 and since then it has rapidly risen in value and become unstoppable while catching the entire attention of financial institutions as well as the media with the volatile nature of the currency contributing to the much of its publicity. Google reported that the Bitcoin value is skyrocketing with each passing moment and Coinbase has also revealed that the currency is up +650% since this time last year.
Bitcoin is held in digital wallets across many gateways that users can access on their computers, smartphones, or even flash drives. Bitcoin users can accept and send Bitcoin payments of any size from anywhere in the world in seconds instantly which allows users to minimize the amount of cash and plastic they need to carry around.
Bitcoin & E-Commerce — The Benefiting Relationship
Both customers and merchants are increasingly using digital currency today to make transactions, contributing to their growth and influence. In this burgeoning and relatively new marketplace, both sellers and buyers are recognizing the huge advantages that Bitcoin offers. Listed below are a few of Bitcoin’s benefits; have a look at it!
Speedy Transactions: Bitcoin is instant in most cases. So, rather than waiting for hours or even days to make and clear payments, merchants can instantly ship products out. Even with the increase in demand, the technology has been saturated and experiencing some delays, with recent reports noting that the transaction queue stretched back over six hours.
Cuts down the Middleman Fees: Bitcoin operates on a decentralized system which cuts out the costly fees charged by banks for issuing or acquiring funds.
High Security: Bitcoin is receiving high credibility because of its extremely secure payment gateway. It can back-up and encrypt your digital wallet’s digital keys, even storing your Bitcoins offline. Mobile apps allow you to securely access your wallet when you are out and shopping in store too. And, because every transaction and exchanges are recorded on a public ledger — blockchain — this theoretically cuts down on fraud and embezzlement.
Bitcoin Boosts Trade in Developing Countries: Many developing countries don’t have access to the financial institutions we rely on; however, Bitcoin’s peer-to-peer system that doesn’t need this middleman at all, allowing for payments to reach their destination safely and opening the door to online retail across new territories.
PCI Compliance doesn’t Require at all: Because Bitcoin is secure by design, merchants simply need to secure their wallet and payment requests, and so when it comes to the usual rigorous security checks around e-commerce platforms, there is no requirement to abide by the usual PCI compliance regulations.
How is Bitcoin Changing the Online E-Commerce Market?
Despite some risks, Bitcoin is a very dynamic and interesting technology that will surely change how e-commerce will be conducted in the near future. And here’s how Bitcoin can accomplish such a feat. Bitcoin is progressively infiltrating the E-commerce industry because it is an innovative, viable and somewhat sexy solution. More and more companies today understand this and are drawing many customers attention because of it.
Bitcoin Provides Instant Gratification:
In this fast-paced world, we as users want everything to be done instantaneously and in minutes, but that’s still superior compared to what we were used to be. And Bitcoin certainly fits that mold. Instead of letting customers wait for hours, days, and even weeks for a payment transaction to go through, Bitcoin is for the most part instant.
This gives a user the peace of mind in knowing that products and services have instantly gone through instead of keeping it pending, waiting for approval or anxiously figuring out why the PayPal account is blocked. This will continue to be approved on so that transactions will literally be instant which we are almost at now. However, it could also speed up the transaction process further since merchants are waiting days for a payment to get clear so that they could ship out the products instantly.
Bitcoin Establishes Trust:
Unlike traditional banks and financial institutions, Bitcoin puts the customer first. Banks may try to state otherwise, but there aren’t any other financial institutions that allow people complete access and control over their finances. As mentioned, you can receive and send payments instantly through Bitcoin. This allows you to have access to an updated budget. More important, however, is that this allows you to run your business the way you want because you don’t have to follow the regulations laid out by banks or other financial services.
The availability of Bitcoin — the Superman in Digital Currency — also creates a possibility for small businesses to engage themselves in the global e-commerce business. This is truly a good way to make sure that business transactions are carried out safer considering that, once an asset is digital, moving it is easily done automatically.
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