Crypto: The Good and the Bad
As a wallet service provider that promises to provide transparency and seamless crypto to fiat transactions to its users, the Swipe team believes in educating the people of both the pros and cons of the cryptocurrency for the users to fully utilize the benefits of the industry.
Indeed there are both advantages and disadvantages in cryptocurrency, however, it is important to take note that the cryptocurrency is ever-growing and more industries are now keen to adapt this to their businesses.
THE GOOD
Accessibility
The first impression of people unfamiliar with cryptocurrencies is that it is too technical and difficult to acquire. In fact, once you decide to get your first crypto, finding where and how to purchase it is just easy. For beginners, cryptocurrency exchanges, or wallets like Swipe are easily accessed with the use of the internet and smartphones. Most of these services offer a variety of cryptocurrencies that the users can acquire.
Once you find your way to these services, getting your first cryptocurrency will be as easy as ABC.
Transparency
We all know that the premise of cryptocurrency is to create a decentralized financial system where people can spend and receive transactions without going to any central authority. This is made possible thanks to the blockchain technology, a decentralized public ledger where crypto transactions are stored. As a public ledger, the public can easily view or access transaction details.
This is one of the reasons why a lot are interested in cryptocurrency. It breaks the barrier between a central authority and the user by creating a more transparent system with the ability to check data anytime.
Secure
Yes. Cryptocurrencies are relatively secure. People might hear about Ponzi schemes or scams in crypto, but keep in mind that this happens because users are not careful enough to research and know who are they transacting with.
The decentralized system of crypto through the blockchain makes transactions secure as it is nearly impossible for it to be tampered or compromised. Remember, blockchain uses a network of computers worldwide to store and record crypto transactions. Without any central authority to control the blockchain, any attempt to tamper transactions means dealing with thousands of computers scattered worldwide. Transactions will not push through if the record is different from the other computers within the network, and those who will attempt to alter it will have to alter all the details on each computer in the network.
Fast Transactions
Gone are the days that people have to line in the bank to send and validate financial transactions. As users manage their own crypto funds, they can easily send money to other people, anytime and anywhere, without having to wait for any central authority to approve it. Crypto’s blockchain technology removes the usual delays, hefty transaction fees, and time-consuming approval from banks or any third party.
THE [NOT-SO-]BAD
Too Technical or Lack of Proper Knowledge
The lack of proper knowledge in cryptocurrencies is an avenue for new crypto users to get scammed. It is very important to comprehend the basics of crypto before making huge transactions. Cryptocurrencies are not hard to understand as long as people find the heart to learn it.
Volatility
Since its inception, cryptocurrencies are known for having high volatility. It is very unpredictable and risky to invest without having the right knowledge. Just like with any other investments, a crypto user must be very cautious and responsible in handling his or her funds.
Irreversible
This is not really a negative aspect of cryptocurrencies if a crypto user is practicing responsible fund management. Crypto transactions are irreversible, so a user must be responsible in his or her funds. There is no central authority to report in case a user mismanaged his or her cryptocurrencies or was scammed. You are your own bank.
Not Yet Widely Accepted
Cryptocurrencies, in general, are still not widely accepted by merchants and some countries. Very few countries are open to accepting crypto transactions. However, this can be solved by using crypto wallets that offer card services wherein users can withdraw or spend crypto to fiat directly via a partnered card.
In the case of Swipe, it is tied up with a Visa card where users can spend their crypto at up to 50 million locations worldwide that accept Visa payments.
Every opportunity and action have their pros and cons. It is important to know your options before making important decisions. Knowing the good and the bad outcome will help you better in managing and securing your assets. Remember, cryptocurrencies are created to help people have easier access to financial transactions. With the availability of cryptocurrencies, people have now the choice of managing their money completely.
