Why You Should Choose Cryptocurrency over Mobile Money.

Over the years, the concept of money as a means of facilitating commercial exchange has evolved. In the last 3,000 years, the world has witnessed the transition of payment methods such as trade by barter; which is simply is payment for goods and services using cowries, animals and material possessions, to the use of gold, silver and coin. The world’s first coin was introduced in 600BC by King Alyattes in Lydia, now part of Turkey. Hereafter, coins evolved into banknotes in the 11th century when the Chinese government issued the first banknotes to her citizens. Following this development, other countries adopted the use of banknotes (fiat) as a means of commercial exchange by the 20th century.

For the sake of international trade and exchange policy regulations by nations of the world, Fiat was declared a legal tender and Africa adopted its use and for so long, it has taken the centre stage as a means of exchange. Fiat has overtime risen to stardom and birthed three forms of money transfer. They are:

• P2P (Person to Person)
• Organization to person and;
• Person to an organization.

These methods have no doubt eased transactions between parties. There are other methods of payment and transaction which include Government Bonds, Treasure Bills Certificates, Cheques, Credit Cards, Online Payments/Transfers, Mobile Money, etc. For the sake of this article, mobile money will be the main focus.

Mobile Money

Mobile Money aka MM has been one of the most successful payment systems ever invented under the umbrella of fiat currency. It has aided a lot of people in the urban and especially rural communities to make easier and more secure transactions. The service charge on a transaction is affordable and free when it is between users of the same bank. It is such a wonderful system. Why then do we need Cryptocurrency?

Cryptocurrency

Oh! I have not mentioned cryptocurrency so far. Allow me to give a short definition of the term. Cryptocurrency is a digital currency and medium of exchange that leverage blockchain technology to gain decentralization, transparency, and immutability. The transaction between two parties is done using Private or Public keys. Just like Mobile Money, Cryptocurrency transactions are performed online through an exchange or directly (P2P). Unlike Mobile Money, transactions performed in the digital world are transparent and visible to the entire blockchain space which makes it a trusted medium of exchange as it does not give room for denial or fraud.

Today, Cryptocurrency serves as an alternative form of payment to cash, credit cards, and cheques by most businesses all over the world. It is impenetrable, immutable and trusted. Cryptocurrency also serves the purpose of MM, but better. MM is controlled and regulated by the government via the central bank and Telecom companies making it centralized. While CC also known as cryptocurrency is Decentralized.

Crypto Pros

The MM Is inflationary, this is something we all know, but cryptocurrency isn’t. Your value keeps increasing as the law of demand improves. Making it deflationary. MM has a problem with transfer across the border, while CC is borderless. CC tends to perform better than MM. How?

• First, your transaction is secure and safe. Both parties can confidently trade without fear of fraud from external parties.
• Your transactions are not controlled or regulated by a designated body or government.
• Its deflationary nature is good for long term investment.
• It does not just serve as a medium of exchange, it also serves as a medium of payment for goods and services.
• It eliminates across the border transitionary problem and drastically reduces services charges on transactions made.

These and many more are reasons to adopt Cryptocurrency.

More on Cryptocurrency

Furthermore, you need to also be aware that there are thousands of cryptocurrencies out there. At this point, I’m very sure you are asking what then is the best cryptocurrency to invest in? Which one should I trust my financial transactions and information to? Think no more. We all understand that the mother of all cryptocurrency is Bitcoin and if you haven’t heard before, now you know. But is it the right choice? Yes. The BEST for you, No? Why is Bitcoin not the best for you? Bitcoin gives you everything you want and needs in a cryptocurrency except PRIVACY. Are you wondering what the essence of privacy is? Let me ask you this question? Do you sleep with your door open? Do you build a house and not think of adding a fence or lock? Bitcoin gives you the freedom to own your land and build your house but without a fence or door (Privacy).

The Need for Privacy

This brings us to the essence of privacy in cryptocurrency which is very important. Unlike Bitcoin where any random person can check on your transaction via your transaction ID also known as Transaction Hash which can be traced back to your IP and your username with the aid of metaData, a Privacy Coin can hide your transactions from public view. I will recommend the best in this class privacy coin called BEAM. It is a scalable, secure and trusted privacy coin. Beam is an implementation of the MimbleWimble protocol, which is a proposal by a Pseudonym known as Tom Elvis Jedusor to solve Bitcoin’s privacy challenge.

The project launched its mainnet in January 2019 and has experienced steady development from the dev team, and it’s widely adopted across the world. The Beam Mobile Wallet is packed with amazing features that make the user experience hitch-free and highly interactive.

There has some interesting product launched by community members around the project. “BeamPay” for instance is an effective way merchant or business owner can receive secure payment from customers and clients patronizing the goods and service. Businesses around the world are now accepting Beam as a form of payment.

With Beam, no random person can trace your transactions or your financial status, i.e, how much you have been making, or what you have made so far, who sends you funds, and who you send funds to. There is also room for auditability which is used to provide your records or financial information to an auditing company/firm or government when required.

Mobile Money has served the African community quite well over the years, but it’s time to step up and transition into something far better and efficient. The freedom we all seek starts with financial freedom. If we can’t or do not secure it, we are not free yet. If you seek financial freedom choose Cryptocurrency, but for absolute freedom and financial growth, choose BEAM.

Many thanks to Scarletmedia for proofreading and editing this article.