Why Should You Use Cryptocurrency?
In recent months, cryptocurrency has been turning the economic world upside down. After reaching a value of almost $20,000 per Bitcoin in December of 2017, heads were turning at breakneck speed. With all the buzz about this type of currency lately, many people ask why they should be using cryptocurrency?
Let’s start at the beginning. Bitcoin was introduced as an alternative method of payment online, one that would solve many of the current issues with digital commerce. As a decentralized technology, data is stored with all users. No central server exists, so the databases can’t be hacked. Malfunctions result in instant corrections, and foul play is immediately detected and denied. Bitcoin also has a limited supply. There are only 21 million Bitcoin in existence, and that’s all there will ever be. A cryptocurrency that employs this method can’t experience inflation, as new currency cannot be added to the system without every other device rejecting it. Fiat currency has a certain level of volatility that cryptocurrencies are able to do without.
Users are kept anonymous, as the encrypted system does not allow anyone who does not have access to that information from viewing it. However, it is also revolutionarily transparent, allowing law enforcement to obtain information about people engaging in criminal activity. Fiat currency lacks these safeguards. While some have tried to use cryptocurrency to launder money, it’s almost impossible and not worth the effort.
Bitcoin and other cryptocurrency transactions are immutable. Once they happen, there’s no changing it due to conflicting time stamps, bugs, hacks, double charges, or anything else. This is a huge draw to businesses, and an even bigger deterrent to people looking to cheat a system. Due to the issues present in centralized databases, reversals can cost businesses lots of money in transaction fees should their transactions be reversed. With these building blocks in place, all that was needed for Bitcoin to thrive was a market willing to accept this new way of doing business online.
There are other benefits to using cryptocurrencies. While Bitcoin itself has become slow as more people adopt and adapt the platform, other cryptocurrencies exist, such as Ethereum’s ether coin. Transactions that used to take days can be performed within minutes. Cryptocurrencies can be purchased with any type of money and used across borders. This is what can bring our increasingly globalized economy into the future, as the slow speed and exorbitant transaction fees have been holding it back.
Another benefit to using cryptocurrencies is that individual people can partake in commerce locally or globally without the need for a bank. Many people around the world are unable to use banking systems to invest or buy things, and cryptocurrencies can level the playing field a little bit.
More and more places are accepting cryptocurrency as payment option as it gets more popular. Aside from websites, there are brick and mortar stores accepting Bitcoin and others as payment for goods. There are even Bitcoin ATMs being installed in cities all over the world. Several nations are researching how to implement a decentralized currency on a national scale.
But most importantly, at least for platforms like FundCru which deal with transactions, cryptocurrencies can severely reduce or even eliminate transaction fees. Using our proprietary cryptocoin FUND, we’re able to keep our own fees low and provide an ecosystem that benefits everyone. FUND is how money is moved from place to place on our site, though many people may not ever see that. We accept ether coin as payment, in addition to fiat currency, so that our platform thrives, whether or not you personally notice what’s happening under the hood.
