Bitcoin, and cryptocurrency in general, has completely shaken up the financial industry in the past decade. As the number of crypto investors increases, more and more people are becoming interested in the practices associated with cryptocurrency. Many are still confused as to what cryptocurrency even is, or how it works, and how it is different from fiat currency. However, by reading up on the advantages associated with BTC, individuals can easily learn about it.
Cryptocurrency, especially Bitcoin, was designed with the intention to compete with fiat money, and so naturally, it offers a number of advantages over traditional currency. In this article, we will explore a few of the many advantages of Bitcoin.
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Accessibility
Bitcoin is a digital asset, which means that all anyone needs to use the cryptocurrency is access to the internet and an electronic device with an internet connection. This means that people never have to go to a bank, store, or market to purchase a product. Of course, most banks today allow for online payments using credit cards. The difference is, personal information sharing is not necessary when using cryptocurrency.
Notably so, the process of acquiring Bitcoin has become incredibly easy in the past decade. As stated, all you need is an electronic device with internet access, but to make buying and selling bitcoin even easier, websites known as trading sites have appeared all over the internet. There are even crypto trading robots that will help you to trade cryptocurrencies automatically. One such example of this is BitIQ. Amongst BitIQ’s supported assets, you’ll be able to find BTC, ETH as well as XRP. Check out this detailed BitIQ review to find out more about this trading robot and others.
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Anonymity
Bitcoin purchases offer a greater degree of anonymity than purchases with fiat money. The identity of bitcoin users can’t be traced through bitcoin purchases, unless the user volunteers their identity, or publishes their transaction. This is achieved by changing the bitcoin address after every transaction.
While bitcoin transactions are not entirely anonymous, they are much less likely to be linked to the identity of users than most traditional payment methods.
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Autonomy
Autonomy is the primary draw, and the main tenet of cryptocurrency. Bitcoin, and cryptocurrency in general, is a peer-to-peer system, which means that transactions are done between anyone using the cryptocurrency network, without the need for any authority figures to approve the process. This allows for a greater degree of autonomy in how users spend their money. Users can choose to spend their assets any way they want without dealing with intermediaries like banks or governments.
The reason for this is that bitcoin is a decentralized form of currency, which means it is not beholden to any bank system, or any government authority. What that means is that when making payments, deposits, or withdrawals, bitcoin users are not subjected to numerous fees. It is, however, worth noting that it is common when exchanging cryptocurrency to charge maker-taker fees.
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Low Fees
Low transaction fees are definitely another huge advantage to paying in Bitcoin. This is especially the case for international payments. While wire transfers typically demand rather hefty fees, international payments made with bitcoin are kept very low, as cryptocurrencies have no intermediary institutions that they are beholden to.
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Speedy transactions
Another reason to pay in BTC, rather than more traditional payment methods, is the speed at which transactions are carried out. While bank transfers can take days to be carried out and for funds to appear in a bank account, Bitcoin transactions can be made instantly. Hence, this removes the inconvenience of long waiting periods to be able to carry out transactions.
Conclusion
Blockchain technology and the creation of bitcoin has created a revolutionary way of carrying out transactions. As we’ve emphasized above, there are a number of advantages to using bitcoin over fiat money. Of course, this list has merely scratched the surface of the list of benefits there are when using Bitcoin. Before investing in Bitcoin, it is always advisable to read up on its history, how it works as well as its evolution in price, especially if you’re a beginner in investing and using BTC as a cryptocurrency of choice. Moreover, following a few influencers in the blockchain space, which are more often than not advocates of the cryptocurrency, can help you gain more of an understanding of the advantages as well as the disadvantages of trading or investing in this revolutionary cryptocurrency.