Bitcoin is a relatively new type of currency that is just starting to hit major markets.
Critics say the use of Bitcoins is dangerous because –
They have no original value
They are not regulated
These can be used to make illegal transactions
Still, all major market players are talking about Bitcoins. Below are a few good reasons why it is worth using this cryptocurrency.
Fast payments – When payments are made using banks, the transaction takes several days, and money transfers are often time consuming. On the other hand, virtual currency Bitcoin transactions are generally faster.
“Zero confirmation” transactions are instantaneous, where the trader takes the risk, which is not confirmed by the Bitcoin blockchain. If you need the approval of the merchant, the transaction takes 10 minutes. This is faster than any interbank transfer.
Cheap – Credit or debit card transactions are processed immediately, but a fee is required for you to use this privilege. Payments in Bitcoin transactions are generally low and in some cases free.
No one can take it away – Bitcoin is centralized, so no central authority can take interest on your deposits.
No refunds – After trading bitcoins, they are over. You cannot take them back without the buyer’s consent. Thus, it is difficult to commit repayment fraud, which is often encountered by people with a credit card.
When people buy goods and see that they are defective, they turn to a credit card agency for an effective refund. The credit card company does this and charges an expensive refund ranging from $ 5 to $ 15.
Secure personal information – Credit card numbers are stolen during online payments. Bitcoin transaction does not require any personal information. To make a transaction, you need to combine a private key and a Bitcoin key.
You must ensure that your private key is not entered by strangers.
Not inflation – The Federal Reserve prints more dollars as the economy collapses. The government injects newly created money into the economy, causing the currency to depreciate and thus causing inflation. Inflation reduces people’s purchasing power as commodity prices rise.
Bitcoins are in limited supply. The system is designed to exit more Bitcoins when it reaches 21 million. This means that inflation will not be a problem, but will be a deflation that will reduce the price of goods.
Semi-anonymous transactions – Bitcoin is relatively private but transparent. The Bitcoin address is displayed in the blockchain. Anyone can look at your wallet, but your name will be invisible.
Easy micro payments – Bitcoins allow you to make micro payments as free as 22 cents.
Substitute for Fiat currencies – Bitcoins are a good choice for owning national currencies that have capital controls and high inflation.
Bitcoins become legal – Big organizations like the Bank of England and the Fed have decided to take Bitcoins for trading. More and more outlets like Reditt, Pizza Chains, WordPress, Baidu and many more small businesses are now accepting Bitcoin payments. Many binary trading and Forex brokers also allow you to trade Bitcoins.
Bitcoin is the forerunner of a new crypto-currency era, a technology that gives you a look at the currency of the future.