Bitcoin is a relatively new type of currency that has just started to hit the mainstream markets.
Critics say that using Bitcoin is dangerous because –
They have no authentic value
They are not regulated
They can be used to carry out illegal transactions
So far, all the major market players are talking about Bitcoin. Below are some good reasons why you should use this cryptocurrency.
Quick Payments – When payments are made through banks, the transaction takes a few days, similarly electronic transfers also take a long time. On the other hand, transactions with the virtual currency Bitcoin are usually faster.
“Zero-confirmation” transactions happen instantly, with the merchant taking on the risk, which is still not approved by the Bitcoin blockchain. If the merchant requires approval, the transaction takes 10 minutes. It is much faster than any interbank transfer.
Inexpensive – Credit or debit card transactions are instant, but you are charged a fee for using this privilege. In Bitcoin transactions, the fee is usually low and in some cases it is free.
No one can take it away – Bitcoin is decentralized, so no central authority can take away a percentage of your deposits.
Non-refundable – When you trade bitcoins, they will disappear. You cannot return them without the recipient’s consent. This makes it difficult to commit the chargeback fraud that people with credit cards often face.
People purchase products and when they discover that they are faulty, they go to the credit card agency to issue a chargeback, effectively canceling the transaction. The credit card company does this and charges you an expensive chargeback fee ranging from $5 to $15.
Secure Personal Data – Credit card numbers are stolen during online payments. A bitcoin transaction requires no personal information. You will need to combine your private key and your Bitcoin key to complete the transaction.
You just need to make sure that your private key cannot be accessed by strangers.
It’s not inflation – The Federal Reserve prints more dollars every time the economy sputters. The government injects newly created money into the economy, causing the value of the currency to decline, thereby causing inflation. Inflation reduces people’s ability to buy things because the prices of goods rise.
Bitcoin offers are limited. The system was designed to stop mining bitcoins when 21 million were reached. This means that inflation will not be a problem, but deflation will be caused, where the prices of goods will fall.
Semi-anonymous transactions – Bitcoin is relatively private but transparent. A bitcoin address is revealed in the blockchain. Anyone can look into your wallet, but your name will be invisible.
Easy micropayments – Bitcoin allows you to make micropayments like 22 cents for free.
A substitute for fiat currencies – Bitcoins are a good option for storing national currencies in the context of capital controls and high inflation.
Bitcoins Are Going Legit – Major institutions such as the Bank of England and the Fed have decided to use Bitcoin for trading. More and more outlets like Redditt, pizza chains, WordPress, Baidu and many other small businesses are now accepting Bitcoin payments. Many binary trading and forex brokers also allow you to trade bitcoins.
Bitcoin is the pioneer of a new era of cryptocurrency, a technology that offers a glimpse into the future of currency.