Cryptocurrency has gained a lot of momentum over the past few years. This decentralized network based currency has been used a lot over the internet with a lot of companies investing in the same. Bitcoin is the cryptocurrency that has enjoyed the most attention amongst all. Bitcoin was also the first released cryptocurrency to be available openly and since its inception, there have been multiple cryptocurrencies that have peeped into the market. It mainly operates on a blockchain distribution ledger.
Effectiveness of Cryptocurrency
Cryptocurrency is the future of currency as described by many economists and technology enthusiast. This point is not only validated by the fact that the world is getting more and more inclined towards it but rather by the fact that it is safer and more convenient than the current methods of money exchange.
PayPal is the way of exchange of monetary funds in the modern time but it has been known to incur a higher percentage of fees for transaction roughly at 3 percent. Bitcoins, however, are much cheaper as they only have a fee of 0.005 percent. Same goes for currency exchange as companies like Western Union charge their transaction fee apart from the difference in the selling and purchase amount of the currency. Bitcoin is much more user-friendly and offers rates that differ minimally from the original rates with a meager transaction fee.
Also, both PayPal and Western Union are not universally available but for a cryptocurrency, all that is needed is an internet connection. Moreover, with its decentralized system, the system is much safer as there is no single server where all the information is stored or more precisely, the information could be anywhere and therefore, hard to access. The transaction fee is constant too irrespective of the amount.
There are several giant industrial ventures who have been contemplating about introducing cryptocurrency as a form of payment and transaction where there a number of businesses that have already started the trade. These include some popular companies like Expedia, Microsoft, Shopify, Subway, Samsung and many more. Retail giants such as Walmart and Amazon are trying to incorporate them into their scheme of things.
With so much attention, the currency has also found itself in the real world through the Automated Teller Machines aka ATM. A user with an existing account can easily make a transaction of bitcoin as they can purchase bitcoins via cash or get cash in return of the bitcoins they possess.
In the most general sense, they sound and look like an ATM but basically, they are a kiosk that does not require a bank account as much as they require an internet ID to make sure a transaction can take place.
Thus, with such a wide spectrum of companies already accepting the cryptocurrency as their mode of payments and the availability of kiosk around, this technology is surely looking at a brighter future with more and more people coming in. What is more is that it is safer than the existing methods.