Hello, guys in this post we will discuss some advantages and disadvantages of cryptocurrencies. at the end of this post, you will find how to crypto is making an impact worldwide, and changing the financial industry.
This post/video/podcast only for information purposes. Any content of this post/video/podcast is not considered as investment advice thank you.
What is Cryptocurrency?
Cryptocurrency is totally virtual currency. It can only use on digital devices and internet. Cryptocurrency use Blockchain Technology to store all transaction data of their users.
As define by name its use the Cryptography to make secure transaction. Every Cryptocurrency have their own define method and procedure to transaction.
Now day’s mostly online international transaction prefer Cryptocurrency. So let’s see some advantages and disadvantages of this revolutionary technology.
Advantages of Cryptocurrency:
1. No Third-Party Intervention:
Every day new cryptocurrency is realizing the market. Every cryptocurrency has its own features. But mostly work on peer-to-peer functionality. It means there is no other third party exists between transactions. So, you can send and receive cryptocurrency from any corner of the world without paying taxes and any other extra payments to any service provider or government.
With this advantage of cryptocurrency, it becomes the most trusted and reliable payment method for everyone. So, no human judgment and intervention can influence cryptocurrency. Because it’s all uses trusted cryptographic technology rather than human judgment.
2. Open For Everyone:
Using Cryptocurrency, the most useful advantage to this anyone can create an account and trade with everyone he wants. So, there is no blocking and restriction to open an account and we don’t have to pay any kind of monthly bills to have a crypto account or wallet.
Cryptocurrency gives you the freedom you want. So, you can make transactions and payment using your preferred methods. You can choose to be an anonymous trader, seller, or buyer. This feature protects you from tracking your financial information in the public domain. There are lots of cryptocurrencies that provide this feature.
You can use the public method also if you doing some donation or any other useful transaction. Cryptocurrency gives you the option to make your profile private or public. It means when you make a transaction if your profile is private no one knows about you. If you want to appear your profile with your transaction you can use public profile. There is a very cool cryptocurrency who gives you the advantage to make you profile public and private anytime you want.
There is no match for security when it’s come to cryptocurrency. For example, Bitcoin is the most secure and trusted cryptocurrency among users. There is only an issue with your poor storage practice and some faults with exchanges. There is no doubt the cryptocurrency is the most secure medium of online payment systems around the world. It provides us the best possible solution for sending money cheaply and efficiently to others.
Just like the World Wide Web and personal computer the cryptocurrency is also involving in our daily life. Anyone who will have access to the internet and have its own personal devices like a laptop or smartphone is able to send and receive cryptocurrency.
There is no issue if you don’t have any banks around your town or in the locality. So, There is no need to have a minimum balance in your crypto wallet. It will provide us to make a transaction with zero or low processing fees. We will donate cryptocurrency to any NGO we like in the fastest and secure manner worldwide.
Disadvantages of Cryptocurrency:
We have seen a bunch of advantages of cryptocurrency. Now let’s see some disadvantages of cryptocurrency.
1. Technical Understanding:
If we want to store our cryptocurrency safe, make transactions, and trade in different cryptocurrencies it requires some technical understanding. That’s why not everyone comfortable with cryptocurrency because they don’t want to learn new technology.
When you decide to understand this revolutionary technology. You will learn about its loop and hole. And then you can able to decide what I should have to do and which things I don’t. After getting into it you will learn best practice to store and receive your crypto coins in several ways you ever imagine.
2. Limited Acceptance:
These days only merchants, global businesses, and some enthusiastic people who love crypto are used for transactions. And yes they will grow as growing the cryptocurrency there is always first-mover advantage there.
But, when it’s come to local and individual point of view is not possible to make transaction with them. You can’t purchase your grocery and daily need products with crypto coins.
3. Uncertain Future:
Cryptocurrency basically a technology in the financial industry which have the potential to change the whole traditional structure of banking and financial departments. So, we would say that cryptocurrency is not admired by every country and peoples. There are a lot of factors that can efficient to fail this emerging technology. So, at this place of technology, we can’t say that technology going to make a very big or small impact on the individual or industry level.
Or maybe it just exists as another way of transaction online. And make trade between the different currency or we can use it just as a medium of exchange.
There is no doubt cryptocurrency is growing and admiring by people. But there are also some advantages and disadvantages to this technology.
We have to focus on growing and making transaction using cryptocurrency. Because there is a new generation is coming who wants a fast, secure, and trusted method of making payments. And I believe that we can achieve this goal with cryptocurrency.
If you want to learn this technology join the following courses. Or you can comment on what you want to learn in the comment box.