Importance of Bitcoin

By | May 29, 2018

Have you heard of digital currencies? Bitcoin is a type of cryptocurrency or digital currency. It is now considered as a worldwide payment system. Launched in the year 2009, this cryptocurrency works using a peer-to-peer network. With the help of this network, the users can make the transactions directly without the intervention of a third party.

As of 2017, more than 5 million users use this cryptocurrency as their payment system. Yet another advantage of bitcoin is that it can be exchanged for other products, currencies, and services.

importance of bitcoin

Below mentioned are some of the important facts about bitcoin in our current society.

  • Unlike other transactions, bitcoin assures user anonymity. The transactions made by a bitcoin user will never be known to the world unless he/she exposes it to the world himself. It is similar to cash-only transactions. Nobody will be able to track you down from the payment made using bitcoin. The bitcoin address of each user changes after each transaction and hence, your identity will be 100% safe with this cryptocurrency.
  • Opening an account in the bank can be a hassle at times. This does not happen in the case of bitcoin. You do not have to submit any address proof or other identity proofs to get a bitcoin address. Once you download the Bitcoin Wallet Program, a bitcoin address will be generated and you can start the transactions. Moreover, you can have unlimited number of bitcoin addresses in this system.
  • Bitcoin is one of the cheapest and quickest transactions available today. Even today, we have to wait for days or even weeks for the international wire transfers. Whereas, bitcoin transactions will take only an hour to complete. Also, unlike the other conventional payment methods, Bitcoin transfers are cheaper.
  • One of the most notable advantages of bitcoin transactions is that a third party will never interrupt the users during the transactions. Any bank, government or other financial sectors do not have the authority to stop a transaction happening via the bitcoin.
  • As the transactions made using bitcoin cannot be tracked or interrupted, the users do not have to pay any sales tax for the purchases made.
  • Bitcoin has all the advantages similar to an online transaction. People can use this service at any time and anywhere in the world as long as they have a solid internet connection. One of the main features of the bitcoin which makes it different from the other conventional payment systems is that no personal information of the user is required to initiate a transaction.
  • Bitcoin prevents people from being vulnerable to identity thefts and other frauds. Once you become a bitcoin user, you will be given full control over your money. Nobody else will be allowed to take a decision with your money other than you.
  • Just like the conventional currency system, you can invest and earn returns with bitcoin too. Bitcoin usually gives more interest compared to the other types of currencies.
  • The yet another advantage of bitcoin is that you do not have to wait long to access the interest generated after the investment. There are no long-term plans for bitcoin investment. Hence, you can use the profit of the investment as soon as it is generated.
  • Bitcoin is the easiest method of payment available today. Whenever you want to make a transaction or a purchase, your clients can scan the QR code in your Bitcoin Wallet app. You will not have to sign up, sign, or swipe your card while using bitcoin.
  • If you use bitcoin, you will not have any risks of inflation. No excess currency will be issued during bitcoin transaction, which is one of the major factors of inflation. This will be beneficial for both the buyers and the sellers.
  • All the bitcoin transactions are signed using an authentic digital signature. Only after this, it will be sent to the blockchain. Thus, the bitcoin app is the safest place where you can store your cryptocurrencies.
  • The lower transaction fees of bitcoin make it an ideal payment system for the small-scale industries. By using digital currencies, they will be able to save more money and thereby earn more profits in their business.

Bitcoin is, hence, an important form of currency in the world. There is no better currency in this world which is cheaper than the cryptocurrency. We live in a world where we are always vulnerable to identity theft and frauds. Bitcoin is the one and only solution to save ourselves from all such mishaps.

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