Bitcoin 5 Benefits Of Bitcoins That You Didn’t Know
5 Benefits Of Bitcoins That You Didn’t Know
The cryptocurrency Bitcoin has swayed past all other digital currencies such as Litecoin, Ether, Ripple etc. by gaining an edge over them. Bitcoin is likely to become the foundation of a new economic system by replacing the traditional medium of exchange i.e. money. It has been able to change the outlook of investors by gaining momentum in a very short span of time.
Considering the global scenario, bitcoin also challenges international finance and transfers. It eases down the process of making transactions by eliminating intermediaries such as banks, credit cards etc. Thus, bitcoin is also known as a ‘Global Currency’.
The benefits of bitcoin that make it distinguishable from other currencies are:
In context of sales and purchases made globally, technically known as imports and exports, every individual pays an additional sum of money to the government as tax. Tax regulations differ from country to country, so how these items are taxed also differs. This also happens due to variations in currency and economic conditions.
However, when we talk about bitcoin or the global currency, we conclude that it is not governed by any such demarcations. Bitcoin is not in itself taxable like other currencies.
Thus, individuals can sell or purchase goods, especially luxury goods, in bitcoin which are otherwise heavily taxed by the government.
FLEXIBLE ONLINE PAYMENTS:
Unlike paper money and plastic money which require an intermediary such as a bank or a credit card to complete the transactions between two parties, transactions through bitcoin can be carried out at an individual’s convenience. One can make a transaction using a bitcoin exchange or a bitcoin wallet on your personal computer or mobile phone.
You can even monitor all your transactions on your devices. Thus, it ensures flexibility in carrying out transactions online without the need of any intermediary. It also eliminates the need to fill your personal details every time you make a transaction.
MINIMAL TRANSACTION FEES:
While making transfers and carrying out transactions via banks and other financial institutions a fee is a normal charge that every individual is required to pay. It is a remuneration that you pay to the third party for their services. But since bitcoin is exchanged through an online payment without the involvement of any third party, the transaction fee is minimal. Thus, you save yourself from unnecessary costs. Besides this it also saves your time as you do not require to verify yourself and wait for the authorization process.
CONCEALED USER IDENTITY:
When you make transactions online through a bank or a credit card you have to enter your bank account details and other personal details every time you use this mode of payment. But bitcoin ensures complete anonymity of transactions, because you need to register yourself only once with a bitcoin wallet. You make a bitcoin account and generate your unique address which is a combination of encrypted codes and numbers. Every individual has a unique address which guarantees concealed user identity. Thus, all bitcoin transactions are anonymous.
NO OUTSIDE INTERVENTIONS:
The most important aspect of bitcoin that is covered in above mentioned points as well is that there is no third party intervention while transacting in bitcoin. This means that governments, banks and other financial intermediaries have no authority to interfere with user transactions or a Bitcoin account. This allows the users to have complete liberty of their transactions. No outside intervention also eliminates unnecessary delays and costs involved.