There are now a wide range of potential uses for cryptocurrency beyond tender, and more and more users are incorporating their fiat currencies with cryptocurrencies, or making the switch altogether.
Sending and receiving payments quickly with minimal fees is one of the greatest attractions for new cryptocurrency users, particularly when transferring large amounts of tender.
Banks and financial institutions charge exorbitant amounts and take days to transfer and convert currency, particularly when moving money across borders.
Whereas cryptocurrencies can perform the tasks in minutes at a fraction of the price, no matter where on earth the requests are being made.
While most cryptocurrencies outperform fiat currencies in these categories, some have their algorithms built specifically to outperform rivals.
Other cryptocurrencies modify their algorithms in ways to bolster their credentials in providing privacy and anonymity during transactions.
These extra layers of privacy are another attractive aspect of cryptocurrencies drawing new users and regular use.
While banks regularly require clarification when a large sum of money is being deposited or sent, often adding days to the process, cryptocurrency allows large transactions to be made without the requirements of the sae explanations or justification.
While there are some security concerns with storing large amounts of cryptocurrency, few understand the risks associated with storing fiat currency with a bank.
Banks have the power to freeze their clients’ assets, even without proof of wrongdoing, ultimately having total control over someone else’s wealth.
Regular users know that when done correctly, cryptocurrency can provide the means for water-tight storage of large-scale wealth, without the risks of banking or the perceived pitfalls from non-users.
Cryptocurrency’s decentralisation structure not only makes it resistant to price and functionality manipulation but offers users an untouchable alternative for wealth storage.
Perhaps one of cryptocurrency’s most intriguing uses and the most attractive prospect for first-time uses is its potential for asset trading.
While still coming with risks and rewards, traditional stock markets and fiat currency trading are well established offering far less drastic fluctuations in price compared to cryptocurrencies.
This volatility means traders can buy cryptocurrencies for the specific purpose of trading and walk away with large profits or deficits in a relatively short period of time, which works to the benefit of day traders and short-term investors.
The growing popularity of cryptocurrency for storage, transfer and trading purposes means companies selling their products and services are becoming more inclined to offer certain digital currency as payment options.
This everyday use no longer relies on transferring cryptocurrency from one wallet to another, rather the incorporation of coins onto credit cards completing transactions in seconds.
Large corporate bodies like Visa and Mastercard offer cryptocurrency options on their debit cards, meaning more are using tender like Bitcoin in the same way they use a regular bank card.
Cryptocurrency has come a long way since the advent of Bitcoin to leverage its blockchain technology to become applicable for other types of trading, not just as a currency.
Certain coins have algorithms designed to allow them to be tradable commodities of information, rather than worth.
Others, known as tokens, can represent another cryptocurrency or fiat currency’s worth, or just about anything else.
The alternative application of these second-generation cryptocurrencies is opening what could be limitless possibilities of how blockchain-based cryptocurrency can be used, resulting in a greater rate of use.
Like fiat currency, there are many ways in which cryptocurrency can be used. While many see cryptocurrency as an investment opportunity offering comparatively volatile pricing and high risk and reward scenarios, others understand the fast-changing landscape also offers other uses.
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