Benefits and Use Cases of Bitcoin
Bitcoin, the first and the most widespread cryptocurrency is getting more popular every day. Even though it started just as a payment system, it quickly grew. There were a few reasons for that. The first, one, and perhaps the most influential, is the blockchain technology. This type of software is designed completely opposite from what banking institutions nowadays. It much quicker, very secure and, fully transparent. Next to this, bitcoin is actually the first decentralised currency that cannot be controlled by any government. The only thing bitcoin relies on is its user.
Benefits of Bitcoins
One of the main benefits of this crypto currency is the privacy it entails. Unlike many internet wallets that require you to submit your ID, proof of address and other documents, there is no verification when it comes to bitcoin wallets. Well, in some cases, you may be required to actually get identified, but this is only the case when you want to use some regulated services.
When we compare bitcoin to regular fiat currencies, we can tell that the speed of transfers is an enormous benefit. Instead of waiting 2-7 days for the funds to clear, you get to benefit from an instant transfer.
Finally, from the cost perspective it is much cheaper, well – cost free actually, to send funds in bitcoins. As simple as that. Now, as you understand that bitcoin may certainly be the future of money, let’s find out about the main use cases of this crypto currency.
While you cannot pay with bitcoin for everything, there are quite many things you can buy already in 2016. Such online marketplaces as fiverr, various coffee shops and even some universities accept bitcoin. Next to this, industries where privacy matters a lot have quickly adopted cryptocurrencies. For example, already today you can not only deposit bitcoins to an online casino, but you can actually start gambling with bitcoins as a primary currency. In other words, you don’t need to exchange your bitcoins for some sort of casino chips or for regular currencies like US dollar, you can just gamble with bitcoins and win bitcoins back.
Other people may hold bitcoins not for everyday use, but for investment purposes. Just some 5 years ago bitcoin wasn’t even worth 100 USD. Today it is more than 6 times higher. When bitcoin just appeared it was possible to buy for less than a dollar. Where will bitcoin rate be in 10 years from now? Nobody can know, but one thing is for certain – BTC is here to stay. Some people prefer to allocate 10-15% of their savings into BTC and try to use bitcoins whenever possible. Then, once they got rid of a few bitcoins – they simply purchase more using their primary currency. This way they firstly stimulate the community, and secondly, get to keep the same amount of bitcoin investments.
Finally, there is lots of volatility in BTC involved, hence, it might be the best asset if you are into day trading. It is cheaper and more volatile than stocks, so it could be a great opportunity for speculating it against other currencies.