3 Reasons Why Cryptocurrency is Here to Stay
When it comes to the future of money, everyone has an opinion. Some people are convinced that cryptocurrency will replace the world’s fiat currencies one day. Others have become tired of hearing about Bitcoin and its hype and don’t see what all the fuss is about (pun intended).
But regardless of which side you fall on, cryptocurrencies are here to stay. As more and more people get interested in digital currencies like Bitcoin and Ethereum, it’s important to consider why cryptocurrency has become so popular over the past few years and what makes them such compelling investments moving forward.
Start Invest In Cryptocurrencies
Investing in cryptocurrency can seem intimidating at first, but it’s not nearly as complicated as it might seem. The blockchain technology behind cryptocurrencies makes transferring funds and tracking transactions far easier than ever before. But what are some of these cryptocurrencies?
If you have a Bitcoin wallet, there’s a good chance you already have some cryptocurrency coins. However, there are other currencies you should know about if you want to get in on-and make money from-the crypto-revolution. For example, APE coins work very differently from Bitcoin (although they also have their own blockchain).
This can confuse people new to digital currency because they don’t understand how they work or why they’re valuable. As more and more people become aware of cryptocurrency, many realize that there are hundreds of opportunities for investing in them. Some even buy APE coins specifically with profit-making in mind.
After all, who doesn’t like getting rich quickly? It’s certainly possible to invest small amounts of money into various cryptocurrencies; however, most experts advise against such practices due to price volatility risk.
1) The world is moving towards cryptocurrencies
Any currency that relies on a centralized institution such as a government or bank is fundamentally flawed. There’s no single point of failure, which means there are fewer barriers to acceptance and less uncertainty about stability.
Businesses prefer not to have to deal with banks and government regulators, so they’re starting to accept cryptocurrencies such as Bitcoin. In addition, as more people start using cryptocurrency, it will become easier for businesses to accept it because of network effects – similar to how new technologies become ubiquitous over time (think email or text messaging).
Also, marketplaces like OpenBazaar make it easy for anyone in the world to start selling their products – especially if they’re priced in Bitcoin. This has huge implications for small businesses around the world.
Most importantly, though, cryptocurrencies are incredibly secure: If you lose your wallet file or forget your password, you can always recover your funds by importing your private key into another wallet program.
Still, even then, most services offer an optional self-destruct feature that completely erases all traces of your coins from existence if something bad happens to your computer. This makes them significantly safer than other forms of digital payment.
2) They are safer than centralized banks
When it comes to currency, nothing is more important than security. While decentralized applications, or dApps, may give users more control over their finances, a vulnerable cryptocurrency can quickly disappear.
However, blockchain technology has made securing digital currencies simple and easy. You’ll be happy to know that your funds are immediately secured by cryptography when you invest in a new cryptocurrency or create your own using an Initial Coin Offering (ICO).
This makes cryptocurrencies much safer than centralized banking methods, where hackers can break into computers and servers with relative ease. Even if a hacker got into your account, they would see encrypted code; they wouldn’t have access to your real money since that data isn’t stored on any central server.
3) They are cheaper to use
Since there are no middlemen and no bank fees, Bitcoin transactions cost much less than traditional financial exchanges. When you send money through a bank or third party like PayPal, there’s a good chance that you’ll have to pay a fee for it.
In fact, some banks will charge upwards of $35 for just one transaction. But cryptocurrency doesn’t work that way. Once you get your digital wallet set up, sending cryptocurrencies costs next to nothing (and sometimes nothing at all), you won’t have to worry about exchange rates either because cryptocurrencies aren’t tied to any specific country.
They are decentralized by nature, which means no exchange rates are involved in an international transfer of funds. The only thing you need to be aware of is whether or not your intended recipient accepts cryptocurrencies. If they do, then you can send them whatever amount you want without having to deal with high exchange rates or worrying about foreign transaction fees.