6 Benefits of using Cryptocurrency in 2022

Before now, the conventional currency system was what was obtainable in the Financial Sector – money was  stored in banks, moved around by just ordering your banking service provider to carry out the transaction or in good, old, regular hard cash. Now, you keep hearing of this novel form of payment that is causing ripples in the Finance world.

Cryptocurrency.

What exactly are the benefits of this “cryptocurrency”?

The world is quickly changing; and if you do not adjust to meet these requirements of the constantly changing world, then you would soon be left behind. As they say; ‘evolve or die’.  Let’s find out why you should at least take a look at cryptocurrency.  While this list is not exhaustive, there are six benefits of using cryptocurrency to perform your transactions in today’s world.

1. Security

One very important benefit of using cryptocurrency is the security that comes with it – no one wants to lose money.  One major shortcoming of regular currency is that it is not ultimately safe. In hard form, it can be stolen, in the bank, it is susceptible to being frozen by the government. With cryptocurrency, you can avoid all of that. Most crypto coins are stored in a wallet – an electronic wallet. A private key will be assigned to your wallet, as will be the same with every other wallet. The reality is that so long as your private key is kept a secret, you are in total control of the safety of your coin. That is, no one can access your coin without the key. It is so secure that if you misplace it, you have lost access to your coin forever.

More so, transactions are also secure because of the nature of the blockchain technology upon which cryptocurrency is built. As a result, to develop a counter technology to that would overpower the self-defensive nature of the blockchain system would be incredibly herculean.

2. Not Inflation Prone

Inflation is a major problem that rocks regular currency systems. This is something regular currencies around the world are susceptible to. Usually, the reason for this is that, the governments of nations typically resort to printing more money and pumping into the economy as a fix for their problems. However, cryptocurrency, on its part, is really not prone to inflation. The reason for this is that, with stable coins, there is usually a ceiling placed on the total number of coins that anyone can mint. What this ensures is that, the more supply of money increases, the higher the value of cryptocurrencies. Therefore, if you are looking to protect your funds from inflation, then crypto is a safe bet.

3. Speed of Transaction

Have you ever transferred money or expected to receive a transfer and you had to wait minutes, hours or even a couple of days because of network and other banking regulations? Virtually everyone has. As a matter of fact, when carrying out international transactions using regular currency, one usually has to factor at least three working days. This can be frustrating at times.

With cryptocurrency, however, it is faster to carry out these transactions. The fact is, you can get paid crypto instantly. What this means for you is that, if you are a service provider or employer of service (especially with the rise of international remote jobs), it helps for a faster transfer of payment for work done.      

4. Inclusivity

A major benefit of cryptocurrency is that everyone can own one. It allows people who ordinarily do not have access to or are stopped from accessing regular financial institutions to own and trade with them. For instance, if you are a part of the unbanked population and you need to carry out a transaction, you can with your phone and internet save your money, trade with your money and carry whatever other transaction you want. This is enforced by the fact that, though subject to regulations, you can always carry out transactions without expressly seeking permission from financial institutions, the government and other financial institutions.

Although some countries have tried to place a ban on crypto-currency related transactions, the privacy of individualistic nature of the technology has made it herculean for the government to preclude people from using them.

5. Cost of Transaction

Can you recall the annoying bank charges that are deducted from your account after you make a bank transfer? Sometimes, these charges can purchase a whole Saloon car big enough to fit a family.

With cryptocurrency, you are availed of a much lower cost of transaction. Instead of the regular tens of dollars in bank charges for wire transfer, you can pay as low as a nickel’s worth as transfer.

Although transaction costs are largely dependent on the demand of the particular coin, it is common knowledge that even the most congested coins are usually far cheaper than bank transfer charges.

6. Alternative Markets

This benefit is two-fold.

On the first benefit, cryptocurrency provides an alternative market for the trading of portfolio assets. Instead of being limited to stocks, shares and other assets, there are a wide range of crypto coins available to choose from.

Although these coins are quite volatile, with diligence and following the right community, you can actually purchase a coin that could grow enough to increase your net worth (in the case of long-term investments) or keep on trading based on the projections of experts.

The other ambit of this is the constant availability of the crypto market. Stock markets all around the world usually have a start and stop time; when they open and close business for the day. More so, holidays, weekends and other breaks are known to affect the availability of the regular securities’ markets. With cryptocurrency, however, because all transactions are decentralized, done online and from the comfort of your homes, the markets are usually up and running at every point. Therefore, trading can be done at any time and in an easier fashion.

Bottom Line

If you have successfully read through the points highlighted, you would realize that there are a lot of benefits that making use of cryptocurrency avails you; especially in the contemporary world. Don’t be left out.