Unless you’ve been living under a rock or in a distant cave for the last decade or two there is a very good chance that you’ve heard of cryptocurrency. Heck, you might even own some. Maybe you’ve mined a bit or know a neighbor that’s used some. Whatever the situation is, there is good chance that you’ve been touch by cryptocurrency, or at the very least, you’ve heard of the technology. You might not know everything there is to know about it, but you likely understand that it is a digital currency that is used just like other currency.
The only major difference is that it is a complete digital currency, meaning that there is no paper or physical trace associated with the currency. Everything is traded, sold, and bought digitally. Sounds pretty simple, right? At the very heart of the technology it is pretty simple, so how could such a simple technology have the power to change the world?
Faster And More Cost-Effective Bank Transfers
When it comes right down to it, the methods that the financial institutions use today could be considered somewhat archaic. It literally takes anywhere from one to two weeks to transfer money from one institution to another. Heck, have you ever tried to buy something from a different country? You don’t even want to know what the process takes. While buying goods and services from other countries might not be a major concern for many average Joes, it is a fairly common practice for business owners. Regardless, it is a pain-staking process that takes too long and come attached with high fees.
This is something that cryptocurrency can eliminate entirely. A cryptocurrency exchange is instant. As soon as you transfer the money, it is received, converted, and verified on the other end in just a matter of seconds. This makes global transactions easier and faster than ever. Couple this with the fact that the fees for the process are much less stringent, and it makes you wonder why people haven’t been taking advantage of this technology long before now.
Global Remittances – Helping Less Privileged Countries
Speaking of long transfer times and extortionate banking fees, this is something that immigrants are all too familiar with. A lot of immigrants that come over to the United States end up sending hundreds to thousands of dollars back home each year to their families. While doing so, they not only dace immense scrutiny, but they face even higher transfer rates and fees. Once again, this is something that cryptocurrency can eliminate.
While there will still be fees and charges associated with such transfers, they will be much lower than what immigrants would face with traditional banking intuitions. Not only this, but cryptocurrency technology will make the process all that much easier by allowing users to make such transfers via a mobile phone or other digital device. All in all, this means more money ends back in less privileged countries, where it can actually be used to do some good.
Safer Transactions
There is no denying that the current financial system is pretty secure. However, there are always risks associated with transferring money. Risks of fraud or risks of losing your money completely. Believe it or not, this is something that cryptocurrency technology could eliminate. You might be wondering how? Well, cryptocurrency uses what is known as blockchain technology to transfer the digital currency. It is basically just like a big digital ledger that keeps track of every transaction. And, all transactions are public so they can be viewed by anyone. However, the major difference is that they cannot be altered. This is why many retailers and online casinos are now using the technology. You’ll find that some casino even offer a casino bonus in this form.
This ledger can be viewed, but it can by no means be altered, making it virtually impossible to hack or manipulate. Of course, all the technology behind this is much more complicated and sophisticated than this, but at the end of the day, this digitally encrypted ledger makes it virtually impossible to manipulate cryptocurrency transfers.
Doing Wonders For E-Commerce
When it comes to safer and faster digital transactions, there is no single industry that stands to benefit more from both of these than the e-commerce industry. E-commerce is already growing in popularity and will continue to grow even more now that COVID is forcing more and more people to shop online, but cryptocurrency could completely change the industry. In fact, it already has for those companies that have been utilizing the technology. A lot of people are reserved about making global online purchases.
Cryptocurrency could do its part by mitigating the risks. You’d never have to worry about the money getting there because it would be instant, making it easier and safer to verify transactions. This is something that would be beneficial for both retailer and consumer.
