When the cryptocurrency known as Bitcoin first hit the market and started garnering attention, people were intrigued. The value of the newly minted currency quickly rose from almost nothing to more than $1,000 apiece. After that, Bitcoin fell in price and some people began questioning the value of the Bitcoin currency, and whether these types of new currencies are as desirable as they have been made out to be. Since then Bitcoin has continued a meteoric rise where today it has reached over $4000 per bitcoin and people are predicting it may reach a million dollars per coin within 10 years, let’s take a look at this phenomenon.
Benefits of Bitcoin
A number of influences have combined to create a strong need for Bitcoin, and the new digital currency still has a lot of advantages to offer consumers and investors around the world. One of the biggest reasons Bitcoin is still considered the wave of the future has to do with the need for increased security measures. Identity theft has been on the rise, with entire databases full of credit card numbers and other personal information being stolen and used for nefarious purposes. The new PIN-and-chip credit cards banks are issuing have helped to some extent, but there is still plenty of room for fraud.
Bitcoin offers nervous consumers a more secure alternative to the more traditional payment methods. Since the Bitcoin transactions are entirely anonymous, the security is built in from the start. Bitcoin users benefit not only from the privacy and security of the transactions, but from other advantages that go far beyond financial security. Those living in repressive regimes have been turning to Bitcoin to make purchases, transfer funds, and live their lives far from the prying eyes of their governments. Like Twitter, Facebook, and other social media platforms, Bitcoin has a powerful role to play in spreading democracy and helping nascent freedom movements grow and thrive. The decentralized nature of the cryptocurrency, and the fact that transactions cannot be traced back to individuals, make Bitcoin a natural fit for those concerned about government spying and repression.
Bitcoin also has a number of benefits that government-issued and government-backed currencies simply cannot offer. Many people are worried about the future of traditional currencies such as the Euro and the U.S. dollar. If those currencies were to fall or get into serious trouble, the implications would be enormous. Many people see Bitcoin as a natural hedge against the risk of traditional currencies, as well as a valuable safe haven should a crisis occur.
Freedom from financial interference is another valuable benefit of Bitcoin. Governments, tax agencies, and even private businesses can freeze traditional bank accounts with the touch of a button, putting individual wealth at serious risk.
Paying with Bitcoin and maintaining a Bitcoin account offers protection from the risk of asset seizures and bank account freezes. Even individuals who have no reason to think their assets would be frozen have been using Bitcoin to protect themselves from this unlikely scenario. Those who have been struck by previous asset and bank account seizures are even more enamored of Bitcoin and even more likely to turn to the currency.
Some may think that turning to Bitcoin in an attempt to avoid asset seizures and bank account forfeitures seems a bit paranoid, but there are other, more practical, reasons to opt for the cryptocurrency in lieu of credit cards and other forms of payment.
One of those more practical reasons is the relatively low transaction fee charged by retailers who accept Bitcoin as payment. The transaction fees associated with wire transfers and foreign purchases can be extremely high, as anyone who has traveled overseas recently can attest. Bitcoin fees are typically much lower, making the cryptocurrency an excellent choice for all kinds of purchases.
Another big practical benefit of paying with Bitcoin is the easy availability of mobile payments. On-the-go payments allow consumers to make Bitcoin purchases with the touch of a button on any smartphones. There is no need to travel to a bank or pull money from an ATM.
Despite some recent setbacks and questions about its long-term viability, there are many reasons to think that Bitcoin is still the wave of the future. This cryptocurrency is tailor-made for the digital age, and many 21st -century consumers continue to use it. Whether you are looking for an anonymous way to pay, want freedom from high transaction fees, or are just curious about this new currency, now is the perfect time to join the Bitcoin revolution.