- 1 5 Advantages And 4 Disadvantages Of Using Bitcoin As Payment
- 1.1 What’s the purpose of bitcoin and why it’s rising so high?
- 1.2 Advantages
- 1.3 Disadvantages
- 1.4 1. Bitcoin transactions are irreversible.
- 1.5 Final Words
5 Advantages And 4 Disadvantages Of Using Bitcoin As Payment
You have heard the word bitcoin before, but don’t have a clear image of it, and why bitcoin?
the whole crypto industry is booming and It’s the one of most value-based coins ever. in this article, we are going to disclose some advantages and disadvantages of bitcoin as used for making payments.
Bitcoin has been the top coin in whole cryptocurrencies, back in February of 2011, the value of a single bitcoin was about 1$. Now the value of bitcoin is 61,307.50 United States dollars. Many who invested in that time and held it are Millionaires today.
What’s the purpose of bitcoin and why it’s rising so high?
Bitcoin was created and introduced first in 2009 and it started rising in 2011. The main purpose it serves is that people can use digital currency for making online transactions. It has no central control just like a traditional physical currency which we use in our daily life.
It’s much faster, cheaper, and more secure, if you are thinking why it’s worth so much then it’s all because of Limited supply and the maximum supply can be up to 21 million.
1. Bitcoin has user autonomy.
Bitcoin’s architecture public key has brought real meaning to have more control over your security and data. Bitcoin’s price isn’t linked with any governmental policies and while other local banks are based on it.
2. Bitcoin transactions are pseudonymous.
Usual transactions do require a lot of information to identify the person who is making a transaction, payment has been done when both parties are verified at their ends. similarly, online transactions require some information to identify you as a person.
Bitcoin payments are not completely anonymous, transactions can be tracked through blockchain addresses and each user can have multiple addresses per account just as they can have multiple usernames and passwords. Ip addresses are not required to conduct the transaction of bitcoin.
3. Bitcoin transactions are conducted on a peer-to-peer basis.
Any user can do the transaction from one user to another in its a peer to peer network. it doesn’t require any supervision of an external source of authority.
4. Bitcoin transactions do not incur banking fees
Bitcoin users are not involved in any usual fees as traditional banks charge fees. this means no account maintenance or minimum balance or any overdraft fee.
5. Bitcoin payments have low transaction fees for international payments.
Standard money transfers or foreign purchases cost you fees on it since Bitcoin isn’t connected with any institutions or governments so it doesn’t involve those fees. It has way less fee with international transactions. Bitcoin transactions are done almost instantly which gives you a smooth experience.
1. Bitcoin transactions are irreversible.
When you perform transactions, they are permanent. So, every time you are going to perform a transaction you need to be sure of your wallet address. There’s no turnback of any transaction that has been done in any cryptocurrency coin. Even businesses, need to track down the transactions of their customers. There’s a possibility comes that customers can ask for refunds.
2. Market is not regulated by any Authority.
There are no rules because bitcoin never comes under any Authority such as the Financial Conduct Authority (FCA), individuals or businesses are not protected in such cases.
3.Value Of Bitcoin can be changed significantly
Value can be changed at any time, this is how the market works. It started from $1 each bitcoin and now each value at $61,307. Most who are trading in bitcoin are gaining huge profits, at first they analyze the market according to charts and they buy bitcoins for low-value costs and then sell when they hit bitcoin. If you are in business so should be sure about this disadvantage. Although it’s kept rising and rising since many people loved the concept of digital currency and people are putting their money to buy bitcoins.
4. Cryptocurrency can be vulnerable to scams.
Many scams are going on every day in the name of bitcoin investments, With the involvement of fake promises and fake high returns. Since’s it’s not regulated by any authority so that makes users more susceptible.
So we have explained some pros and cons of using Bitcoin as payment, I hope this information will work for you if you are a BTC user and using it for several payments. For more Crypto updates stay connected.