Crypto is a relatively new asset class created with the Bitcoin blockchain’s development in 2009. The main advantage of Bitcoin is that they do not have any central authority, the processor of payments, or the company’s proprietor.
In the crypto networks, users can directly transact with each other. A lot of the other benefits of cryptocurrency come from their decentralized and peer-to-peer nature. Let’s take a look at the positives of cryptocurrency and the reasons for you to obtain a crypto license.
Easy Transactions
Transferring cryptocurrency can be done quickly for a low cost and are more secure than other transactions. Any smartphone app, hardware wallet, or exchange wallet can transfer and receive cryptocurrencies.
Certain types of cryptocurrencies, including Bitcoin, Litecoin, and Ethereum, are available to purchase by cash through a Bitcoin ATM. Bank accounts aren’t necessary to utilize cryptocurrency.
One could purchase bitcoin at an ATM and transfer the coins to their mobile phone. If you cannot connect to traditional financial systems, it could be among the greatest benefits of cryptocurrency.
Incredible Security
Since they are built on blockchain security and cryptography, decentralized cryptocurrency provides secure payment methods. This is one of the greatest advantages of cryptocurrency. The security of cryptography is determined largely by the hash rate.
The higher the rate of hashing, the greater the computing power it will take to attack the network. Bitcoin has the best security of cryptocurrency, with the highest hash rates of any network. Utilizing a cryptocurrency exchange is very secure; however, the majority of cases of hacking crypto involve hacking exchanges or making mistakes.
Short Settlement Times and Low Fees
Although some individuals only wish to invest in crypto for price appreciation, others may appreciate the potential to use cryptocurrency as a means of exchange. Bitcoin and Ether transactions can cost anything from dimes and nickels to hundreds of dollars or even more.
Other cryptocurrencies such as Litecoin, XRP, and others are available at cents or less. The majority of crypto payments are settled in minutes or seconds. Transfers to banks via wire transfer are more expensive and typically take 3 to 5 business days to complete.
Exponential Industry Growth
The cryptocurrency market has been one of the fastest-growing markets that we have witnessed in our lives. It is possible to be comparable to involvement in businesses at the forefront of the internet in the 90s and the early 20s. The total market value that the market had in 2013 was around $1.6 billion. In June 2021, the market increased to more than $1.4 trillion.
More Private Transactions
Privacy is one of the many advantages of cryptocurrency. However, crypto isn’t as private as many people believe. Blockchains produce an open ledger that keeps track of every transaction for the duration of time. The ledger can only show the addresses of wallets. When an observer can connect the identity of a user to one particular wallet, the tracking of transactions is feasible.
The Takeaway
The above are but one of the many important benefits of cryptocurrency and some good reasons to obtain a crypto license. However, there are possible flaws, too, with its volatility an important drawback. Like all things, anyone looking to buy, sell, or trade cryptocurrency should be sure to conduct their research before investing in the cryptocurrency market.
