Ever evolving technology never fails to amaze us. From barter systems to cryptocurrency, our system of exchange has evolved a lot on this website. Cryptocurrency is a hot topic and countries are adopting this medium of exchange one by one.
What is cryptocurrency?
Cryptocurrency is a virtual currency which is managed and stored using cryptographic algorithms in a computerised database https://bitpapa.com/ . Cryptocurrency is maintained by block chain technology through multiple computers in a shared network. One major thing that makes cryptocurrency different from other modes of currency is that it is decentralised hence is not regulated by the government agency or any central banking system. Cryptocurrency entails individual ownership records of currency.
Bitcoin was the first cryptocurrency and it gained massive popularity in recent years. Today there exist a number of other cryptocurrencies like Litecoin, Peercoin, Cardana, Ethereum etc.
Pros of investing in cryptocurrency
- There is no third party involved in the transaction between two parties. As a result the transactions are easier and without any hassle.
- Cryptocurrency is cheaper as compared to other modes of transactions as there is a minimal processing fee involved.
- Due to the anonymity offered by it, the transactions made are safe and secure. Plus the block chain technology also plays a very important role in the security of the money.
Cons of investing in cryptocurrency
- The anonymity of the transactions can be misused for illegal activities like money laundering, tax evasion and terror-financing.
- Once a payment is done, it is not reversible in cryptocurrency.
- Due to its decentralised nature, it is not a legal tender everywhere in the world hence is not acceptable at most places. The scope of cryptocurrency is still very limited.
- The dynamics of the rise and fall of the currency is not dependable. Cryptocurrency investment demands a high risk to be taken.
Every technology being used or getting developed has both, advantages and disadvantages. However, it depends on the person to person thinking and there way of earning. So, if you want to get the best from the platforms such as, you need to start investing and learning more about it. Discussion on the technology would never end. So rather than doing that, one can get the best knowledge by using the same platform and would rather learn better. So, without wasting much time, get in touch with the online platforms and have the best money.
There is much debate on whether cryptocurrency is beneficial and safe to use or not but the data shows that cryptocurrency like Bitcoin is doing a great job in
the market. It is appealing to thousands of people every day. It is true that understanding cryptocurrency takes a lot of time and effort because not everyone is familiar with block chain technology and crypto algorithms. One needs to dedicate a significant amount of time to analyse the pros and cons of investing in cryptocurrency so that they can make a wise decision based on what suits their needs the most.