Digital currencies have seen a huge surge in value and also the number of people opting for it. It is not without reason that it has reached such popularity. There are several benefits that are not found in the use of fiat currency that makes people shift. Let us look at some of them here.
- The users of cryptocurrencies have autonomy. Traditional paper money is always associated with a lot of risks. Also, it is affected by fluctuations in the market. The stability of the economy plays a great role in the value of money. So this means that the owner of the money has no control over its value. Everything is decided by other factors. This is absent in cryptos like Bitcoin, Ethereum, etc where user autonomy is present. The value does not fluctuate.
- Anonymity is maintained in cryptocurrency transactions. You cannot perform a transaction in the regular mode without disclosing your identity. The traditional banking system requires a lot of information and disclosure formalities. This is not the case with digital currency. In a transaction involving Bitcoin, the transactions can be identified only by people in the chain and not any external person. This makes the transactions pseudonymous. All transactions are done online and all data are also stored over the internet. This eliminates the role of middlemen in the transactions. It is done through reputed exchanges like SOLANAX making the transactions secure.
- In a regular banking process, charges/fees are levied for transactions. The users of cryptocurrency are not required to pay any such fee. This is a great benefit associated with digital money. Even if the account remains idle, charges are not levied for it. This makes it different and unique from the regular system.
- You can make the transactions from anywhere, provided you have an internet connection. There is no necessity to travel to any designated place for this purpose. This eliminates unnecessary travel. The transactions are also done at high speed, unlike regular banking transactions.
- International payments through crypto have lower transaction fees. There is no additional charge involved as there are no intermediaries in this process. Without any huge waiting period, the transaction gets through, and that too at a lower cost than the regular. When done through the regular stream it takes a day or two and also the charges involved are huge.
- The crypto transactions have made more people access the system since these can be done through a smartphone. It has improved the accessibility of users since the process is very easy. Even those who were not users of the traditional banking system because of the cumbersome process are part of this now.