The 5 Advantages Bitcoin Has Over Fiat Currency
Bitcoin has been around for about a decade and it’s still going strong. This success can be attributed to the many advantages that bitcoin offers over traditional fiat currencies such as United States’s national currency – dollars, pounds sterling, yen, etc. As bitcoin becomes more and more popular, more and more people are investing in it – including investors who traditionally invest in fiat currency. Bitcoin has a lot of advantages over traditional currencies, which is why investors are starting to switch their money into bitcoin. In this article, you will find five reasons why bitcoin is a better investment than traditional fiat currency!
1. Bitcoin Is Decentralized
The value of Bitcoin has been steadily rising over time and it’s due to the fact that there are only 21 million bitcoins out exist in total. Unlike fiat currencies which can be printed by governments when they see fit, this currency relies on math problems solved with computer software called “mining.” Miners solve these algorithms for coins; you cannot devalue them like regular money because only so many will ever come into existence!
-Bitcoin Is Global
Another advantage bitcoin has over fiat currency is that it is not subject to the same economic conditions. For example, if the United States economy tanks, the value of the US dollar will drop. However, bitcoin is not linked to any one country’s economy! This means that bitcoin can be a great hedge against economic instability.
-Bitcoin Is Private
When you use bitcoin, your transactions are anonymous. Fiat currency is regulated by governments and financial institutions, which means that they can track your spending and transactions. With bitcoin, you have a high degree of privacy and anonymity.
2. Extremely Easy To Use
Opening bank accounts is not a simple thing to do. You’d have to go to your bank, wait in line, fill out forms, submit your IDs, etc. It’s a time-consuming process. But with Bitcoin, all you need to do to get started is just create a free soft wallet or hard wallet, and that’s it! You’ll then be able to receive your first bitcoins in just a few minutes.
-Bitcoin Is More Secure
Fiat currency is stored in physical form, which makes it vulnerable to theft and loss. But bitcoin is stored in a digital format using blockchain technology, which makes it much more secure. In addition, bitcoin transactions are irreversible, so you don’t have to worry about charge backs.
3. Fast Transactions
Imagine if you could send money 24/7 to someone in another country without worrying about how much it would cost or whether they accept payments via credit card. With Bitcoin, this is now possible! You can conduct international transactions instantly and with complete privacy using the bitcoin network—at a very low fee, because everything happens on-chain without a middleman. The speed of transaction confirmation also blows traditional banking outta water; most banks take hours whereas one block height takes less than 10 minutes. Banks are open for business during certain hours of the day on weekdays (some banks are open on weekends, but they’re far and few in between). But with Bitcoin, you can transact with anyone, any time of the day, wherever you and the other person may be located. Your bitcoins will arrive in just a few minutes.
4. Highly Portable And Durable
Since bitcoins are electronic, they can’t get burned down by fire, and they’re not going to get wet in water. You can bring them anywhere with you, and they won’t even take too much space. Whether you have an online wallet, or an offline wallet, your bitcoins are easily within reach anytime you wish. Another advantage bitcoin has over fiat currency is that it can be used as a hedge against inflation. For example, if you live in Venezuela where the annual inflation rate is currently over one million percent, your savings are worth less and less each day. But if you hold bitcoin, your savings will maintain their purchasing power since the bitcoin network is not subject to the same inflationary pressures as the Venezuelan economy. In fact, bitcoin has shown to be a relatively stable store of value over time, despite its volatility. This makes it an attractive investment in times of economic uncertainty.
5. No More Exorbitant Bank Fees
Bank fees are the bane of anyone who has ever done any business with a bank. You want to have a bank account to store your money in, you need to pay fees. You need to use or withdraw your money, you need to pay fees. You want to send funds to someone else, you pay bank fees. The list goes on and on. But with Bitcoin, you’re bypassing all these fees. Digital wallets are free, and transaction fees are very, very minimal. To put things in perspective, the median transaction fee for Bitcoin is currently $0.26. The median transaction fee for Ethereum is $0.21. For comparison, the median transaction fee for Visa is $1.14 and for Mastercard, it’s $0.32. So not only are you avoiding all the fees that come with traditional banking, you’re also getting cheaper and faster transactions. Bitcoin has a lot of advantages over fiat currency. It’s more secure, faster, and more portable. It can also be used as a hedge against inflation. And perhaps most importantly, it eliminates the need to pay exorbitant bank fees. If you’re not using Bitcoin yet, now is the time to start.
Bitcoin is a digital currency that is decentralized, meaning it is not subject to government or financial institution control. This makes it an extremely attractive option for people who are looking for an alternative to traditional banking and its exorbitant fees. Bitcoin transactions are also incredibly fast and easy to use, making it a great choice for anyone who wants to be able to move their money around quickly and easily. And finally, because bitcoins are digital and portable, they can be stored on virtually any device without taking up any extra space. If you’re looking for a way to avoid high bank fees and want a highly portable, durable, and easy-to-use currency, bitcoin may be the perfect solution for you. To learn more about how to get started with Bitcoin, check out our guide, How to Hedge fiat currency collection.
Disclaimer: I would like to remind everyone that I am not a professional adviser and what I share here with you is based on my own personal experiences and research, and contains subjective opinion. Thus, I Ricardo Cortes and Consigliere Nomade, LLC are not liable for the information you decide to use or take from this site. Read, learn, surf, and form your own conclusions. If you find anything on this site that you disagree with, please contact me at [email protected]