The strong performance of cryptocurrency has been on the news for years now; you must have been under a rock to not know its growth. Bitcoin has been generating waves of popularity since 2009, and it continues to do so with its volatile value in the market. Though its price has fallen below $1,000 in the last few years, people keep returning to explore the potential of these currencies by using them for various purposes. The increase in the value of the altcoins has brought more users to the frontline, putting more money into the market for circulation. Since blockchain technology has been employed here to distribute data of the transactions, the trust is not broken. Indeed, the miners are working hard to allocate specific blocks for each transaction. The decentralized system operates through millions of computers across the globe. If you are still cynical about the working of digital currencies, here are a few benefits of using them.
1. Low Transaction Fees
When you are using your credit cards for international transactions, you will be charged a hefty fee, ranging anywhere between 2% to 5% depending on the amount transferred and the platform used. Having to pay a few hundred dollars in transaction fees to send and accept payments is quite a saddening aspect. Blockchain equips cryptocurrency with technologies that can bring down the transaction fee. Bitcoin and other digital currencies eliminate the need for an extra fee for the transaction, though you may be charged a small amount sometimes.
2. No Need for Chargebacks
As you may know, chargebacks most often occur when you purchase a product or service using your money. These may be exploited by the business to cut a certain amount of money as a service charge. Digital currency rules out this feature to avoid escalations and disputes. A sale will always be complete only when the customer has sent the money after receiving the product. Frauds can be avoided in such situations, helping you choose only the best in the market.
3. No Inflation
In all Third World countries with central banks controlling the currency flow, the biggest problem is frequently occurring inflation in prices. Since the quantity limits and the algorithms are controlled in the digital currencies, there is only a small or even no margin for inflation to take place. People who keep themselves updated with the movements in the economy and money market can find a better position in the trade by procuring Bitcoin without being affected by the inflation of fiat currencies.
4. Builds Better Trust with Customers
Since the credit card information of your customers isn’t stored on your computer system, you can establish greater trust with them. By doing so, the cyberattacks can be reduced to a great extent. Replacing credit cards with digital currencies will set a temporary encrypted code for the faster processing of every transaction. Customers can know if their financial data is being tracked, helping keep the trust intact.