Cryptocurrency is the point of discussion among countries, banks and people for some years now. We’ve given you a glimpse in previous posts about what cryptocurrency is and why this topic is still controversial. Now the big question is, should you even invest in cryptocurrency and why? Should you use it as a replacement for the method for online payments that you’re using now? And would you ever benefit in doing any of these two steps?
In order to provide you with these answers, we need to give you the pros and cons of investing and using cryptocurrencies and examples where the use cryptocurrency is absolutely legit and we will leave it up to you to decide whether you’re interested in such an investment.
Pros of Investing in and Using Cryptocurrency
The most popular cryptocurrency is Bitcoin. The main advantage of using cryptocurrency and therefore investing in it is security. If you’re using a Cold Storage Wallet, which is the offline wallet, you are putting your money in a safe place, far from the online world full of hackers. Set a strong private and public key and your money are safer than in any other place it could be.
The second benefit of using Bitcoins is disintermediation. Not a single one of your private and banking data can be reached out by a third-party, and you don’t need to use the middleman which is usually the bank to make your transfers. Your transactions are untraceable so your privacy is completely out of reach. In addition, these transactions are the fastest you’ll ever see, happening in mere minutes.
The main reason why you need to invest in Bitcoin is cost-efficiency. Bitcoin’s fees are an insignificant, snippet amount so they can really save you money if you think about the bank fees you’re paying now.
Online payments, as you can see can be cost-effective, fast, safe and private with cryptocurrency. Regardless of whether you want to buy a secret present for a girl you like, play table games online, or simply don’t want to reveal your real identity to online shops, your sensitive data is sealed with cryptocurrency payments.
Cons of Cryptocurrency
One thing you should know before you invest in Bitcoins is that its value fluctuates, it keeps going up and down, so investing in it is basically gambling. You may lose a lot but also gain a lot. There is this risk that you must be comfortable with before you invest.
Another con is that payments you make with Bitcoin are irreversible, so if something goes wrong, you’ve made a wrong order and paid for it by accident, you cannot go back and there’s no bank to help you out.
And finally, you can’t touch and see your money in real-life form. Sure, we’re used to credit cards and we have an idea how much we are spending even though we still don’t see our money, but with Bitcoin, it’s a whole other situation. Your money is now in Bitcoins, and remember, the value keeps increasing and decreasing, so you can never be sure how much you have left in your Bitcoin wallet. That’s a serious disadvantage that can have a huge impact on your savings.