When cryptocurrencies were introduced in 2009, the first adopters who rushed to take pole position were from the dark web. Consequently, many enterprises, investors, and governments considered the blockchain networks to be unethical and held reservations about them. However, this reality is changing as more benefits of cryptocurrencies are revealed. Now, more corporations are comfortable working with crypto assets, and you, too, should not be left behind. Keep reading as we explore the main advantages that come with using cryptocurrencies.
Important Facts about Cryptocurrencies
Cryptocurrencies are peer-to-peer systems that are designed to process transactions without requiring a centralized authority the way traditional financial organizations operate. Instead of using centralized management, cryptocurrencies use a network of nodes that help to confirm transactions through a process referred to as mining in the case of proof of work (POW) or staking in the case of proof of stake (POS) blockchains. Now, here are some useful facts that you need to know about cryptocurrencies:
- In 2020 alone, about 20% of the IOT technologies had some blockchain-enabled services.
- Spending on blockchain is expected to reach $11.7 billion in 2022.
- By the close of the second quarter of 2021, the number of blockchain wallets had grown and reached 70 million.
- Financial organizations can make savings of up to $12 billion per year by adopting blockchain technology.
- In the healthcare sector, the total spending on blockchain is expected to hit $5.61 billion by 2025.
These numbers indicate one thing: a global economy that is about to fully embrace cryptocurrency and blockchain technology. So, what are the main benefits?
Special Advantages of Using Cryptocurrencies in Your Company
Cryptocurrencies come with a long list of benefits for both the company that embraces them and its customers. One, the business is able to offer more lines of payments on top of the standard ones, such as credit cards and cash. If you are an e-commerce store, the new line of payment might be all that you need to drive sales and higher profits.
Helps to Make Payment Cheaper
If your company uses traditional methods of payment such as credit cards and wire transfers, the associated charges can easily push the cost of products or services up. However, cryptocurrencies help to remove most of the “middlemen” and their associated charges because transactions are confirmed by nodes on the blockchain network.
Transactions are Processed Faster
There is nothing as discouraging as having to wait for hours or days for payment of a service to be activated. Unfortunately, that is the order of the day with many types of payments, but you can say goodbye to such inconveniences by shifting to cryptocurrencies. Crypto networks, such as Bitcoin or Ethereum, are designed to work without central authorities, which makes it pretty fast to process transactions. Your customers will be very happy to get their transactions completed within seconds or minutes. Even when you are buying a product abroad, the transaction is completed in seconds.
Transactions are Confidential
When making payments through banks or credit cards, people have been raising concerns about their data privacy. For example, the entire credit card firm can easily access your personal details and transaction information. However, blockchain allows companies to work with clients without unnecessary information getting exposed. When you pay for an item, no other details, such as account balances and personal information, are revealed. Even the miners who confirm transactions only get to know if there are enough coins for the respective transaction but cannot pull out personal details.
From the facts we have revealed about cryptocurrencies to the highlighted benefits, it is clear that cryptos are the way to go. So, do not let these benefits slip away because it is also possible to use the crypto coins.