Bitcoin Pros and cons

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Pros And Cons Of Paying With Cryptocurrency

Cryptocurrencies are a viable alternative to traditional mediums of exchange for buying goods and services. In a similar way that fiat currencies operate, people can now rely on digital currencies to execute everyday payments via mobile wallets, QR codes, and even cryptocurrency debit cards.

Cryptocurrencies are a viable alternative to traditional mediums of exchange for buying goods and services. In a similar way that fiat currencies operate, people can now rely on digital currencies to execute everyday payments via mobile wallets, QR codes, and even cryptocurrency debit cards. Yet, here are some debates on whether it is a good idea to make your payments using cryptocurrencies, such as Bitcoin, Ether, etc.

For example, some might argue about the volatile prices, which makes crypto payments inconsistent and risky. In most cases, people refer to Laszlo Hanyecz, a Florida computer programmer, bought two pizzas for 10,000 bitcoins. By that time, the price seemed reasonable, but he could be a billionaire if he knew that the digital assets would appreciate significantly in years to come.

Advantages of paying with cryptocurrency

We now live in a digital world, one that calls for digital solutions. Especially when it comes to finances.

Today, we communicate instantly with anyone across the globe for pennies on the dollar. Why do we still need to pay filthy commissions to remittance companies? Blockchain, the technology behind digital currencies, makes them fast, flexible, and global.

Low transaction fees

Shopping with a debit or credit card is practical. All you need to do is swipe it and be on your way. But this payment method can easily hide fees on each purchase. The main reason is that plenty of parties are involved in your transactions.

The charges you incur are even higher if you are buying something from another country. You will have to think about the conversion rates.

On the other hand, cryptocurrencies have done well in eliminating third-party intermediaries in transactions. And no middlemen make it possible for you to pay low transaction fees.

Paying a freelancer? Sending money to your friends or family? With solutions like Crypterium, you can transfer funds instantly with zero commission. And all you need is the recipient’s phone number.

Irreversible transactions

Cryptocurrency transactions are irreversible. Once a deal is complete, no one can undo it, and you are immediately entitled to the goods or services you have paid for.

Of course, there are some exceptions. If you are using a cryptocurrency wallet like Crypterium and you transfer funds to another user off-chain, the transaction can be quickly canceled. In this case, you can benefit from both the speed and flexibility of cryptocurrencies within a secure environment that offers an additional piece of mind.

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Enhanced stability

Believe it or not, volatile cryptocurrencies like Bitcoin can serve as reserve currencies in countries unable to handle inflation. Many governments are mismanaging their economies to the point that fiat currencies are rendered useless by hyperinflation.

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In Venezuela, inflation reached nearly one million percent, and the workers’ wages were reduced to almost nothing. The money quickly loses its value, and residents are converting the local currency to digital assets such as Bitcoin or stablecoins like USDC and USDT.

The logic is simple: cryptocurrencies can appreciate, and at the same time, be used for day to day payments.

Disadvantages of paying with cryptocurrency

Fair enough. Cryptocurrencies are not perfect. But neither are fiat currencies… Flammable paper notes, seriously?


Cryptocurrencies such as Bitcoin and Ethereum are known for their volatility. As investments, that’s what makes them so attractive. Bitcoin’s price can easily fluctuate between 15 to 30 percent in a single session. While this volatility might be a gold mine for traders, those planning on paying for things could find it less seducing.

Imagine that you have one BTC. When you wake up, the price is $10,000 per unit, enough to get yourself a nice car. In the afternoon, the price could quickly drop 20 percent, no longer enough for the so-needed car.

At the same time, some people think that it doesn’t make sense to buy goods or services with crypto when others are using the same asset for investment purposes. Think about the programmer mentioned above.


Some people are reluctant to use cryptocurrencies for no particular reason. Since digital currencies are not regulated or guaranteed by governments, a vast majority of people may be inclined to the traditional payment method.

Illicit activities

Yes, some digitals assets like Monero and zCash are used by criminals in the underworld because they are easier to manipulate and hide. But that doesn’t make them “criminal currencies.” After all, is the dollar a dirty currency because Pablo Escobar ran a multi-million drug cartel? You get the point.

The Bottom Line

Cryptocurrencies have not been around for a long time. Many people out there still do not understand their value against other types of payment methods, like Paypal, bank cards or cash.

However, as big companies like Facebook and Telegram prepare to enter the digital currency market, it is only a matter of time until everyone realizes about their disruptive potential.

What is bitcoin and its pros and cons?

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Many are attracted to Bitcoin by its independence and pseudo-anonymity. But its convenience of use, speed and costs are not always as attractive as one would like.

The main advantage of using Bitcoin for payment is you do not need a middleman, like a bank, to complete a transaction. In some cases, however, transaction speed and costs are a downside for this currency.

– You can make payments with bitcoins 24/7 all over the world, even where there’s no banking system.
– International payments with bitcoins can be faster and cheaper than with traditional banking.
– You can spend bitcoins .

The Pros and Cons of Bitcoin

There’s no denying that bitcoin has a lot of growth potential, but the cryptocurrency is also plagued by concerns about its safety and security

While bitcoin has been at the forefront of the news cycle over the past year, a lack of understanding about how the cryptocurrency actually works and its extreme volatility has kept many traders from considering the industry to be investment-worthy. However, there could still be money to be made. But investors need to be willing to stomach a little risk and wait out the bumps. Here’s a look at the pros and cons of bitcoin.

Pro: Growth Potential

Perhaps the most appealing thing about bitcoin is that the technology is so new that the growth prospects look compelling. Bitcoins offer a new way for people to exchange funds instantly without going through a third party intermediary.

Bitcoin functions on a technology called blockchain, which allows people to transfer assets for just a fraction of the time and money it would take to make the same transaction through traditional financial institutions. For that reason, many have pointed to blockchain as one of the most important technological advances of this decade. Blockchain is useful not just for cryptocurrency transfers, but as a ledger-like technology. And it is applicable to several other industries as well. Everything from the way stocks are traded to how contracts are negotiated could be changed via blockchain.

Bitcoin itself also has a large growth runway as people get more comfortable using it. We’ve already seen everything from Bitcoin ATMs to big-name retailers accepting the cryptocurrency as a valid payment. That’s good news for bitcoin investors. The coins will only become more valuable as the currency catches on and grows in popularity.

Con: Misunderstood

Perhaps the biggest con for Bitcoin is the general public’s lack of understanding surrounding the cryptocurrency. Several studies have shown that people — including bitcoin users — don’t really understand how the cryptocurrency works and whether or not it’s secure.

That’s a problem. In order for more people to adopt and become comfortable with bitcoin, they will almost certainly need to understand it. Additionally, the digital currency already has a poor reputation regarding safety, so understanding how to protect and use bitcoins wisely is paramount to it’s expansion.

Pro: Safety

Another big reason Bitcoin is considered transformative is that the blockchain protects against things like identity theft and payment fraud more thoroughly than a credit-card transaction ever could. As the coins are digital, they can’t be counterfeited. This takes a way some of the risk that traditional transactions carry.

Not only that, but payments via bitcoin are more secure for buyers than credit card charges. Paying via bitcoin allows a buyer to send exactly the amount required — giving the merchant no access to the rest of their funds.

Credit card payments give merchants access to an entire line of credit for any amount. This leaves the door open for hackers and dishonest merchants to pull as much as they want from a buyer’s account.

Con: Safety

When discussing the pros and cons of bitcoin, safety falls in both categories.

Bitcoin transactions require just the buyer’s coin wallet ID — rather than their name and contact details. Thus, they offer a degree of anonymity that traditional transactions don’t. While some tout this as a pro for bitcoin, it’s also why some investors view cryptocurrencies negatively.

Many worry that cryptocurrencies are becoming a sort of ‘underworld’ where seedy dealings can take place because this anonymity. That has contributed to consumers’ hesitation to adopt the currency. And it’s given regulators reason to warn against getting involved in bitcoin without fully understanding it.

Investing In Light of the Pros and Cons of Bitcoin

In theory, bitcoin looks like a great opportunity to jump on a new technology before it gains momentum — but in practice things are much murkier. Bitcoin prices have proven to be extremely volatile. And as they don’t offer any of the kind of valuation metrics that stocks do, it’s difficult to estimate where prices are going. Analysts are all over the shop with bitcoin 2020 predictions, making it difficult to gauge where the cryptocurrency is heading.

There are plenty of other ways to add cryptocurrencies to your portfolio without owning them outright though. The closest you can get without buying them would be through an investment like the Bitcoin Investment Trust (OTCMKTS: GBTC ). The trust behaves similarly to an ETF by buying and holding on to bitcoins. That means investors who buy shares will benefit should bitcoin prices rise. Investors can also purchase futures contracts to bet on bitcoin prices.

However, perhaps the safest way to add bitcoin to your investment strategy is to choose a publicly traded company that has been making bets in the cryptocurrency space. Inc (NASDAQ: OSTK ) is the most notable example, the company has been shedding its traditional e-commerce business to become completely reliant on the cryptocurrency industry. If you’re looking for something even safer, consider a company like IBM (NYSE: IBM ) which has been working to develop new uses for blockchain or NVIDIA Corporation (NASDAQ: NVDA ) which makes chips used by bitcoin miners.

As of this writing Laura Hoy did not hold a position in any of the aforementioned securities.

Bitcoin: Pros and Cons

Since its inception, Bitcoin has continued to haunt the minds of people in many countries around the world. He was called both the “first step towards financial globalization and independence,” and “a bubble doomed to failure.” If large financial institutions are still cautious, then the common people of Bitcoin are attracted by their anonymity, independence and omnipresence. But is it really? What kind of cryptocurrency can there be for and against? We will try to figure it out.


The following factors speak in favor of Bitcoin:
– it is available for payments and transfers 24/7. It does not depend on banks, payment systems. To pay for an order or transfer money, you do not need to wait, stand in line at the bank, look for the nearest ATM, etc. It is enough just to have access to the Internet;
– international operations with finances may be cheaper, moreover, several times. You save on bank fees, rates, deductions and things like that;
– transfers and payments can be made faster;
“Bitcoin can be used in trade and business because it is protected by blockchain technology. From now on, the transaction between the seller and the customer becomes even safer.


With all these advantages, there are factors that can argue towards the rejection of the implementation of Bitcoin:
– it can not be used offline. His “work” depends on the world wide web and payments can be made only where there is Internet;
– so far, for small transactions, Bitcoin cannot provide fast transactions. However, systematic work is being done on this;
– Bitcoin is a new technology, therefore imperfect. His prospects are hard to predict;
– transferring Bitcoin to ordinary money is a costly undertaking (given the rate of nearly $ 8,000 for BTC);
– cryptocurrency is not so common and so far not all organizations accept it for payment.

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