5 Reasons why Bitcoin is better than Fiat Money

Since the introduction of Bitcoin in 2009, the preferences of the investors and traders are slowly moving towards the cryptocurrency market. There are many good reasons why bitcoin is a much better option than traditional currencies. Not so long ago, a lot of people did not even know about Bitcoin. The traders and investors have started showing more interest in Bitcoin in recent times.

Ever since Tesla’s announcement, Bitcoin’s price has reached an all-time high and many other companies and online businesses are now gradually accepting Bitcoin as a payment method. The year 2020 has proved to be threatening, because of the coronavirus pandemic, to almost every other market but it has had a positive impact on the cryptocurrency world and the Bitcoin market.

Because of the growth in Bitcoin’s price and market, many traders and investors have entered the market to make money. Bitcoin has a volatile nature and allows traders to make profits as its price goes up and down.

Even those who do not have any trading experience can use automated trading platforms and automatic trading robots, like Bitcoin Up software. Such platforms and robots perform trades automatically for their users and they take into account several technical factors to make sure that the users can make money.

However, this is not the only thing that attracts people towards Bitcoin. It has become very clear that Bitcoin has many advantages over traditional currencies. Bitcoin could become the global medium of exchange.

Bitcoin is a Decentralized Currency:

Bitcoin is already famously known as a decentralized form of currency. This means that there is no need for a bank if you want to perform a transaction. Bitcoin’s network will allow users to have complete freedom to transfer the money. There are no government institutions or intermediaries who can overlook your Bitcoin transaction.

The absence of the banks and other central authority figures in the transaction process of Bitcoin not only makes it the most attractive means of exchange but also makes the transaction process much faster and easier. Anyone can transfer the money through Bitcoin and it is also easier, faster, and cheaper than traditional currencies.

Better Investment Option:

There has always been a risk of volatility in the Bitcoin market. There are no guarantees that the volatility will go away anytime soon. However, many expert investors still have a lot of confidence that the market will keep growing in the near future.

We had already mentioned how traders can make money by investing in the Bitcoin market and using the price swings to their advantage. Anyone can enter the market as a trader and make a smart investment here. The only thing you need to know is that you have to purchase it when the price is low and sell it when the price goes higher. Here you can earn better returns from your investments compared to the forex (foreign exchange) or the traditional currencies market.

Not Restricted to borders:

You can use Bitcoin in any part of the world. To perform a transaction you will not be required to convert the currency as per your country like we do with the fiat currencies. There are many online Bitcoin exchanges available and you can quickly get your money from there.

Bitcoin also has uniformity as its value will be the same all over the world. However, the value can change because of the market conditions. There may be many different factors that can have a negative or a positive impact on the price of Bitcoin.

Theft resistance:

Unless someone has your private key, it is nearly impossible to steal your Bitcoin. Data of each transaction is recorded publicly as a block using the blockchain technology. Some information is made transparent but your private information is kept hidden.

Your Bitcoin(s) will be stored in a digital wallet and no one can access that without the private key. Bitcoin is without a doubt the safest currency in the world. From a security point of view, Bitcoin is much better than traditional currencies which have been subject to bank frauds and other types of scams.

Transaction Costs:

The banks cannot impose any charges on Bitcoin transactions. However, if you use fiat currency, you might be required to pay a transaction fee to the bank. This is why Bitcoin is not only a faster way to perform transactions it is also cheaper. You might be required to pay small amounts of service fee at some of the Bitcoin exchange platforms, but that’s about it.

Needless to say, using Bitcoin as a payment method is relatively easy compared to traditional currencies. If Bitcoin continues to grow the way it has in recent years, it will gain a larger audience and might even replace the fiat currencies. Remember that Bitcoin has been referred to as the future of money.