As a cryptocurrency that managed to revolutionize the financial world. It provided us with a new and much safer payment method, as well as gave us an extra option to make money. Even though Bitcoin is considered the best concept payment method, governments and banks still oppose it due to the fact that it is self-sustainable and cannot be controlled from one centre.
That is why its future is hard to determine. Some believe that Bitcoin will be the global universal payment method, while others think that it will forever be an outlaw currency. We are going to leave that debate for the experts and focus on another task. We wanted to explain the areas in which Bitcoin proved to be superior to the FIAT currencies/regular payment methods, as well as other cryptocurrencies. Without any further to do, let’s start.
What is Bitcoin?
Bitcoin is the best-known and most valuable cryptocurrency. It was created in 2008 and since then it has grown almost constantly. Although many doubted that it would reach the value of the US dollar, this virtual currency went much further. Today, one bitcoin is worth over $ 50,000. And it doesn’t stop, day by day we notice its further growth. Bitcoin is becoming an increasingly common means of payment – some companies even pay workers in this digital currency. You can also pay for holidays, schooling, accommodation in a luxury hotel, or dinner with friends. More and more companies are accepting them as a means of payment. All of this tells us that this is a currency worth investing in, whether it’s trading or mining, the choice is up to you.
Bitcoin Compared to FIAT Currencies
The first advantage that Bitcoin has over FIAT currencies is that it is extremely safe. Thanks to the fact that Bitcoin users gain a certain level of online anonymity, which greatly increases their security. Being secure in the online world is a massive benefit these days since the number of online scams has spiked recently.
Next up, we mentioned earlier that Bitcoin is self-sustainable and cannot be controlled from one centre, making the cryptocurrency highly decentralized. This means there is no central authority. We can say it is a great advantage because in doing so, users are able to go around the banks and avoid all unnecessary fees that these facilities impose with many transactions. General fees are also much lower.
The number one reason why Bitcoin is used is that it allows people to make a profit. Reportedly, there are over 100,000 millionaires in the world who managed to earn their wealth by trading with this cryptocurrency. Thanks to reputable trading sites like ImmediateEdge, which uses AI systems to predict the future fluctuations of Bitcoin with great precision, traders are able to maximize their profits with Bitcoin.
Finally, the fact that banks do not control Bitcoin brings one additional advantage – instant transactions. When using regular payment methods, banks process every payment and it can take up to 5 business days before a certain transaction is completed. That is not the case with Bitcoin. Through mining, every Bitcoin user processes the transactions. Which makes them instant.
Where Can You Use Bitcoin as a Payment Method?
If you are wondering whether Bitcoin can be used as a payment method somewhere, there are plenty of businesses that accept it. Local and state companies in countries, as well as many reputable brands such as Expedia, Starbucks, Wikipedia, Shopify, and Overstock, accept payments in Bitcoin.
Recently, even Tesla decided to join the bandwagon. The company announced that they invested $1.5 billion in this cryptocurrency. Not only did they make $1 billion in profits shortly after, but they announced that they will accept Bitcoin as a payment method for their vehicles.
Lately, you could also quote that PayPal has enabled US consumers to pay in cryptocurrencies. Customers who have cryptocurrencies on PayPal digital wallets will be able to convert them into fiat currencies.
Bitcoin Compared to Other Cryptocurrencies
If you were thinking that Bitcoin is only superior to regular payment methods, think again. There are hundreds, maybe even thousands of other cryptocurrencies on the market, but none of them even comes close to Bitcoin.
Bitcoin is superior to them in almost every field. First off, the security that Bitcoin implements are far more effective and efficient than any other cryptocurrency. Next up, Bitcoin’s network is far more stable and grows at a much faster rate compared to the competition. It has greater liquidity and higher institutional interest.
But most importantly, Bitcoin’s value is second to none. No other cryptocurrency can even come close to the $50,000 mark that Bitcoin accomplished in February.
Bitcoin is superior to gold
Experienced traders from Wall Street claim that investing in bitcoin is more profitable and practical than in gold. By this, they mean that gold is difficult to carry and transport, and it is also easy to spoil. Given that the value of bitcoin is growing rapidly, it is believed that this trend will continue in the future.
Bitcoin as a custodian of values
Bitcoin has proven to be an excellent custodian of values to date. Since the supply of bitcoin is predictable and based on a mathematical formula, the demand is a price-forming factor, and demand is expected to increase with each further implementation of bitcoin and the technology on which it is based. However, it should be borne in mind that bitcoin is still young and that he needs to survive the test of time to really impose himself as a good and reliable guardian value.
Although we have found that investing in Bitcoin is profitable, you should still approach it with caution, especially when it comes to choosing a platform. There are a lot of scams on the internet today so you have to be careful. It’s about your money, though. In addition, it is important to have a secure crypto wallet. Lastly, it is equally important not to get bogged down with investing at the outset – start with smaller amounts. Remember – invest only as much as you are willing to lose.