There have been different and contradicting opinions regarding cryptocurrency. Many feel it is worthless while there is a group of people who believe it has a lot of prospects. Bitcoin and of course other cryptocurrencies have been subject to a different school of thought.
People’s belief’s system of cryptocurrency can generally be grouped into three; there are people who do not have any confidence in the technology. They believe it is useless and would never stand a chance in the real world. There is also another group of people with moderate confidence in cryptocurrency. They believe cryptocurrency can be used as a storage of value, a method of exchange and other utility but chance to create change is minimal.
The third group of people are those with the utmost confidence to change the world. These group of people believe the world is destined to change by cryptocurrency.
Before we begin to look into the reasons why cryptocurrency will change the world, it is important to discuss what cryptocurrency is exactly. Well, cryptocurrencies are digital currencies. They rely on two important features to carry out their duties; blockchain technology and decentralization.
The blockchain is a list of transactions that are stored digitally and distributed amongst a network of computers. In saying that cryptocurrency is decentralized, it means that it isn’t stored in a single place or controlled by a single authority.
For many reasons, cryptocurrency beats the current system of payment option. Some of these reasons are listed;
• Speed: usually, when blockchain or cryptocurrencies are mentioned, we are referring to transferring coins. These transactions require seamless and fast method, a feature that blockchain carry out effectively.
No other payment option of the modern world is as fast as this and when blockchain is fully adopted, the face of financial businesses in the world will change considerably.
• Security: the use of advanced cryptography and decentralization makes cryptocurrencies transaction secure.
It is hard for hackers to steal, gain control of or tamper with cryptocurrencies.
• Cheap: despite the secured and easy way of transacting cryptocurrencies, the fees are still extremely low when compared to other options in the real world.
• Decentralization: this is perhaps one of the biggest reason why cryptocurrencies will change the world financial system once it is fully adopted. Decentralization makes sure that control is not given to authority, but the populace.
For many reasons, cryptocurrencies are superior to our current ways of transacting ledgers. Important of those reasons is banking. Cryptocurrencies will beat banks at their game and provide people with a better means of handling their finances. Just about anything that is accomplished today will be improved upon by cryptocurrencies.
In supporting the view that cryptocurrency will change the world, let’s not forget its role in the smart contract. This is self-execute digital agreement that only goes through when certain requirements have been satisfied by both parties involved in the business. Smart contract holds the fund and waits for both the buyer and seller to confirm satisfaction after which the funds are released to the seller.
When fully adopted, cryptocurrency will change the world!