As cryptocurrency is starting to become a household name as well as new users starting to trade these coins each day it makes you wonder if Crypto can be the future of finance. Currently crypto is a massive industry that is worth over $200 billion dollars making it a place where investors want to invest, the DeFi technology also helps as it creates a different financial system to the one we currently have allowing more transparency and accessibility for everyone.
Just like real money Bitcoin and other crypto allow us to exchange goods for bitcoin or to render services. Due to bitcoin and other cryptocurrencies giving us the ability to be used as a medium for exchange it truly shows that crypto can be a legitimate alternative to real money.
Financial Benefits with Crypto
- Security – Just like regular money you can trace your purchase however through the blockchain network you cannot swap, forge or change and financial records making it extremely safe and secure.
- Privacy – When money gets sent through the blockchain network it remains anonymous, this allows data to remain safe and provide an extra layer of protection where no one will have your data.
- Access – Believe it or not there is still a big hole in the banking sector where over 1 billion people still don’t have a bank account or access to it, crypto eliminates this as anyone can trade, purchase or sell their crypto as long as they have a computer and an internet connection.
- Efficiency – Some bank can take up to 1-3 business days to transfer money within your same country! Whereas with crypto you are able to send and transfer money within a couple of hours and sometimes depending on the blockchain network under and hour.
Keep in mind as government regulators tighten procedures in relation to crypto exchanges and vendors it can increase security/public confidence, which will in turn create a safe financial sector that will ensure that investors and consumers are safe.
Regulations will also further help crypto to be even more widely accepted as it can allow more private money (hedge funds, investment firms, banks) and public money (new investors, retail investors) to invest and use the crypto infrastructure allowing crypto to be one of the main ways that money flows through our financial society.
As technology advances so will the crypto space which will have improved security, efficiency and privacy. This will allow money to be sent faster, verified faster and will create a decentralized system that is so efficient and widely accepted that it can replace the current slow and hindering banking sector we currently have adopted in today’s society.