Benefits of Using Cryptocurrency?
Individual Ownership
Perhaps the greatest of all advantages of cryptocurrency is that unless you’ve delegated management of your wallet over to a third party service, you are the sole owner of the corresponding private and public encryption keys that make up your cryptocurrency network identity or address.
Crowdfunding
Crowdfunding is a way for entrepreneurs to raise money for their concepts and/or products. Investors can make small investments instead of a few investors making large investments. Therefore, this mitigates risk. Without the risk, more investors want to get involved. Initial coin offerings (ICOs) are centred around cryptocurrency which is used as the source of capital for a startup company’s venture.
Transactions
One of the advantages of cryptocurrency transactions is that they use a peer-to-peer networking structure that makes “cutting out the middle man” a standard practice. This leads to greater clarity in establishing audit trails, less confusion over who should pay what to whom, and greater accountability, in that the two parties involved in a transaction each know who they are.
No More Central Banks
Cryptocurrency allows the control of money to be transferred from the banks and back into the hands of the people. It is not subject to the rules and regulations imposed by banks and other financial institutions. Anytime that more people can get control over their own money, it’s a good thing. And, that’s just another reason why cryptocurrency will make the world a better place.
Smart Contracts
Smart contracts can be used to fully automate government tasks, for example when collecting taxes, issuing permits, paying subsidies and when holding local, regional or national elections. As a result, the government apparatus can become a lot more transparent.
Decentralization
A global network of computers use the blockchain technology to jointly manage the database that records Bitcoin transactions. That is, Bitcoin is managed by its network, and not any one central authority.