Lesson 1.0.0. Five Main Benefits of Cryptocurrencies
The followings are the five main benefits that cryptocurrencies offer to humanity:
(1). No Middleman Charges
Because cryptocurrency transactions require no middleman, the unscrupulous service fees that commercial banks and all other middlemen in the banking system charge are eliminated.
This means that cryptocurrency transactions are far cheaper than fiat currency transactions.
(2). Faster Transactions
Transactions through blockchains are designed to be very fast. The first generation blockchains like Bitcoin have transaction speeds of 10 to 30 minutes while the second generation blockchains have transaction speeds of 2 to 5 minutes. The third generation blockchains have even faster transaction speeds – just a few seconds!
This means that on blockchains, you can send money from the remotest part of the earth to another part within minutes or even seconds! Compare this to the length of hours and even days it takes to send fiat money from one town to another and from one country to another!
(3). Convenient Money Handling
Unlike fiat currencies, you can carry millions, billions and even trillions of dollars’ worth of cryptocurrencies in a small data storage device such as a USB flash drive! If you had handled bulk fiat money just about two decades ago, you will appreciate such level of convenience in transporting money. No longer will you need a suitcase or a bag to transport money about.
In fact, with cryptocurrencies, you can just memorise your login details and that will be all you need to move your millions and billions from one place to another without physically carrying any gadget or instrument.
Indeed, digital money is convenient and easy to handle!
(4). Safe Money Handling
Not only are cryptocurrencies easier to transport, they are also far safer than fiat currencies. Blockchains are hack-resistant. This is because blockchains act like a public ledger in which data is stored in multiple nodes at the same time.
For example, if you receive 50 dollar-worth of Bitcoin, the transaction will be stored on the Bitcoin blockchain. Anyone can log into the blockchain explorer and see the 50 dollar-worth of Bitcoin. Once the transaction has been executed, it is non-reversible. Hence, you cannot go back and claim that the 50 dollar-worth of Bitcoin was never sent to you.
In other words, blockchain technology eliminates cheating and it is safe.
Is it not what decent humanity has been elusively searching for all these years of human history? Thanks to God, the solution is now here.
(5). Protection of Privacy
Many have suffered bodily harm and have even been killed because of possessing large sums of fiat money. This is where cryptocurrencies offer immense advantage. Your crypto wallets that you keep your cryptocurrencies are anonymous and private.
Though the wallets and the contents of such wallets can be seen on blockchains, the identities of the owners of such wallets cannot be known except the owners decide to reveal themselves.
That offers privacy and anonymity to the wallet owners, thereby increasing the safety of cryptocurrencies.