You may have come across some information that a new form of money has been created. But most probably you must have heard of bitcoins, or it’s the other digital currencies; Learn more: Ethereum, litecoin, antshares, stratis. But one cannot stop wondering what all this is about. Why is it that one can switch from using their ordinary national currency to start using this new digital money? What are the benefits that the digital currencies have to you and the society at large? If you want to have the answers to all these questions, this article is meant for you as it explores all the benefits that one gets by using the digital currency.
So what are the benefits of digital currency?
It is money saving
Since digital currency is transacted only in the cyber space, it is a very suitable means of carrying out transactions as the payments are effected through electronic systems. Hence you get to enjoy the following benefits:
Cheap transaction costs
When you compare transactions that are carried out through the use of digital currency, the transaction fees and costs that one incurs are way far too low when compared to what one gets charged when using means like PayPal or credit cards. At times, you may be surprised to realize that one does not incur any transaction fee at all. This does not only save money for you but also for the merchants who provide the exchange platform hence allowing them to offer lower prices for whatever services or goods that they are selling.
There are zero international transfer fees
Since the digital currency are only used over the cyber space, which covers the whole world, it simply means that you are not restricted by any border constraints. Usually when one is sending money across borders, they are charged a substantial fee. Additionally one also incurs standard conversion costs. But to your surprise, you will realize that sending the digital currency happens as though you are sending the money to an individual who is seated next to you. The method is pretty quick and can be used in any part of the world. Hence you will not need to convert it into any local currency.
Another advantage is that international transactions go through as quickly as the local transactions could, so one does not need to wait that much when transacting as it is when dealing with banking and financial institutions.
Zero account fees
When you hold any bank account, they will obviously charge you their monthly user fee. Many of the banks will also burden you with a lot of hidden charges that are meant to eat into your savings while making profits for them. But with the use of digital currency, anybody can create an account, and nobody will ever charge you any maintenance fee.
When dealing with digital currency, it is not only easy to open an account, but they also respect your privacy. You need not give a lot of personal information about yourself as it is with this other financial institutions.
It’s an investment
As opposed to this other traditional forms of currency, which lose value and depreciate on many occasions due to changing inflation percentages, digital currencies are an investment as they constantly appreciate and they are not affected by inflation.