{"id":2127,"date":"2019-11-21T16:02:35","date_gmt":"2019-11-21T16:02:35","guid":{"rendered":"https:\/\/paybis.com\/blog\/?p=2127"},"modified":"2025-12-23T10:34:52","modified_gmt":"2025-12-23T10:34:52","slug":"benefits-of-cryptocurrency","status":"publish","type":"post","link":"https:\/\/paybis.com\/blog\/benefits-of-cryptocurrency\/","title":{"rendered":"14 Benefits of Cryptocurrency over Other Digital Assets"},"content":{"rendered":"

Starting with Bitcoin in 2009, crypto-investors have been closely observing the shift towards a decentralized future. The benefits of cryptocurrency over traditional currencies are constantly increasing, especially in these uncertain economic periods.<\/span><\/p>\n

The majority of people, however, still think that Bitcoin is nothing more than a gateway to illegal activity. It\u2019s quite easy to understand this viewpoint when looking at the media:<\/span><\/p>\n

\"benefits<\/path><\/svg><\/a><\/picture><\/p>\n

\"crypto<\/path><\/svg><\/a><\/picture><\/p>\n

\"bashing<\/path><\/svg><\/a><\/picture><\/p>\n

Money laundering, scams, fraud, black markets, we\u2019ve heard it all. And even now, with a lot more information on the true nature and potential of Bitcoin, the bashing keeps on going.<\/span><\/p>\n

It almost seems as if the \u201cbig brother\u201d is trying to suppress the coin\u2019s price.<\/span><\/p>\n

Why you might ask? Well, most cryptocurrencies are trying to give the power of finances back to its users. This makes banks scared. Instead of trying to adapt, they choose to hinder any technology that goes against their business model.\u00a0<\/span><\/p>\n

Their words are very loud and, at the same time, empty. For people who choose to do their own research, it is quickly understood that the arguments presented in such negative posts are at least invalid.\u00a0<\/span><\/p>\n

Therefore, in this article, we will go through the benefits of cryptocurrency and debunk some of these negative rumors. Stick around if you want to learn why crypto is a lot better than people claim, and how it is slowly changing the way money works.<\/span><\/p>\n

Major Benefits of Cryptocurrency<\/span><\/h2>\n

Cryptocurrencies serve many purposes and some of the benefits stated below may not apply to all coins. However, this list gives a good overview of why you may want to get some digital coins.<\/span><\/p>\n

1. Decentralization<\/span><\/h3>\n

Everyone talks about decentralization when it comes to cryptocurrencies, but what does the term mean?<\/span><\/p>\n

Well, in short, decentralizing a service takes away the power from the central authority that manages and to distribute it and gives it to the ones that use it.\u00a0<\/span><\/p>\n

On a global scale, economical systems in place throughout the world are of a centralized nature. This means that there is one central authority in charge of handling finances for the people of their country.\u00a0<\/span><\/p>\n

The main disadvantage of this approach is that the top of the hierarchy must be relied upon flawlessly, which is impossible. Any wrongdoing, deliberate or unintentional, will have a negative effect on the entire system.\u00a0<\/span><\/p>\n

Cryptocurrencies were designed to counter this problem of centralized authorities and make financial systems more democratic and resilient to error. Instead of relying on a single point of authority, they allow the users that are participating in the network to make it more efficient.\u00a0<\/span><\/p>\n

And that is not only related to money transfers (a.k.a. Bitcoin). It can apply to any service.\u00a0<\/span><\/p>\n

With decentralized systems, you no longer need UBER to call a cab, or Airbnb to book a room. You can contact and make arrangements with the other party directly.<\/span><\/p>\n

By using <\/span>Blockchain technology<\/span><\/a>, most cryptocurrencies are trying to achieve at least some degree of decentralization. This is the backbone of the many solutions blockchain technology proposes. We will explore this further in the next points.\u00a0\u00a0<\/span><\/p>\n

\"exchanging<\/path><\/svg><\/a><\/picture><\/p>\n

2. <\/span>Permissionless Peer-to-Peer<\/span><\/h3>\n

The <\/span>peer to peer<\/span><\/a> functionality is crucial to cryptocurrencies and derives directly from their decentralized nature. <\/span>It\u2019s one of the most important benefits of cryptocurrency, as it brings back privacy and allows users to deal with one another, without asking for permission.<\/b><\/p>\n

Currently, this is not exactly the case. Here an all-too-common example:<\/span><\/p>\n

When you want to create a bank account, you need to go to a bank and ask for permission to create and use an account.\u00a0<\/span><\/p>\n

This bank can, at any time, make your funds unavailable and even revoke access to them permanently, stating whatever reason they might find valid for doing so. They may not even give you a reason. Here is what happened to the former CFO of Paypal:<\/span><\/p>\n

\n

After being a customer of @BankofAmerica<\/a> for 20 years, I received this notice today that they decided to fire me as their customer! With absolutely no explanation…. pic.twitter.com\/IJu3peiIWX<\/a><\/p>\n

\u2014 Roelof Botha (@roelofbotha) November 18, 2019<\/a><\/p><\/blockquote>\n