Tech

Bitcoin combines the properties of technology and currencies


Cryptocurrencies like Bitcoin are a revolutionary innovation. It is also considered the worst economic event of previous years. These two views are the most prevalent about cryptocurrencies. Which people have not yet agreed upon.

Anyone interested in technology can come into contact with both teams on an ongoing basis. Perhaps one of the most important reasons why people disagree about Bitcoin is how much profit they have been able to make from it.

This is where thousands of people have succeeded in making huge fortunes by investing in or mining cryptocurrencies. While millions missed that opportunity.

Perhaps one of the other reasons is how people approach the idea of ​​cryptocurrencies. The most important question for them remains: is it real currency or advanced technology?

Also Read: El Salvador Becomes the First Country to Adopt Bitcoin as an Official Currency

Is bitcoin a currency or a technology?

Audiences interacting with a digital currency like Bitcoin differ in how they view it. And they fail to determine who it is. Especially those coming directly from the traditional investment field.

This confusion arose due to the fact that humans do not use cryptocurrencies in their normal day. As no one uses it to buy coffee before going to work. Also, most bitcoin owners do not pay taxes on their holdings.

Bitcoin, and other digital currencies, suffer from severe and continuous confusion. As the value of Bitcoin at the beginning of this year was $30,000. And in May it reached $60,000. And now it’s worth $50,000.

These large numbers may attract any investor, regardless of the level of caution. But is this an investment in currencies? Or an investment in advanced technology, or a product to simplify the description.

Bitcoin can be placed under the traditional currency. However, coins usually retain their value for a long period of time. It usually does not rise again after it falls, or does not do so quickly.

Also Read: Everything You Need To Know About Bitcoin Wallets

But on the other hand, cryptocurrencies like Bitcoin offer great value in terms of transferring money abroad. If you want to transfer money to a friend or family member through the bank, it can cost you up to $45 as a fixed fee for the transfer.

In the case of conversion in a currency other than US dollars, the user may pay an additional amount for currency conversion. In addition, the transfer needs one or two working days to arrive successfully. As for Bitcoin, the transfer fees are less than three dollars, whatever the amount. The conversion is done in minutes.

Read also: Decentralized finance is revolutionizing the global financial sector

This is where cryptocurrencies play their role as a revolutionary technology. Where a huge bank with thousands of employees and branches needs two working days to transfer the amount with exorbitant commissions. While cryptocurrency technology requires a few minutes and low transfer fees.

On the other hand, technologies like decentralized finance have allowed users to get loans from each other within minutes. The value of this market reached about 50 billion US dollars in a short period of time.

Cryptocurrencies, specifically Bitcoin, can be described as being in the middle between being a modern, software-based technology and being a traditional currency.

Also Read: Ethereum Under Amendment That Changes Transaction Fees

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