By Steven Krohn · August 13, 2018
“Cryptocurrency use take the concept of money, and they take it native into computers, where everything is settled with computers and doesn’t require external institutions or trusted third parties to validate things.” – Naval Ravikant
The world is fascinated with cryptocurrency use. Within ten years, the aggregate cryptocurrency market cap has exploded from zero to more than $200 billion. So, does cryptocurrency use make the world a better place?
For this to happen, people are consistently investing money into the crypto market.
Those investors don’t come from one particular region but are spread around the globe. Investors can be American, European, Chinese, Japanese, Indian, Middle Eastern, South American, Australian and from half of the African nations.
Truly, a global phenomenon.
People around the world realize how important cryptocurrency will be for the future. New age currency use has the potential to make the world a better place.
It improves the accuracy, speed, reliability and transparency of the world’s financial system.
Transactions on the crypto platform are time stamped and authenticated through a majority consensus on the network. When someone makes an exchange, the transaction is verified through a decentralized network of node operators.
The transaction must be approved as accurate by a majority of record keepers on the platform. This negates the chances of manipulation. and double spending, without the need for a central authority.
Cryptocurrency platforms run entirely online. Anyone with a network connection and appropriate software can gain access to the central blockchain ledger.
This openly accessible system allows investors and banks to review and audit a money trail. Government regulators can review the ledger in as well.
Thus, cryptocurrency use is transparent and reliable. The Blockchain Network also records attempted manipulation of the process. Thus, a trustworthy system is hatched.
Cryptocurrency use is designed to be used for making payments 24/7 globally. The market never closes like you bank does. Greater accessibility adds convenience for everyone involved.
Businesses are literally operational with no closing time which improves the bottom line.
When you make a transaction through a bank, a record is created. Your name, account number, time of money transfer, the recipient’s account name and number, as well as the amount transferred is all collected.
Transactions made on a crypto platform are protected through encryption technology. Currency is sent from one publicly viewable ID to another making it very difficult to determine who owns what ID on the platform.
A level of privacy is provided that is not available otherwise.
A crypto platform can be accessed by anyone online. The ability to decode and identify a person’s transaction and where it went just is not possible. Confidentiality is maintained throughout.
The process is quite attractive to most people. Cryptocurrency use is a much needed improvement.
A record of transactions on a Blockchain is stored on a decentralized ledger system that is maintained by operators within the ecosystem. Any attempt to manipulate the record is automatically overridden.
Each transaction must be authenticated by the majority of node operators. This is one, major reason why cryptocurrency is more likely to replace current bank-based, centralized systems.
Current money transfer can take days to complete. Due largely by the cross-checking and verification involved. The verification process on the blockchain takes minutes.
Layers of bureaucracy are removed allowing people to deal directly with one another.
Transactions on the blockchain platform are completed immediately. They can be automated through the use of Smart Contracts. Security is vastly improved for all businesses.
Consider a situation where a small business agrees to fill an order for an agreed upon price. After fulfilling the order payment is due within a month per terms.
Plenty of examples exist today where payment isn’t paid! The supplier is left to become a glorified bill collector.
In a world of smart contracts and cryptocurrency use, a supplier can request that payment be made through an automatically triggered contract. A smart contract is created when the order is placed.
When supply is delivered, payment is automatically delivered through a smart contract.
There is no choice but to get paid based on the agreed terms.
Are we better off with cryptocurrency use?