The bull run of Bitcoin has introduced the advantages of cryptocurrencies in general and blockchain technology to even a wider audience around the world. In fact, the market capitalization of Bitcoin has increased and reached a market cap of $665.83 billion in 2021.
Furthermore, the price of Bitcoin has continued its upward trend in 2021 and peaked at $40,000. Many experts feel that the price will keep growing and hit $100,000 by the end of 2021.
Considering the fact that this is the longest bullish cycle of Bitcoin, the number of institutional and individual investors has proliferated. But, if you’re new to the world of crypto and you’re wondering what the advantages of Bitcoin and blockchain technology are, keep reading.
What is Bitcoin and Blockchain Technology?
A key element of Bitcoin is that it is a decentralized cryptocurrency that is used for online transactions without regulation or control by a central authority. This is the main difference that distinguishes Bitcoin from other traditional currencies. When it comes to blockchain technology, even though it’s sometimes used interchangeably with Bitcoin, it is actually the innovative technology that powers the cryptocurrency.
Without blockchain technology, the rise of cryptocurrencies would be impossible. Blockchain technology is a decentralized, immutable ledger of records that are distributed over a cluster of computers around the world. Some of the main attributes of the blockchain network are instant payments, anonymity, transparency, and a higher level of security. Actually, the blockchain system is regarded as a tamper-proof system.
Anonymity
This is a primary draw of Bitcoin that allows anonymity to its users. This is otherwise not an available option when you’re using fiat currencies. When you have a Bitcoin wallet, it automatically stores your public and a private key that is used to sign transactions, while the BTC wallet address is hashed version of your public key, which is used for receiving payments. This means that when you make payments using your Bitcoin wallet, it can’t be associated with your identity.
Accessible Online Trading Platforms
In the beginning, there weren’t many platforms where you could buy and sell BTC. Of course, now we have a different reality. There are many reputable online trading sites that allow you to invest in BTC from your desktop or mobile device. For example, Bitcoin Circuit is an exchange platform that is accessible on smartphones, tablets, and computers. So, you can easily trade on the move if you want to.
If you’re wondering how Bitcoin Circuit works, it actually uses AI technology to read data quickly and at high speed. And because this is an auto-trading platform, you don’t need to spend hours on the site. The robot completes the trading for you, and you only need to spend on average 20 minutes per day on the platform. Otherwise, you can make up to $750 a day here, with a deposit of $250. This is the minimal amount that you need to deposit in order to trade here.
Low Transaction Fees
This is another reason why Bitcoin is appealing to many users. The transactions fees are quite low, especially for international payments. So, for a lot of users that want to make cross-border payments, it is very appealing to invest in BTC and use BTC for international transactions.
And as we mentioned before, the authorization of the payments happens almost instantly, and on average, it takes only 10 minutes for the transactions to be processed on the blockchain network. Hence, people who have cryptocurrencies for cross-border payments are at an advantage here.
Increased Support of the Business Sector
As a lot of people find it useful to invest in BTC and other cryptocurrencies, many businesses also want to make their products and services available to a new audience that uses BTC. Also, this is another advantage for small business owners that can’t invest in BTC, but with the option of accepting transactions in BTC, they will have a chance to obtain Bitocin by exchanging their products and services.
The process is simple, and like individual investors, they need a secure Bitcoin wallet. So, today there are about 15,000 businesses across the globe that accept payments in BTC, and the number continues to rise. Some big brands include Microsoft, Shopify, Etsy, Subway, and many other companies. It’s also worth mentioning that non-profit organizations are also supporting Bitcoin.
Final Thoughts
In conclusion, thanks to the increased support of retail and institutional investors, the price of Bitcoin keeps rising. But, also the great number of companies that accept BTC payments means that users have more choices when they want to purchase goods and services. This business support will certainly drive the mass adoption of Bitcoin and other digital cryptocurrencies around the world.