Jun
18

5 Benefits of Bitcoins You Didn’t Know

Many people have heard the word Bitcoin but do not have a precise understanding of what it actually is. Simply put, Bitcoin is a decentralized peer-to-peer digital currency system that was created to provide online users with the capability of processing transactions using a the exchange of digital units also known as Bitcoin. It is a digital currency.

Bitcoin is a system of digital currency that was Bitcoin system was invented in 2009 by an unknown programmer(s). Since since then, Bitcoin has garnered huge interest and controversy for its use as an alternative to US dollars, Euros and commodity currencies like silver and gold.

An encrypted network made up of computer that is connected via a shared program utilized to conduct transactions and to process payments made in Bitcoin. The development of Bitcoins is based on ever complicated mathematical algorithms, and its acquisition is made using traditional national currency. The users of Bitcoin are able to access their bitcoins via smart phones or personal computers.

With its rapid growth and development as a digital currency Bitcoin offers distinct benefits over traditional flat currency issued by the government. Here are five benefits you can enjoy using Bitcoin

1.) No Taxes

When you buy items with euros, dollars, or other flat currency issued by the government you must pay an additional sum of funds to the government as tax. Each item you purchase is taxed at a specific rate. When you make an purchase using Bitcoin sales tax is not included in the purchase. This is considered an authorized method of tax evasion. It’s one of the biggest advantages that come with being the Bitcoin user.

With no tax rate, Bitcoin can come in useful, especially when buying luxury products that are exclusive to a foreign country. The majority of these items then not are highly taxed by the government.

2.) Flexible Online Payments

Bitcoin is a digital payment system, and like other payment systems those who use Bitcoin are able to buying their coins from anywhere in the world with the internet. That means you can be in bed and buying coins instead of a trip to a specific retailer or bank to finish your task.

Additionally, a payment made online through Bitcoin doesn’t require you to provide the details of your personal details. Thus, Bitcoin processing Bitcoin transactions is much simpler than transactions made through U.S. Bank accounts and credit cards.

3.) Minimum Transaction Fees

Costs for exchange and fees are part and parcel of regular wire transfers as well as international purchases. Bitcoin isn’t monitored or controlled through any government or intermediary agency. Thus, the costs associated with trading are kept low as opposed to international transactions conducted using traditional currencies.

Furthermore Bitcoin transactions Bitcoin aren’t known to be slow-going because they do not have the usual hassles associated with authorization requirements or waiting periods.

4.) Concealed User Identification

Every one of the Bitcoin transactions are private which means that Bitcoin offers the possibility of user anonymity. Bitcoins are like cash-only transactions in that the transactions cannot be traced back to you, and these transactions are not linked to your identity. In actual fact the Bitcoin address used for purchases by users is not identical for two distinct transactions.

If you’d like be transparent, you get the choice of disclosing and making public your Bitcoin transactions, but in the majority of instances, users will keep their identity private.

5.) No outside intervention

One of the most significant benefits of Bitcoin is the fact that it prevents third-party interruptions. This means that banks, governments or other financial institutions don’t have authority whatsoever to interrupt the user’s transactions or block the Bitcoin account. As we have mentioned earlier, Bitcoin is based strictly on a peer-to-peer system. Thus, those who use Bitcoin have greater freedom to purchase goods and services using Bitcoins as opposed to using traditional currency.

Digital currencies like the Bitcoin are relatively new and haven’t been tested extensively. Therefore, many believe that there are some risks when using Bitcoin. Whatever the negatives of Bitcoin however, it’s clear that its strengths are enough that it can be an acceptable alternative to conventional currencies in the near far-off future.