Everything runs fast because of the innovation brought by technology. This actually helps in many industries, especially on the business side. One trend that has contributed technology is a digital currency.
This is a form of internet-based currency or exchange media. It can be associated with traditional currencies, currency exchange, and delivery of money, because of its functionality especially to buy physical goods and on payment services.
There are times when it’s wrong with a virtual currency. The latter, which is defined by the European Central Bank as “the type of digital money is not regulated, which is issued and is usually controlled by the developer, and is used and received among certain virtual community members”, different from the digital currency “. Because it does not have all attributes Real currency. Virtual currency cannot be used to buy physical goods and cannot be converted into traditional currencies or fiat.
It can also be used with in-people payments in physical companies and can also be converted into fiat currencies, with a minimum cost at no cost. According to Investopedia.com, Fiat money is stated by the government to become a legal tender and not supported by physical commodities. The value can also be derived from the relationship between supply and demand. In addition, this allows instant transactions and non-limited transfers, which are better than Fiat’s currency.
Fiat currency is limited by their geographical region. This concern is completed with a digital currency because this is an international currency without limits, and it is only possible online. Users no longer need to pay the cost of increasing international payments and transferring money because they can directly transfer funds, pay bills, and buy goods through the digital currency. Also, dealers cannot charge additional fees on consumers without their knowledge.
Digital money transfers are also faster than traditional wire transfers that can take a long time to be processed. Digital transactions can take about a few minutes to complete, depending on the platform transaction process. Also, it is easier than Bank over-the-counter transactions that have limited time and need a lot of processes to be taken before it can be resolved.
Security is also better with digital currency. It uses a particular system that allows users to hold their account, making it autonomous and self-rules. Information can be reserved and encrypted to ensure the safety of your money. Unlike the Fiat currency controlled by the government, some digital platforms do not have the Central Authority that regulates it. Some digital currencies, such as ripples and radars, are still monitored and examined by individuals and / or certain companies. It is also interesting for those who prefer private financial transactions because most digital currency systems cannot be traced by individuals and companies.
It also reduces the possibility of credit card fraud. Personal customer information and credit card numbers can be stolen and used to allow unauthorized purchases. Because this is a purely digital transaction, receiver payments do not have access to the personal information of the sender, and information fraud can be avoided.