Nowadays many people are deciding to invest with cryptocurrency. The
reason behind this is that there is no required amount or papers to invest
some of your money. Any amount will do for investment, unless you want
to invest a bigger amount to have double or triple profit from it. Booming
graphs of cryptocurrencies price attracts many individual to go for it.
Cryptocurrencies rise and drop from time to time – if you invested
thousands at this very moment and have it back in millions in the next 4-
5 years. There is also a possibility of losing the money you have invested
so make sure to invest what you can lose.
Bitcoin, one of the most popular cryptocurrency in the world has driven
many investors and traders in the past years. Many traders invest for this
coin not just because it’s the top crypto of the millennium, but because it
is the most profitable one. If you are deciding to invest with this kind of
industry, know the pros and cons first before doing so.
Advantages
Easy Access- Cryptocurrency is available in public and can be use
by everyone. Investors all over the world can easily access because
of the decentralized operation. Payment transactions has been made
easy, while in a traditional payment system there is always a broker
adding fees for every transaction you make.
Private- With cryptocurrency, you don’t need to share your
personal information or the details of every transaction between youand the beneficiary. All of the transactions are secured with the use
of ‘Cryptography’. Once a cryptocurrency transfer has been verified,
it can’t be reverses or charge-back, this protects the users from fraud
and hacking.
Lower Fees- Unlike when using a credit card you need to pay for
an interest, with cryptocurrency charges and fees will never be a
problem. All you need to do is make a research on what is the best
wallet to use that matches the kind of cryptocurrency you are using.
This can also be a major advantage for travelers.
Mobile Payments- If you are worrying about exposing all of your
personal identification when purchasing online using your cards
and bank accounts, well cryptocurrency just made it right for you.
You can easy do payments and purchase to online stores without
providing any personal information through the internet or
Recipient, only your wallet address will be visible to them. You can
do all of these transactions using your mobile phone.
##Disadvantages
Price Volatility- The volatility of cryptocurrency is the main
disadvantage you to be considered. Volatility is the risk level of the
instrument where price is measured. So, investing in Bitcoin or any
other online currencies is very risky, because the value of your
money exchanged with them has no assurance. It can rise up to
millions or maybe billions but it can also go to zero, no one can tell
because no one controls it.
Possible Government Interface- The government cannot take
your coins, but they can do such actions if they will decide to ban all
those cryptocurrencies in a certain country. If the government willforce online wallets and companies to shut down all your Bitcoins
etc… will be freeze and it will be a hard time to access them.
No Refunds- Refund is a No when using cryptocurrency especially
Bitcoins – for instance you buy some product online and the
merchant failed to deliver your purchased items, you cannot ask for
a refund trough Bitcoins. Some cryptocurrencies such as Ripple
have provided chargeback option, but this will never exist on
Bitcoins.