A Beginners Guide to Digital
|Digital Currencies (or
cryptocurrencies) have become reliable alternatives to traditional finances in
the 21st Century. Bitcoin for example, offers many undeniable benefits
including lower transaction and bank fees. The anonymity and control, among
other financial and tax benefits have made cryptocurrencies especially
attractive in industries such as online gaming. Their use however is most
certainly not limited to the gaming industry, with the likes of Microsoft, Bank
of America and Coca cola adopting bitcoin as an alternative, legitimate payment
Various digital currencies or virtual currencies are now being
taken by companies in the retail sector through to the hospitality industry.
The crucial aspect of their proliferation is the lack of institutional and
A basic introduction to the most common
On the 18th of August 2008 Bitcoin.org was first created and
a few months later Bitcoin was circulated as a Cryptocurrency. After its
launch, there was a significant change in the economic environment.
Bitcoins founder is unknown, but the invention took off. Many
Bitcoin-specific gambling sites are
available today due to the increase in demand for bitcoin as a payment method
in this industry.
If you know about Cryptocurrency, you may have heard that Xcoin
changed its name to Dash on the 18th January 2014. With its
release, around 2 million coins were published in 48 hours. Dash is vital for
gamblers, and Dash currency transactions can be completed within minutes.
Litecoin hit the market, and it was launched using the Bitcoin design. Those
familiar with Bitcoins structure have attested to the similarities
between Bitcoin and Litecoin. Litecoin took only two years to hit $1 Billion
market capitalization. Among Litecoins benefits are lower transaction
fees, a undeniable benefit which experts predict will have it hanging around
for a while yet.
The benefits of adopting Cryptocurrency as a payment
The privacy, transaction speed and lack of governmental
regulation provided by cryptocurrencies make them particularly attractive.
Weve created a list of the benefits of using digital currencies as a
payment method for any industry:
As there are no banks
involved the transaction process is excluded. As a result, you will not be
charged with a transaction fee for any such operations, reducing payer
transactions are made in a decentralized environment, in blockchain form.
That's why funds come directly to the merchant from the payer's account, and
there is no in between stage involved. Banks are not involved and there are no
records of money being transferred. This enables fast and private transactions.
None of the countries
allowing digital transactions have introduced regulations on cryptocurrencies.
In addition, no tax base is present.
No one knows the
payers age, location, etc. Online gamblers in countries where only online
gaming occurs for example, can participate without restrictions. This is an
advantage for gamblers in locations where brick and mortar gambling activities
are not allowed.
- Absence of strict
No country has the
authority to freeze your wallet as no fiat currency is available.
- Impossible to freeze
final verdict Are digital currencies the future of money?
value and nature of digital currencies lie in their being a financial asset.
Holding Bitcoin is a speculative asset representing the evolution of
block-chain technology. What is certain is that digital currencies are here to
stay as part of the financial and economic landscape of the 21st century.