Why You Should Use Bitcoin (and Where to Buy It in 2020)

Most people still use cash and credit cards to pay for things they go shopping — but time will tell if that trend will continue.

Why? Because Bitcoin offers some clear advantages compared to other payment methods.

Before Bitcoin, there were no successful decentralized, peer-to-peer cryptocurrency systems. The revolutionary invention of cryptocurrency has made a significant global impact in a little over a decade.

Right now, there are several different reasons people are using Bitcoin. Some like the user autonomy, while others simply want to make fast payments globally.

Here’s what we’re going to talk about in this guide:

● Why Bitcoin transaction fees are lower than standard bank fees.

●  How Bitcoin works as a pseudonymous network.

●  How Bitcoin will become more commonly accepted over the years.

1. Low Transaction Fees

Low transaction fees are among the most common reasons why people use Bitcoin. And that makes sense when you think about how much banks are charging for the same service.

It doesn’t make sense to pay banks a fixed fee and up to 3% per transaction when there’s a cheaper alternative available.

When it comes to Bitcoin, the​ ​price of the transaction fee​ is dictated by the free market. The fee also varies depending on the speed of the transaction, which you have the option to choose.

That means you can choose to pay higher fees for faster transactions.

To put things into perspective, the fee can be as low as a quarter even if you’re sending several thousand dollars. Think about that the next time you want to transfer funds.

Tip:​ Check out this ​B​itcoin fee estimator ​to determine how much a Bitcoin transaction will cost you.

2. Easy and Anonymous Payments

You have to provide your personal information when you want to buy something online with your credit card. It might bother you that your purchases are not confidential if you’re a person who values privacy.

Fortunately, the whole concept of Bitcoin was made with anonymity in mind. You don’t have to provide any personal information when you set up a Bitcoin wallet.

However, that doesn’t mean the transaction you make can’t be traced.

When you use Bitcoin, you make transactions with your​ ​pseudonym​. If someone can link you to your pseudonym, then they can see all your transactions. It’s also worth noting that all Bitcoin transactions ever made are permanently stored in the common ledger known as the blockchain.

But overall, your transactions will remain a lot more anonymous than they would if you used a bank transfer or card payment.

3. Commonly Accepted

The days when Bitcoin was a weird currency only used by geeky recluses in the dark corners of the web are gone.

Ever since its creation, Bitcoin has become increasingly popular with each passing year. Following the​ ​2018 Bitcoin craze​, the cryptocurrency has pretty much become impossible to ignore.

It’s safe to say that Bitcoin has become commonly accepted.

Bitcoin ATMs are ​popping up in many different countries​ across the globe. Many online stores and restaurants that deliver food offer Bitcoin as a payment option.

The fact that it’s so commonly accepted today makes it more convenient for everyone.

4. Liquidity

Bitcoin is often referred to as one of the most liquid assets that currently exist in the financial market. In other words, you can easily trade it for fiat currencies and other assets, such as gold.

You’re also able to make the transaction in a few moments without having to go through the hassle of using a third-party institution.

The​ high liquidity associated with Bitcoin​ is especially important in regions under strict financial regulations, as it enables them to easily trade assets and foreign currencies.

The decentralized, peer-to-peer system works perfectly because it prevents any single institution from processing orders and making implementing its own rules.