Before making any sort of investment in Bitcoin, it is always a great idea to research and understand the pros and cons of Bitcoin so as to be sure that you understand the Bitcoin market really well and make appropriate Bitcoin investments which can yield you higher profits.
If you are in search of the pros and cons of Bitcoin, then we are here today with an article on the same to give you brief but insightful idea on the pros and cons of Bitcoin.
What are the Pros of using Bitcoin?
- In comparison to other cryptocurrencies, Bitcoin offer higher liquidity: Bitcoin is the first and the most popular cryptocurrency in the market and its popularity has resulted in Bitcoin having a lot of investors thus increasing the liquidity of Bitcoin in comparison to other cryptocurrencies in the market. By liquidity, we mean the ability to convert the Bitcoin that you own for any fiat currency including US Dollar. In comparison to other cryptocurrencies, Bitcoin offers a better return when exchanged for fiat currencies.
- Wider use as a mean of payment: There are many countries in the world where Bitcoin is considered as a mode of payment. Many European countries have already recognized legal payments using Bitcoin, which not only increases the use of Bitcoin but will also increase its popularity and will make more people want to invest in Bitcoin.
- Easier International Transactions Using Bitcoin: Using Bitcoin, it is as easy to make international payments as you make in-country payments. As Bitcoin transactions do not go through any government agencies, banks, or payment gateways, there are no transaction or international charges that have to be paid when transactions are done in Bitcoin. In comparison, some traditional international transactions can cost user at least 3 percent of the transaction amount as fee and the fee can even raise up to 15 percent of the total transaction amount. Even though there is a transaction fee for using Bitcoin, it does not exceed 1 percent of the transaction amount.
What are the Cons of using Bitcoin?
- Scams and Fraud: Bitcoin is not completely fool-proof against scams and frauds. As a virtual currency, there are online threats along with other offline threats as well which are more general like ponzi-scheme threats.
- Black market use: One of the main cons of Bitcoin is that it is considered to be used by offenders and other black market users to make payments anonymously.
We have tried to mention some of the very important pros and cons of Bitcoin. Hope the article was informative to you and you enjoyed reading the article. Do subscribe to us to get more insightful articles on Bitcoin. Buy Bitcoin in India with Pocketbits.