The cryptocurrency gold rush has begun. Bitcoins are exchanging hands for hundreds of dollars each on popular online exchanges, one college graduate is already a millionaire off of bitcoin holdings , and more people are looking into cryptocurrency . So What are the top 8 Bitcoins uses.
No matter what your motivation is, if you’re doing research into the cryptocurrency market then you’ve come to the right place. In this article we’ll be going over a number of different ways cryptocurrencies can be used in our day to day lives. From paying for services online to making your life easier, here are all the many uses cryptocurrencies have in this day and age.
1)Making a purchase online with Bitcoin
The first and most obvious way people are currently using bitcoin is to make purchases on the internet. Bitcoins can be sent from person to person without having to go through a bank, wire transfer service, or other centralized financial institutions whatsoever. As one would imagine, this has led to a huge increase in bitcoin purchases for goods and services at online stores.
There are even companies that only sell computer hardware which accepts bitcoins as payment. If you’re looking for any sort of electronics, it’s likely you can use bitcoins to buy them through one site or another. Whether it be new GPUs, peripherals like mice and keyboards, or even computer cases and motherboards, you can use bitcoins to buy them.
2)Selling a good or service for bitcoin
It’s not just sellers who have been taking advantage of bitcoin either. There are also a number of people looking to sell their own goods and services in exchange for bitcoins. Whether it be house cleaners, graphic designers, or even artists, more and more people are looking to sell their goods for bitcoins.
There’s no need to go through a convoluted process of finding potential buyers either; you can simply make a listing on one of the bitcoin buying and selling websites and wait for someone to buy your item. Easy as that!
Bitcoin mining is the practice of using specialized hardware to secure and verify Bitcoin transactions on a public ledger. As you could probably imagine, this activity requires power and thus Bitcoin miners often use their own electricity or that of someone else to do it. This has caused Bitcoin mining to become quite popular in recent years as people look for ways to make money with bitcoin.
It might seem pointless to mine bitcoins now considering how powerful the hardware needed have become, but many miners are making a decent amount of money doing so. If you have access to extremely cheap electricity or otherwise don’t mind being inefficient with your mining, looking into getting some ASIC hardware for yourself could be profitable. Certainly worth considering at least.
4)Being paid in Bitcoin
This may not seem much different from the previous option, but being paid in bitcoins by your employer is actually quite different. Getting paid in bitcoin means that you don’t have to go through any third party services to get your pay because it’s sent directly to the blockchain. There are even websites dedicated to listing companies that pay their employees in Bitcoins.
This allows the person getting paid to save on fees that would normally go to a bank or other financial institution and of course means they get their money quicker than normal. For some, this is an ideal scenario and one we can expect to become popular with more people as time goes on.
5)Storing your money in the form of cryptocurrency
If you’re holding onto bitcoins for a while, one option is to store them in your wallet instead of cashing out immediately. This way you get all the benefits that come with bitcoin including lower fees and quicker transactions when compared to other cryptocurrencies.
One should however be aware that although this might seem like an ideal choice, the exchanges where you buy your bitcoins are holding onto an immense amount of wealth in bitcoins. There have been disasters in the past involving exchange failures that cost thousands of people their bitcoins and thus it would probably be wiser to not trust one with all of your funds.
6)Sending money to friends or family overseas
Bitcoin transactions do not require you to go through a bank or other third party service. As long as you know the person receiving your funds, sending them bitcoin is simple and quick.
Bitcoin transactions are also irreversible meaning that you don’t have to worry about scammers trying to get more money from you by claiming they didn’t receive it after the fact like with other types of payments.
Because of this, Bitcoin is also an ideal choice for people who need to send money overseas. There are bitcoin brokers that let you buy bitcoins with your credit card and then sell them at a higher price for local currency after they arrive in the destination country. This allows you to take advantage of the arbitrage opportunity and make some quick cash.
Litecoin, Dogecoin and other cryptocurrencies also offer the same features while being cheaper than Bitcoin, just remember to check what’s available in your area. If you’re interested in buying some of these alternative currencies but don’t really want to go through the trouble of finding who has them for sale near you, there are websites that let you do this.
Bitcoin and other cryptocurrencies have received a lot of bad press recently due to the way they have been spiking in value lately. Because of this, some people are dismissing it as a bubble that is bound to burst sooner or later, but others think it has only just begun and will eventually replace fiat currencies around the world.
This is an extremely volatile currency which means that if you’re thinking of buying some to sell later for a profit, you might want to tread more cautiously.
Take note however that this is not investment advice and you should only buy bitcoin if you know what it is, understand how it works and are willing to take the risk of losing all your money. So with that in mind, let’s move on to the next section of this article which will discuss trading cryptocurrencies for fiat currency like dollars or euros.
8)Trading with bitcoin or other cryptocurrencies
This is where things get really interesting, because you can actually buy and sell cryptocurrencies at a profit through various exchanges. There are lots of these so it’s best to do some shopping around before settling on one in particular. One important factor is the fee they charge which will vary depending on the exchange.
Another important thing to consider is who is running the website and whether their reviews are positive or negative. Cryptocurrencies have been associated with many scams in the past because of lack of regulation, so make sure you read about what other people have to say about an exchange before trying it out for yourself.
The good thing about cryptocurrency exchanges is that you can choose to either store your bitcoin or other cryptocurrencies on them, or simply transfer it to a wallet you control if you’d prefer not to leave your coins there. If you want to have full control of your funds, this option is for you as storing them with an exchange will involve some trust and less security.
If you didn’t know that cryptocurrencies could be used to buy and sell goods, you should now have a better understanding of their potential. Just make sure you do your research before throwing all your money in the cryptocurrency pot because it might end up being a massive waste of time if things don’t work out as planned.