Why cryptocurrency should replace traditional banking system

With the success of bitcoin in 2009, the creator assumed with the name Satoshi Nakamoto sees the banking system as a failure for been centralized and he/she wish transaction could be done in a decentralized way. With the financial crisis in 2008 which really affect a lot of people. We all blame our banks and the government for such crisis. Satoshi want a new system where people will be in control of their own money or assert.

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One of the way to achieve this is though a decentralized system where means no one is in control of you money. You can do business with anyone and you will not be scared of your assert been frozen by government. With cryptocurrency, we can make transaction without depending on bank or government approval. All assert are within your control and you can do anything you want with them anytime and anywhere.

An example is our steemit wallet or tron wallet, the moment we receive our token no one can dictate to us what to use it for how to use it.

Picture from my TronLink Pro wallet

How cryptocurrency replace our banking system

Cryptocurrency can easily replace fiat which is what the traditional banks use. Cryptocurrency are wildly accepted around the world and it popularity keep growing. With the recent war in Ukraine, all banks were closed or out of money and the citizen turn to crypto as a new method of making transaction and also people around the world can easily send them funds to ease their suffering.

Picture from my Twitter account.

Someone will ask “what if all someone assert are in cryptocurrency and you got hacked and all assert was stolen”. Well, they is no doubt hacking is one major risk we face every day on the internet, but with cryptography and the use of blockchain, I am confident that our cryptocurrencies are fully secure. Although, they is still possible of a cyber-attack but that is only possible when you are been reckless such as, clicking on an advert saying they will double your token.

Some advantages of cryptocurrency over banking system

The major reason why cryptocurriencies was introduced is to provide an alternative in the financial sector where you do not have to rely on anyone. I will be explaining some advantages of cryptocurrency over traditional banking system below.

• Cryptocurrency is a new form of decentralization model for money. With this form of system, we do not have to rely on monetary institutions and banks to make transaction. This also means they is no need for third party intervention. With the help of blockchain technology and cryptography cryptocurrency are secure and they cannot be a system failure or a single point failure as seen with our normal banks.

• With the absence of third party, transactions with cryptocurrency are faster and cheaper compare to with the normal banking system.

• Cryptocurrency has been a lucrative online business for few years now. People buy crypto currency when the price is low and sell when the price is high. With proper knowledge on what to buy and when to buy a specific token, you can make profit within a short period of time.

  Some Disadvantages of cryptocurrency include:

• Cryptocurrency been secure has been the best tool for any illegal money laundering and purchases of non-legal substances (guns and hard drugs) through the use of dark web. Hackers also use crypto currency as a safe place to store stolen funds.

• From all research, crypto currency is said to be decentralized, but in reality majority of top coin holder such as bitcoin is own by few percentage of people in the crypto world.

• One of the popular believes is that any one should be able to mine cryptocurrency, but this is not the case because to mine, for example bitcoin you need to have access to a large amount of power supply which normal individual cannot afford.

• Cryptocurrency is prone to price fluctuation. So if you into crypto currency as an investment, it advisable to have a deep understanding of how the market operates. Price volatility is a very risky factor for any investment.

Conclusion

I have come to the end of today article on why cryptocurrency should replace the traditional banking system. When that happen they is no saying to what we can achieve in term of the way we do business which will be totally reform. Thank you all for reading see you next time.

Cc. @kouba01

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