5 Ways Digital Currencies Will Change the World

Img source: pymnts.com

In the history of humankind, there are not too many things that had an impact on the human way of living like the one that was produced by the launching of digital currencies. This revolutionary technology allowed both institutions and people to transfer their funds securely, instantly, and without any middleman. In recent years, this technology is considered as a foundation for the future growth of e-commerce. So, you see that these two very different things became almost one in today’s world. Take a look at five ways digital currencies will change the world in the future. 

Cheaper and Faster Bank Transfers

The way banks move money today can be considered archaic. Sometimes, they can take up to a week to transfer money between one client to another. Furthermore, transferring money from one country to another is a process that could potentially be full of friction and challenges. By using a digital currency like bitcoin, all of the transfers are made safely, cheaply, and most important instantly. Also, their current value can be seen on the internet, like it is the case with paper money. 

Img source: allbusiness.com

The True Potential of E-commerce

Credit card frauds are the main reason for people turning away from shopping online. This kind of frauds are way more common in global transactions, and in the end, many of the firms are not accepting international payments. Digital currencies are going to change these transactional issues. You can send money from the comfort of your home to any location on the planet earth. Now, we have a fun fact about digital currencies, owners of digital currencies can join certain online trading communities. If you want to take a look at how this looks just visit https://bitcointalkshow.com. 

Safe Money for the Poor Population

Recently, mobile technology exploded in Africa. This occurrence showed that even developing countries can lead to some of the branches of sophisticated technology. Today, it is estimated that 60% of commerce in Kenya is taking place by using mobile phone credits as the main medium. However, fees are really high, they can go up to 20%, which is pretty high if you ask us. But, in countries that don’t have efficient bank systems, digital currencies can be a safe and convenient form of payment. 

Img source: thespoon.tech

Smart Contracts and Programmable Money

After the digitalization, an asset can be moved in many automated ways. These actions mark the start of smart contracts and programmable money. These accounts are used in big transactions, which consist of buyer puts his money in escrow and this money goes to the seller when he or she gives the title of the property.

An Increase in Global Remittances

In the last two or three decades, people that moved from developing to developed countries send half a trillion to their family per year. This is a really respectable amount of money that in 90% of countries exceeds foreign investments. Digital currencies can lead to a significant increase in global remittances due to smaller fees for international transfers which are going up to 10% for sending two hundred US dollars. This technology has the potential to make these transfers both cheaper and faster.