Virtually any product or service that can be purchased in dollars or other currencies can also be purchased with bitcoins. On the other hand, the high volatility of bitcoins is a big risk for some people who may want to use this cryptocurrency, but are afraid of price differences. However, the features of bitcoins make them perfect for online payments:
1. Fast operations
Bitcoin transaction takes 10-15 minutes. In the case of a bank transfer, the transfer of money from one account to another can take hours or even days. Some may say that PayPal or another e-wallet is faster. True, there are other things that ewallets can’t provide: privacy and smaller commissions.
When you send bitcoins to a partner over the Internet, the transaction will be registered in the blockchain. The list of transactions is open and can be approved on specialized websites. Only the ID number, total and time are recorded. There is no way for anyone to know where bitcoins come from and where they go. This is typical of bitcoins, which attracts a lot of people. Some people are interested in this because they can buy illegal goods with them, but the majority of bitcoin users are people who want to buy legitimate goods and services, but do not want to be identified. Porn and gambling websites may be immoral, but they are not illegal, so people who want to subscribe to these services can safely pay with bitcoin on websites that accept this currency, knowing that it will not affect their reputation.
3. Small commissions
The average commission per transaction is 0.002 BTC. It is much smaller compared to PayPal or bank commissions. Plus, you don’t have to pay for it. By paying a commission, you “reserve” the computing power (or at least part of) a pool to make your transaction work faster. You can even not pay the commission. In this case, you may have to wait two or three days for your operation to be processed. If you are not in a hurry, this may be the best opportunity to make money transactions at zero cost.
Of course, there are downsides to using bitcoins, such as the possibility of losing them. If someone steals your bitcoins or deletes your wallet documents, they cannot be recovered. As long as Bitcoin is not regulated, there is no central body to judge between the different parts. In other words, you can’t complain if you lose or are robbed by your bitcoins, there is simply no one to complain to.