Shopping with Bitcoin has been on the increase in recent time. Bitcoin is a virtual currency (crypto-currency) and as a result of the unique nature of cryptocurrencies, there are certain advantages associated with using them as a preferred means of payment when shopping both online and offline or when sending as a gift to a friend or family.
You might be asking and wondering: “What are the advantages of shopping with Bitcoin?”
The advantages of using bitcoin as a means of payment when shopping in online stores are unique, as others who use other forms of currencies miss out of it. Bitcoin is still a relatively new and untested medium or form of exchange, at least, not widely accepted like the conventional currencies that we are all used to.
Bitcoin is still a relatively new and untested medium or form of exchange, at least, not widely accepted like the conventional currencies that we are all used to.With everything that has advantages, there are obvious drawbacks to them, so users need to weigh their options when deciding to use bitcoins as a preferred means of shopping or buying goods and services.
With everything that has advantages, there are obvious drawbacks to them, so users need to weigh their options when deciding to use bitcoins as a preferred means of shopping or buying goods and services.
That said, I will be highlighting some of the unique advantages of doing your online and offline shopping in places that accept cryptocurrencies using the virtual currency – Bitcoin.
First, what is bitcoin?
Bitcoin is peer-to-peer; decentralized “crypto currency” framework developed and designed to enable online user’s process transactions through digital units of exchanges and pay Bitcoin to the receiver.
Starting in 2009, Bitcoin has gathered a lot of interest and controversy as a “third” type of currency and an alternative to government recognized type of currencies like the Euro, U.S dollar or commodities like gold and silver; as a result, a lot of retailers and shops are now accepting bitcoins.
There are two major ways of getting the digital currency called bitcoin. One of such ways is by mining. Mining is done by a computer through a complex process of solving mathematical algorithms.
Another of such ways is by simply purchasing the coin from a third party, paying through a standard currency. These coins are then transferred and kept in an online vault called “Bitcoin Wallet”. Once the crypto-currency is in our wallet, they can then be utilized for making purchases and shopping online either through our smart phones or a computer.
Advantages of shopping with Bitcoin online
No tax on purchases
One of the very obvious advantages of shopping with Bitcoin is that the digital currency cannot be taxed. Because there is no way for a third party to track, identify or intercept transactions done through bitcoins, sales tax are not added to the transaction fees by merchants or sellers.
Another great benefit of doing your online transactions with bitcoins is the level of anonymity it offers to both sellers and buyers. Bitcoin purchases are discrete; therefore a merchant or the government cannot identify a user simply by their Bitcoin address.
Unless an individual decides to openly showcase his Bitcoin transactions, his identity can never be known since purchases are never associated with the users’ identity such as their name or house address unlike when such transactions are done with cash or credit cards. Bitcoin transactions can never be traced to the buyer.
Low transaction fees
Buying goods from a foreign or local website or making wire transfers can be pretty expensive due to transaction fees associated with processing such payments.
However, with Bitcoin, there is little or no transaction fee attached with making purchases since there are no intermediary institutions or governments involved. Travelers will especially find this beneficial since they can easily and quickly make financial transactions with a very little fee.
Also, Bitcoin transactions take minutes to process, thereby removing unnecessary waiting periods and delays.
As with other forms of currency transactions, Bitcoin allows you to make payments anywhere there is internet access. This means buyers do not have to go to a bank to withdraw funds or go to a store to make a purchase.
You can simply log into your Bitcoin wallet using either your mobile phone with any of the numerous Bitcoin wallet apps or through your PC’s browser or app and send payments in real time to the merchant that supports shopping with Bitcoin.
No third-party involvements
It usually feels good to know that you are in charge of your financial dealings and transactions. Making bitcoin payments online gives you that freedom to make transactions to whatever volume you are comfortable with.
Unlike other forms of financial dealings whereby the government or banks can interrupt your dealings due to regulations or other laws, with Bitcoin your account can never get frozen.
There is no limit to the amount of transaction you can make in a day; week or month, there is simply unlimited freedom.