The concepts of cryptocurrency need to be erased if you want to have a flexible, anonymous and secure currency transaction. There are many benefits to be gained from this nature of currency when peer-to-peer business is desired.
The basic requirement to have these foreign exchange transactions
To have this currency transaction between two peers, there is the requirement of a blockchain. When this is present, there is no need for any third party that can be trusted to carry out these transactions. The system provides a way to have a secure transaction as it is impossible for hackers to manipulate any transaction or create fake data.
The advantages of using this transaction system
There are many advantages to using this peer to peer transaction nature. Let’s take a look at these.
Pseudonym: Everyone who has cryptocurrency transactions has a unique identifier. The uniqueness of the identifier is that it is not related to the name and address of the user. The ID can be easily changed for every transaction made just by clicking a few buttons.
wallets: Wallet is a place where you can practically store your money and use it for any transaction. There are many ways to protect your wallet. You can use passwords, encryption or have dedicated hardware to have this security. You can easily have privacy and security for the money in your wallet.
Secure transactions: You can expect to have the most secure cryptocurrency transaction. A worldwide network of computers manages each and every transaction that takes place. It is a network that is not managed by any central government authority, so this decentralized nature of cryptocurrency allows for a seamless peer-to-peer transaction.
The transaction is made more secure due to the fact that money cannot be forcibly taken from anyone. Thousands of checks are done before making a transaction and if any flaw is detected, the transaction is stopped. This transaction can be said to be more secure than using a credit card.
Automated transaction: This nature of peer-to-peer transactions can be automated using smart contacts. The system itself would process the transaction according to the rules set by you. For example, if you want a certain amount of money to be transferred to a certain account after having a certain fund, the system will automatically follow those instructions.
Quick settlement: With this means of transaction you don’t have to wait long to have money in your account. The peer-to-peer nature of a transaction that is available with Cryptocurrency allows for the reduction of intermediaries and thus the associated paraphernalia. Hence, you can expect to have the fastest medium of forex transactions with this medium.
It is quite easy to pay with Cryptocurrency. To make these transactions possible, you don’t need to pay any high fees or enter more details than the recipient’s wallet address. The amount would be transmitted to the receiver within seconds.
Therefore, one can easily see how effective and beneficial it is to have peer-to-peer transactions with Cryptocurrency.