According to Solar Staff's study, over 35% of contractors in the marketing, management, and engineering fields would like to receive their earnings in crypto. Cryptocurrency is set to continue rising in popularity as a preferred payment method, and here are five reasons why.
1. Decentralization provides a hedge against inflation
Many emerging markets are subject to economic uncertainty. Currencies like the Turkish lira and the Argentinian peso have recently lost in value considerably. Because cryptocurrency is decentralized, which means it is not tied to the policy of any central bank, people can keep eliminating their exposure to the devaluation of their local currency.
2. Lower fees compared to traditional payment methods
Crypto often takes less than 1% of the total value of the payment, while banks can charge a fee of up to 3-4% of the total transfer, which affects both outgoing and incoming transfers. Digital wallets like PayPal eat up approximately 3.5% percent of the transaction in fees and commissions.
3. Higher security
Cryptocurrency gives users full control over their wallets at all times, but the bank can randomly freeze accounts or fail due to overexposure or poor internal controls. Also, advanced encryption techniques used in crypto considerably reduce the risk of fraud.
4. Accessibility
According to the World Bank, more than 1.7 billion people do not have access to conventional financial services, and many of them live in emerging markets. When it comes to cryptocurrency, anyone can open a wallet, regardless of location or status. Cryptocurrency is becoming increasingly wide-spread, with large companies already accepting it as a form of payment and the two major payment processors, Visa and Mastercard, hopping on. All this will provide a considerable boost to crypto's popularity and adoption.
5. Speed
Cross-border payment services offered by conventional financial institutions are slow. An international transfer processed through SWIFT could take up to two weeks. On the other hand, a cryptocurrency transaction usually completes within minutes, depending on the network’s load.
To read the full article, head to Benzinga
