Cryptocurrency Trading has been touted to revolutionalize the way in which we do business. This is because of its decentralized nature, the removal of a “third person” or entity like a bank in order for transactions to take place. This has been viewed as a great way to lessen the risk of errors from taking place, as instead of people, it’s artificial intelligence and algorithms that get the job done, reducing the risk of errors. Given this decentralized means of transactions, what are the traits or properties you can expect?
Unlike banks where you could undo transactions, with cryptocurrency tradings, you can’t. Nobody can. The sad thing about this is that there essentially is no safety net that you can rely on in case you send your money to the wrong people. This is one of the biggest disadvantages associated with a decentralized means of transacting.
Fast and Secure
A lot of transactions can be completed in a matter of minutes, as these are usually done in front of the computer screens. This makes it easy to do transactions among people from the other side of the globe. Furthermore, these transactions are fast and secure, as it makes use of advanced cryptography, which means that systems could be difficult and in a lot of cases, impossible to hack, and thus you can expect that the money you invest would not just magically disappear.
Pseudonym Use is Rife
Unlike banks which require you to provide personal information before any transaction is made, the use of Pseudonyms is quite common among Cryptocurrency traders, as trading is done from “address” to “address”, which is basically just a username of 30 characters. While it can be traced as to where each transaction goes, it can be difficult to identify the real person behind it.