When you think of cryptocurrency you may not necessarily think about it’s potential to benefit your business, but the evidence is in black and white and you should take note to reduce business costs and improve efficiency. With most types of businesses and new technologies there are always people out there that want to commit fraud against you, you should watch out for internet scams by educating yourself on common cryptocurrency scams. It is worth making a point that every regulated currency that is not cryptocurrency is an example of Fiat currency. Examples include the US Dollar or British Pound, these currencies are regulated and centralised by the government the implements those particular currencies. Cryptocurrency on the other hand allows the same type of cryptocurrency to be traded by people all over the world without limitations, you can send money across the globe and instead of paying the average Fiat transaction cost rate of around 7%. When using cryptocurrencies you can expect to be paying a fraction of this, you can even find cryptocurrencies that have 0% transaction fees.
Reduced Cost Of Transactions and Crypto Demolishes International Barriers
If you run a business based in the UK and you want to purchase stock from China, you will likely send your payment in British pounds. This may seem like the obvious choice for you, but this can mean that your business can incur high transaction fees. This means you pay more and get less, this is a less than ideal situation for businesses, particularly within the current economic climate. Sending money through cryptocurrency exchange platforms such as Binance or Coinbase Exchange allows money to be sent across borders for much lower fees. Cryptocurrency also make it easier for you as a business to conduct with other businesses around the world in a secure and efficient fashion. As a result of sending money abroad you are potentially putting yourself at more risk of being scammed, if you have been scammed you can contact a crypto recovery lawyer to help you get your crypto back.
Businesses that offer to sell products or services in exchange for bitcoin are likely attain a higher amount of customers opposed to a business that did not offer customers this amenity. This is because in recent years the popularity of cryptocurrencies has exploded, with an increased number of people from diverse age groups and backgrounds exploring the potential of using cryptocurrency as payment.
Inflation happens when more money is being printed causing the value of existing money to depreciate, in 2020 the US printed more than $3 billion dollars alone. This has contributed to the cost of living crisis that we are experiencing at the moment. Cryptocurrency on the other hand is not tied to any monetary policy meaning that the value of cryptocurrency will not be affected by inflation. Therefore storing your liquid assets as cryptocurrency, particularly stable coins is a good way to retain the value of your assets.
Open Your Business Up to International Investment
When you accept cryptocurrency from different groups of people you don’t have to just stop at customers, you can easily accept international investment from individuals and companies around the world. Enabling you to have the capital to keep increasing the size and scope of your business, capitalising on oppotunties you may have missed if you were not able to receive the investment.
Cryptocurrency can have a miriad of benefits for your business, although you should spend time before you jump into anything to fully understand the implications of using cryptocurrency within your business. As understanding the technology properly allows you to make the most of it and avoid any potential pitfalls.