Should your company accept cryptocurrencies?

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Bitcoin is the latest investment mania, building a buzz from practically nothing for the recognition of industry in the course of a few years At the same time, it is still a bit of a mystery to many people The idea of ​​a cryptocurrency – a purely digital form of currency that exists without being attached to nation states or a bank centralized – seems to have hit through the mainstream, enough that people know that it is money exchanged on the Internet.

For this reason some cryptocurrencies have come out of the niche uses in the potential of small businesses.?

Like all the new technologies, it is exciting to be in the vanguard, however cryptocurrencies are a new and courageous world, but in the digital realm the risks are accentuated by a combination of speed and anonymity.

The disadvantages of Cryptocurrency

The use of cryptocurrencies is quite simple; companies like CoinPayments offer a number of methods to accept cryptocurrencies over bitcoins. However, even with a seller like this, there are still many volatile elements in each cryptocurrency, including:

Regulation: For almost any type of investment in the United States (stocks, real estate, etc.) There is a level of regulation that ensures market stability and consumer protection. Even when there is an apparent loophole with catastrophic consequences (eg, the subprime mortgage crisis of a decade ago), regulations tend to move forward to ensure that such abuses can not be repeated. The cryptocurrencies are not very regulated although there will be more discussion about this at the next G20 summit. In the United States, the Treasury Department and the SEC consider it a security (negotiable financial asset) rather than a legal tender currency. This is different from startups that issue Initial Coin Offerings (ICOs), which is a token representing a stake in a company rather than a digital currency.

Stigma: Bitcoin has been involved in some polemics in profile. This is predictable given the general decentralized nature of the beast, as well as the fact that it is exchanged everywhere in the world – even in areas with more loose laws that allow unscrupulous people to thrive. This creates two problems. First of all, the stigma of cybercrime infests the industry of cryptocurrency in general. With damages up to $ 60 million per crime there is a reason why these doubts exist. Secondly, due to the lack of clear and thorough regulation, scammers tried to make money with other people's bitcoin uses (for example, Jason R. Klein pleaded guilty in 2017 to handle an illegal exchange of bitcoin). There is simply the fear of being entangled in something that is hidden behind the digital wall.

Availability: If you want to invest in shares or buy real estate, there are many ways to do it, both in person and online. With bitcoins and cryptocurrencies, only a few reliable purchasing options are available: Coinbase, Gemini and itBit. Other names are certainly available, but lack the general stability, transparency and trust of these three names, limiting the options of the buyer.

Volatility: The theory behind the purchase of a cryptocurrency is the same as any investment, be it gold, shares or real estate. You want to buy low and sell high. However, evaluating the market for a cryptocurrency is a challenge in itself. There is an inherent volatility even in the most stable cryptocurrencies (like bitcoin), and this makes it extremely difficult to evaluate when exactly to jump in. Take a look at the major fluctuations in the bitcoin record and you will see a weeklong swing of $ 7,100 on April 9th ​​to $ 6,750 on April 10th at $ 8,154 on April 13th at $ 7,197 on April 14th at $ 8,375. April 16th. Those are oscillations of 10-15% from one day to the next. Compare it with the NASDAQ, which often sees daily variations of less than one percent .

The Upside of Cryptocurrency

With this in mind, it is clear as to why people who love high risk / high reward situations in cryptocurrency. For companies, however, stability is the most important thing. If you decide to accept cryptocurrencies as payments, there are a number of benefits that come with it. (In addition, you will probably want to learn about the blockchain technology that fuels these currencies) These benefits include:

• Best rates: At some point, cryptocurrencies will normalize in the mainstream and offer processing of the supplier rates similar to traditional routes. For now, cryptocurrency processors often offer rates of less than 1%, while traditional methods require around 3%.

• Upward potential: Cryptocurrencies are notoriously volatile. If you get paid in one, there's a chance that it could be worth a lot more in the coming days. Of course, you could lose this value too.

• An international public: Because cryptocurrencies are decentralized, they are not bound by regional or political level. This means that anyone who owns that particular currency can buy it without any potential problem related to regional banks.

• Protection against chargeback: A common method of fraud is the chargeback of a transaction after the item has shipped. With cryptocurrencies, fraudulent users can not do it because there is no central system to turn to.

If you accept cryptocurrencies, it is important to select them carefully. Looking at markets and understanding technology are the first crucial steps. Then, the best thing to do is look at the history of the currency: check the signs of stability, long-term use and the volume of the user base. Finally, learn more about the dangers above, especially volatility. In most cases, it is safer to start accepting bitcoins, since it is the most encrypted and most reliable of cryptocurrencies. This solution offers an excellent balance between going with a known amount and being at the forefront of technology.

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Bitcoin is the latest investment craze, building a buzz from practically nothing to industrial recognition over the course of a few years, at the same time, it's still a bit of a mystery to many people The idea of ​​a cryptocurrency, a purely digital form of currency that exists without being attached to nation states or a centralized bank, seems to have penetrated the mainstream, enough that people, at least, know that it is of money exchanged on the Internet.

For this reason some cryptocurrencies have moved from the niche uses into the potential of small businesses.

Like all new technologies, it is exciting to be in the vanguard, however cryptocurrencies are a new and courageous world, but in the digital realm the risks are accentuated by a combination of speed and anonymity.We take a closer look.

The disadvantages of Criptovaluta [19659003] The use of cryptocurrencies is quite simple; companies like CoinPayments offer a number of methods to accept cryptocurrencies over bitcoins. However, even with a seller like this, there are still many volatile elements in each cryptocurrency, including:

Regulation: For almost any type of investment in the United States (stocks, real estate, etc.) C & # 39 It is a level of regulation that guarantees market stability and consumer protection. Even when there is an apparent loophole with catastrophic consequences (eg, the subprime mortgage crisis of a decade ago), regulations tend to move forward to ensure that such abuses can not be repeated. The cryptocurrencies are not very regulated, although there will be a more in-depth discussion at the next G20 summit. In the United States, the Treasury Department and the SEC consider it a security (negotiable financial asset) rather than a legal tender currency. This is different from startups that issue Initial Coin Offerings (ICOs), which is a token representing a stake in a company rather than a digital currency.

Stigma: Bitcoin has been involved in some polemics in profile. This is predictable given the general decentralized nature of the beast, as well as the fact that it is exchanged everywhere in the world – even in areas with more loose laws that allow unscrupulous people to thrive. This creates two problems. First of all, the stigma of cybercrime infests the industry of cryptocurrency in general. With damages up to $ 60 million per crime, there's a reason these doubts exist. Secondly, due to the lack of clear and thorough regulation, scammers tried to make money with other people's bitcoin uses (for example, Jason R. Klein pleaded guilty in 2017 to handle an illegal exchange of bitcoin). There is simply the fear of being entangled in something that is hidden behind the digital wall.

Availability: If you want to invest in shares or buy real estate, there are many ways to do it, both in person and online. With bitcoins and cryptocurrencies, only a few reliable purchasing options are available: Coinbase, Gemini and itBit. Other names are certainly available, but lack the general stability, transparency and trust of these three names, limiting the options of the buyer.

Volatility: The theory behind the purchase of a cryptocurrency is the same as any investment, be it gold, shares or real estate. You want to buy low and sell high. However, evaluating the market for a cryptocurrency is a challenge in itself. There is an intrinsic volatility even in the most stable of cryptocurrencies (like bitcoin), and this makes it extremely difficult to evaluate when exactly to jump inside. Take a look at the major fluctuations in the bitcoin record and you'll see a weekly swing of $ 7,100 on April 9 to $ 6,750 on April 10th to $ 8,154 on April 13th to $ 7,197 on April 14th to $ 8,375 on April 16th. Those are oscillations of 10-15% from one day to the next. Compare it with the NASDAQ, which often sees daily changes of less than one percent.

The Upside of Cryptomonete

With this in mind, it is clear why people who love – risk / high reward situations towards cryptocurrencies. For companies, however, stability is the most important thing. If you decide to accept cryptocurrencies as payments, there are a number of benefits that come with it. (In addition, you will probably want to learn about the blockchain technology that fuels these currencies) These benefits include:

• Best rates: At some point, cryptocurrencies will normalize in the mainstream and offer processing of the supplier rates similar to traditional routes. For now, cryptocurrency processors often offer rates of less than 1%, while traditional methods require around 3%.

• Upward potential: Cryptocurrencies are notoriously volatile. If you get paid in one, there's a chance that it could be worth a lot more in the coming days. Of course, you could lose this value too.

• An international public: Because cryptocurrencies are decentralized, they are not bound by regional or political level. This means that anyone who owns that particular currency can buy it without any potential problem related to regional banks.

• Protection against chargeback: A common method of fraud is the chargeback of a transaction after the item has shipped. With cryptocurrencies, fraudulent users can not do it because there is no central system to turn to.

If you accept cryptocurrencies, it is important to select them carefully. Looking at markets and understanding technology are the first crucial steps. Then, the best thing to do is look at the history of the currency: check the signs of stability, long-term use and the volume of the user base. Finally, learn more about the dangers above, especially volatility. In most cases, it is safer to start accepting bitcoins, since it is the most encrypted and most reliable of cryptocurrencies. This solution offers an excellent balance between going with a known amount and being at the forefront of technology.

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