I remember those maybe 8 years back when I first heard about Bitcoin. It was pretty exciting news! Were you also part of the hype? College friends trying mining on school computers, fierce discussions about how well the protocol is written, and wild fantasies about how it is going to change the economy, political system and the overall view on what money really is.
You all already know how wrong we were. It changed something for sure, but not that dramatic extent. The initial protocol was changed and forked many times. So many derivates or completely new inventions emerged. The price skyrocketed beyond the wildest dreams, at least my wildest dreams. And if not entirely changing the world, it at least stole some major media time and got itself the recognition it deserves.
Nowadays, we live in a world where crypto payments are nothing exotic. But I still get the “What is crypto good for?” question from time to time. So let’s get into it and have a look at some major uses of cryptocurrency. There are, of course, quite big differences between each one of them. Some are more suitable for trading, some for fast payments and so on. But we’ll get into it in one of our upcoming texts. Lets just lay out few answers to this major “what to do with it” query.
This one can be the most obvious. Before crypto got so volatile and just steadily grew with some lesser bumps, it was one of the nicest ways to keep your funds safe and making money faster than on any standard investment platform. Considering that your wallet is well secured, no institution can touch your funds and as long as the crypto network works, your funds are safe. With any bank, you rely just on the single institution, and eventually the stability of the region you live in. But to make an analogy with crypto, the whole banking and economic system would have to break to let your funds disappear. Pretty neat huh? I’d love to have my bank account protected by this “all or nothing” safety.
In May 2010, those two pizzas got legendary, as being the first purchase paid in Bitcoin. The cost was 10,000 BTC! Phew, at least they were large pizzas, paying so much for regular ones would hurt even today. Many companies use Bitcoin payments since then, and you can buy almost anything for it today. One of the major EU retailers Alza uses BTC and LTC payments for years now, you can buy even a Tesla there. Or, to get to a smaller scale, you can buy a coffee or rent an office in Paralelní Polis or any of their derivates across Europe. And these are just examples. You can get a broader idea on Coinmap.
Sending funds abroad to your family cause you landed this great job at a different continent? Or just in need to transfer some payment around the globe? Or living in a country that restricts your financial transactions big time? Well, you certainly know where this is going. Regardless if you send crypto to your college roommate in Cambridge or your uncle in the Philippines, you’ll pay the same fee as anybody else, wait for the processing the same time and no one is going to ask you what is your relationship status with your roommate, nor your uncle.
And we are closing with the volatility again. Crypto is still at its beginning in kind of a way, still evolving, still pretty wild. And as we all know, you can make some money by cleverly bidding on the wild card. Even though crypto is decade old now, it is still going wild, at least some coins are. So if you feel like it, buckle up and join the ride. It was an exciting one and still going strong. Actually more interesting every day.
Thanks for your patience with text this long, I promise to get you a funnier and shorter next time. See you on our blog.
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