Over the years, cryptocurrency has grown a lot in popularity, and while it is still far from replacing fiat currency, it basically works just like it in some ways. You might be wondering how. Just like how you use fiat currency to purchase a bunch of things and even in other ways, with the global adoption of crypto, it can be used in the same way.
Over a decade ago, most people looked at Bitcoin holders like they were simply wasting their time, energy and money by investing in the strange “online money”, but it is 2022, and we are seeing people use crypto to purchase the simplest of things, even down to coffee at Starbucks.
Crypto is not only for purchasing things but also has numerous other uses in our daily lives. It has been fascinating to see the digital currency go from nothing to questioning if it will replace traditional fiat currency.
Let’s go ahead and discuss five different ways cryptocurrency can be used every day in your normal daily life.
What is Cryptocurrency?
Crypto or cryptocurrency is a digital currency based on a cryptographic system. They can be bought, sold and traded on crypto exchange platforms. These digital currencies are decentralised, which means they are not controlled by the government or any other entities, unlike the traditional fiat currency.
There are thousands of crypto coins in existence, and they are all of different natures. While we have widely traded cryptos like Bitcoin and Ethereum (amongst others), we also have types of cryptocurrencies like memecoins, stablecoins and even shitcoins.
The first ever cryptocurrency is Bitcoin; it was launched by Satoshi Nakamoto in 2009, and today it is the largest crypto by market capitalisation (320.85 billion), and one Bitcoin is currently valued at over $16,000.
From 2009 till the present, more cryptocurrencies have come into existence, and they are being traded by millions of people worldwide. While they are primarily traded, they also have other uses.
Features Of Cryptocurrency
- It is decentralised, which means it is not controlled by anybody, organisation or entity.
- Transactions are irreversible
- Transactions are tied to a random sequence of characters and not to the identity of the owners. This includes personal or company information.
- Cryptocurrencies are stored in digital wallets protected with private keys.
- While traditional currencies have an unlimited supply, most cryptocurrencies have a fixed supply, and after they run out, they cannot be mined further.
5 Ways Cryptocurrency Can Be Used in Daily Life
Shopping with a debit card, gift cards and cash? Been there, done that, and we’re bored of it. Shopping and making payments in crypto is where we are at right now. With the increase in the adoption of cryptocurrency worldwide, more businesses have started accepting payment for their goods and services in crypto now. HSB conducted a survey in 2020, and it revealed that 36% of small to medium businesses in the US accept Bitcoin as a payment method.
Businesses such as Starbucks, KFC, burger king, Subway, and others are part of this long list.
Not just food chains that have hopped on the crypto train, but other big-name brands, such as Wikipedia, Microsoft etc., also accept cryptocurrency payments.
Yes, travel agencies have also discovered the use of Bitcoin and have now adopted it. CheapAir is a travel agency where you can book and pay for flights, hotels, renting cars etc., and has been accepting Bitcoin as a payment alternative since 2013.
3. School Tuition:
Seems like education will not be left off this train. More schools from countries such as Germany, Switzerland, the United States, and even Cyprus have begun accepting tuition and other payments in cryptocurrency.
4. Transfer of Funds:
In some countries, transferring money is a long and tedious process. It may take long hours or even days for the other party to receive their funds. This is also the case with transferring money to people in other countries. But with the introduction of crypto, transferring money has been made a lot easier.
Regardless of country or location, crypto coins like Bitcoin facilitate faster, cheaper, and more secure fund transfers.
5. Means of Fund-raising:
The use of crypto is now widespread among startups for funding ideas, services, and products. Rather than using traditional VC funding or using fund-raising websites such as GoFundMe and the like, startup leaders are looking to cryptocurrency as a means to raise money for their projects.
One of crypto’s significant features is that it is easy to keep track of. It has been a great way to fund-raise projects because of its transparency.
After the inception of cryptocurrency in 2009 with the launch of the first ever crypto, Bitcoin, it has grown far beyond our initial expectations. While people initially doubted its use and value, Bitcoin and even more cryptocurrencies have proven to be more.
Cryptocurrencies have various uses and can even be used in our daily activities.
The growth of crypto to this stage has proven that it still has a lot more to grow into. From uses such as a means of investment, a store of wealth and more, crypto is here to stay.