Cryptocurrencies are rapidly becoming a popular form of payment across the globe. Several individuals and businesses are shifting towards cryptocurrencies such as Bitcoin to complete financial transactions. Bitcoin is the most popular crypto, facilitating instantaneous, safer, and low-cost cross-border transactions. The following article discusses Bitcoin's potential in international transactions.
A Decentralized Payment System
Unlike fat currencies subject to various government and regulatory restrictions, Bitcoin is a fully decentralized means of payment. That means it doesn't tie to any government or central authority. Instead, it allows everyone to send and receive payments without external interference. Bitcoin users do not need to open bank accounts or go through money processors to transact internationally.
You only need a computer or smartphone, a crypto wallet, and internet access to transact Bitcoin. The decentralized Bitcoin infrastructure enables its users to bypass the bureaucracies of traditional financial systems, thereby giving everyone the autonomy to transact worldwide. You can send or receive Bitcoin payments through your wallet or a trusted crypto exchange such as the BITAI METHOD at your convenience.
Secure International Payments
Transactional security has been one of the most significant concerns in international payments. While banks and money processors usually have agencies to oversee cross-border money transfers, they remain underpinned by the bureaucracy that exposes customers to fraud and other common risks. Bitcoin resolves security issues by validating all transactions on a digital ledger.
Bitcoin's underlying blockchain verifies and validates all transactions on a shared ledger, accessible to all users on the network. All the validated payments are irreversible, preventing risks such as double-spending. Besides, the log is secured using encryptions that no user or third party can interfere with. The digital ledger creates a trustless platform that makes it imperative for both parties to a transaction to fulfill their obligations.
The digital ledger also helps resolve payment disputes between the parties involved. The aggrieved parties can easily refer to the log to find the details of every payment, including the sender, recipient, amount transacted, and even the transaction time.
Low-cost Cross-border Transactions
The cost of moving money across international borders has been relatively high over the years, significantly hindering remittances. That is mainly because the multiple players usually involved in such transactions leave customers with hefty commissions and fees. Bitcoin addresses that issue by facilitating reliable money transfers at a fraction of the cost.
One of the reasons why sending money across the international border with Bitcoin is less costly is because it eliminates intermediaries from transactions. Besides, all Bitcoin payments occur virtually on the blockchain. Those aspects significantly reduce the overall transactional costs, allowing you to move funds internationally without hefty charges.
Although crypto transactions are still subject to some commissions, most exchanges take just about 1% of the transaction volume for processing the payments. Today, sending money in Bitcoin is cheaper than using credit cards, debit cards, and even direct bank transfers.
Instantaneous Money Transfers
Banks and money processors usually take several hours, days, or weeks to complete international payments. Sometimes, they can even decline payments. However, such hindrances are inexistent when using Bitcoin. That is because Bitcoin money transfers do not involve any third parties. Instead, transactions occur digitally on the blockchain. As a result, it takes just a few minutes to complete a transaction. Bitcoin payments take about 30 minutes, ensuring faster transfers across international borders.
Although Bitcoin is still in its infancy, it has already proven a unique potential to facilitate autonomous, instantaneous, secure, and low-cost cross-border transactions.
