Advantages and disadvantages of Bitcoin 🌟 - page 3.

Litecoindigger

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Quote from: justin86 on June 27, 2018, 03:23:52 PM

I think the biggest disadvantages for me are lack of regulations and uncertainty related to bitcoin, it is not backed by anything so it is very speculative and people think it is unreliable.

I don't think lack of regulations is a disadvantage. It depends on the regulation but if I see all those unnecessary KYC precedures, this is something we don't need. Finally we will lose a bit freedom if we implement all the things, the governments want. I agree regulations can be good, if we can sort out some shitcoins and better regulations to protect investors from scammy ICOs by regulate ICO companies, but after all most regulations are done to prevent getting power back to the citizens.

Quote from: justin86 on June 27, 2018, 03:23:52 PM

it is not backed by anything

So Bitcoin has no disadvantages regarding the current money system on this issue. Wink

justin86

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I think the biggest disadvantages for me are lack of regulations and uncertainty related to bitcoin, it is not backed by anything so it is very speculative and people think it is unreliable.

Litecoindigger

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Bitcoin, as a completely new way of payments, has been founded in 2009, now it's been almost 10 years. In comparison to existing payment systems it is still very new and also the technology that is needed for Bitcoin is unique and special.

Here are the advantages and disadvantages of using Bitcoin:

Advantages:

Bitcoin is a global system and not limited to individual nations.
Bitcoin is safe against inflation, as bitcoins cannot be multiplied, such as FIAT money, but limited to a maximum number of 21 million. These are to be emitted until the year 2140.
Bitcoin has a decentralized peer-to-peer system and when established, central banks, credit card companies and regulators would lose power. The power would then return to the citizens.
The miners who handle the transactions are rewarded with new bitcoins. This makes the system strong (it would take 51% of the total hashrate to successfully attack Bitcoin)
Bitcoin is globally accessible and can be used anywhere, within minutes, by anyone. Signing up and handling are as easy as creating a mail or sending an e-mail.
Bitcoin is absolutely forgery-proof due to the automatic checking of the participants. In addition, the source code is open-source and therefore visible to anyone.
Network transfer and validation with Bitcoin can be completed in minutes and anywhere in the world.
No personal or sensitive data is transferred between Bitcoin sender and Bitcoin receiver.
Bitcoin is pseudo-anonymous when compared to card payments if you use Bitcoin correctly. In the Bitcoin-Blockchain you'll see every transaction but not know who has sent the transaction if you don't know the owner personally.

Disadvantages:

The Bitcoin system is deflationary. As Bitcoin owners often speculate on ever higher price rises, they barely spend their bitcoins, but collect them in their wallets without putting them into circulation (can also be seen as an advantage that Bitcoin is worth more and more)
So far, there is still a relatively low acceptance because Bitcoin is still hardly known to the majority of the population.
The Bitcoin software is still in constant development and not all functions and services have been established or even developed by the general public.
Only 8 transactions per second (but the development of the Lightning Network should improve that)
Early adopters, like users who have already purchased large quantities at very low prices, are already benefiting much more from the price increases.
If a country stops trading in bitcoins because of banks, it can cause a sudden price dumps, since then Bitcoins can only be traded illegally
The banks and rulers will try to criminalize the owners of Bitcoin

Ultimately, the benefits are far greater and more important, because the disadvantages are all solvable. The long run supports Bitcoin and with 10 years it is not very old.

Do you have advantages or disadvantages to add?

Topic: Advantages and disadvantages of Bitcoin 🌟 - page 3. (Read 1663 times)