Topic: Advantages of Bitcoin over traditional payment systems - page 3. (Read 2339 times)
The low fees are the one who are inviting to the eyes of many. I got hooked with this because of that. I can do a lot of my transaction at low cost. The bad thing that did happen was when it got so slow before it was sent unlike before.
I just love the decentralization of a digital currency which really proves that our systems is innovating, all things will not stay at it is for the period of time because just like the saying that goes " the only constant in this world is change" and bitcoin system really is the start
it looks good to me.
although i would add security to it.
when using any other payment systems online you are risking your information being stolen like your credit card information, and there is always risks of malware, keylogger, and other things that can steel your information and abuse it.
however with bitcoin since you can do everything offline all the said risks reach zero. you can have a air lock system using a Live linux offline for example, and make the transactions (use your sensitive information like private keys) there and then only broadcast the public data (non-sensitive) online.
also there is no charge back. it means the trust is shifted from users trusting the merchant with their personal information into merchants trusting their users not to double spend. also users trusting merchants (based on the merchant history) to send the product.
although i would add security to it.
when using any other payment systems online you are risking your information being stolen like your credit card information, and there is always risks of malware, keylogger, and other things that can steel your information and abuse it.
however with bitcoin since you can do everything offline all the said risks reach zero. you can have a air lock system using a Live linux offline for example, and make the transactions (use your sensitive information like private keys) there and then only broadcast the public data (non-sensitive) online.
also there is no charge back. it means the trust is shifted from users trusting the merchant with their personal information into merchants trusting their users not to double spend. also users trusting merchants (based on the merchant history) to send the product.
I agree with you.
I did mention security but I think more can be said as I believe ultimately Bitcoins model is less prone to hacking the the current financial system.
For example there were the recent hacks https://en.wikipedia.org/wiki/2016_Bangladesh_Bank_heist
Bitcoin is less prone to these kind of heists since the money is distributed and held by individuals (mostly apart from exchanges). Banks get hacked all the time any one way or other consumers must bear the cost.
Not sure how to succinctly phrase that.
Their are many advantages like, bitcoin gives you oppurtunity to earn online through lot of option in this forum, like doing signature campaign, giving your skill work for bitcoin and altcoin trading and investing on new coins and earning through trading with them.
Through bitcoin you can do gambling without revealing your identity.
Through bitcoin you can do gambling without revealing your identity.
You also should include the disadvantages, it doesn't seem honest just to show the good stuff, you should give a complete picture.
I agree there are disadvantages and I certainly mention them. For the proposes of this post I just want to focus on advantages.TBH most people are already sceptical so they have plenty of disadvantages in their heads. I want to provide them some real reasons why they might consider Bitcoin interesting.
lets address the elephants in the room
1 ) although the core fanboy leaders are using a softfork to slide in a change without the network nodes needing to upgrade/vote/consent.. the fanboys have faith that their leaders are doing it with honour. but they forget that even having the ability to slide in changes without consensus, can be used for bad too.
thus bitcoin is not indestructible as it relies on the TRUST that a group of devs are going to be honourable.
.. now imagine that it was used for bad..
1 ) It is not controlled by anyone. Its a decentralised peer-to-peer network.
2 ) Based on open source software.
3 ) This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold.
4 ) Nobody can stop or prevent transactions.
5 ) It has low fees compared to other online payment methods like paypal, credit cards etc.
6 ) It is truly global.
7 ) It is programmable money that allows for smart contracts.
8 ) Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
2 ) Based on open source software.
3 ) This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold.
4 ) Nobody can stop or prevent transactions.
5 ) It has low fees compared to other online payment methods like paypal, credit cards etc.
6 ) It is truly global.
7 ) It is programmable money that allows for smart contracts.
8 ) Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
1 ) although the core fanboy leaders are using a softfork to slide in a change without the network nodes needing to upgrade/vote/consent.. the fanboys have faith that their leaders are doing it with honour. but they forget that even having the ability to slide in changes without consensus, can be used for bad too.
thus bitcoin is not indestructible as it relies on the TRUST that a group of devs are going to be honourable.
.. now imagine that it was used for bad..
Well thats not true because for the soft fork to work miners have to run their code so ultimately devs have no real power. Furthermore thats only for soft forks and soft forks can only be a subset of what is already allowed my nodes.
Nice work and yes bitcoin has many advantages over a traditional payment system as already mentioned by you not only one but many advantages.
Having to pay low transaction fee is the best feature for me for using bitcoins.
Having to pay low transaction fee is the best feature for me for using bitcoins.
Three advantages which are important to me.
1) It is global (as you stated in your opening post). There is no border or regulation limitation. You can send Bitcoins to every corner in the world within minutes. There is no other payment system that could deliver this.
2) It is cheap. Very less fees compared with other payment options. Especially to such ones like Western Union.
3) Every service could implement Bitcoin API within minutes. You do not need to ask anyone.
1) It is global (as you stated in your opening post). There is no border or regulation limitation. You can send Bitcoins to every corner in the world within minutes. There is no other payment system that could deliver this.
2) It is cheap. Very less fees compared with other payment options. Especially to such ones like Western Union.
3) Every service could implement Bitcoin API within minutes. You do not need to ask anyone.
Care to elaborate on that? I'd say it's perfectly suitable for online shopping, especially recently with relative low volatility.
Also, many retailers would disagree with you, since there are quite a few that have implemented Bitcoin payments and they've not removed it for years now.
The list of businesses accepting Bitcoin is growing, maybe not as fast as everybody would like, but slowly it's winning over even large corporations.
And for OP, having a list of places that accept Bitcoin, especially large retailers or service providers is always good to mention when you talk about the benefits of using Bitcoin. No point in talking about benefits to a regular person if you don't provide him with practical use cases.
Also, many retailers would disagree with you, since there are quite a few that have implemented Bitcoin payments and they've not removed it for years now.
The list of businesses accepting Bitcoin is growing, maybe not as fast as everybody would like, but slowly it's winning over even large corporations.
And for OP, having a list of places that accept Bitcoin, especially large retailers or service providers is always good to mention when you talk about the benefits of using Bitcoin. No point in talking about benefits to a regular person if you don't provide him with practical use cases.
Merchants will add bitcoin as a payment method because of the publicity it brings to their business, and to capitalize when bitcoin increases a lot in value and bitcoiners want to spend their new riches.
Bitcoin was not designed for online shopping like, for example, Paypal, bitcoin is slow and has no consumer protection, if you want to be scammed by strangers over the Internet you should shop with bitcoin.
Paypal was designed for ecommerce, it has buyer and seller protection, it's fast, and very easy to use.
By the way, it doesn't matter the merits of bitcoin as a currency, the same way it doesn't matter the merits of euro or dollar being used in Paypal, I'm speaking about payment systems to be used in online shopping.
Yes there is always advantage of using bitcoin for transaction because it doesn't have transaction charge. It's faster , secure and anonymous then traditional payment system. And yes we can do the transaction with ourself we don't need to cross those net banking system, no need to enter account number, ifc code and all those boring old system. So bitcoin transaction is best.
You also should include the disadvantages, it doesn't seem honest just to show the good stuff, you should give a complete picture.
Yes there are several disadvantages as well and as well all know comparison = similarity + dissimilarity. On this note I would like to point out some relevant points regarding this matter:
1. Volatility of price of bitcoin is there which makes it a prime target for traders. Bad news for stores/shops
2. Payment Gateways integration is low for bitcoin with respect to fiat currency.
3. Payment Availability in bitcoin is also low. Not many people get paid in bitcoin for offering their service (I am talking in general which means outside this forum)
4. Acceptance and Popularity - bitcoin needs more acceptance throughout the world, that does not mean the US/UK - the rest of the world is also there.
5. Irreversibility of transaction - though I consider it as the least because it is a fault of the user to mis-click and not system. However we are all human and we tend to make mistakes.
Edit: I did remove one about which I am also not very confident as a disadvatage but is rather a misconception.
Lack of consumer protection, network congestion leading to huge confirmation times, and lack of scalability are the main disadvantages.
Also, I don't think it's fair to compare Bitcoin with a payment system as bitcoin is not suited to be used for shopping, specially online shopping.
Also, many retailers would disagree with you, since there are quite a few that have implemented Bitcoin payments and they've not removed it for years now.
The list of businesses accepting Bitcoin is growing, maybe not as fast as everybody would like, but slowly it's winning over even large corporations.
And for OP, having a list of places that accept Bitcoin, especially large retailers or service providers is always good to mention when you talk about the benefits of using Bitcoin. No point in talking about benefits to a regular person if you don't provide him with practical use cases.
1. It is anonymous
No. Bitcoin is pseudo-anonymous.2. Faster and cheaper
Correct.3. It is deflatory
It's called "deflationary", and listing this as an advantage may result in heavy debate from some.4. No/Low transaction cost
Zero free transactions are mostly a thing of the past, so that "no" isn't correct anymore.5. It is divisible to 1billionth part
Not sure how this is an advantage. You could just as easily introduce smaller units for any currency if they're needed.
I think this is so simple but a lot of perception is make this issues be a big problem, just back to the purpose of op "Are this for make the another people is interesting or not?" So we are no need to be a honest for telling them the disadvantages of bitcoin. For my personally made him be a curious person is better. 
You also should include the disadvantages, it doesn't seem honest just to show the good stuff, you should give a complete picture.
True we should also have to discuss what are the disadvantages of bitcoin from other online payment modes in order for that certain person to understand more of what are the things that he/she might considered before joining the community.
1. It is anonymous
2. Faster and cheaper
3. It is deflatory
4. No/Low transaction cost
5. It is divisible to 1billionth part
2. Faster and cheaper
3. It is deflatory
4. No/Low transaction cost
5. It is divisible to 1billionth part
network congestion leading to huge confirmation times
This only happens if you don't know what you're doing.and lack of scalability are the main disadvantages.
Decentralized systems tend to be less scalable as we've observed.Also, I don't think it's fair to compare Bitcoin with a payment system as bitcoin is not suited to be used for shopping, specially online shopping.
Is this a bad joke? Bitcoin is optimal for online shopping.EG go to india and tell them its "low fee". and then give them just enough bitcoin for an hours labour and see it evaporate in the fees alone.
Nice relative privation.
No chargebacks. Freakin paypal.
lets address the elephants in the room
1 ) although the core fanboy leaders are using a softfork to slide in a change without the network nodes needing to upgrade/vote/consent.. the fanboys have faith that their leaders are doing it with honour. but they forget that even having the ability to slide in changes without consensus, can be used for bad too.
thus bitcoin is not indestructible as it relies on the TRUST that a group of devs are going to be honourable.
.. now imagine that it was used for bad..
2 ) doesnt mean malicious/or unintentional bugs cannot be slid in.
3 ) softforks can and do manipulate
4 ) pools stop and restrict transactions every day: no fee, not meeting the rules, being a double spend. miners can CHOOSE any tx they like to be added or avoided.
5 ) low fee's of $0.06 may seem a low minimum in the western world, but is an hours labour in developing countries
6 ) not if the fee-war has anything to do with it. it is already causing a barrier for entry in many countries.
7 ) and we have to 'trust' those programming it. again emphasising the softfork weakness
8 ) proves my point of points 1,2,3,7
what i do find funny is how people who already know about bitcoin are trying hard to brush the weaknesses under the carpet to oversell bitcoin to other people who already know about bitcoin (if you are on this forum you already know bitcoin, so no need to over promise bitcoins abilities to eachother)
and if these over promises are going to be used to explain bitcoin to those that dont know (mainstream world) they will just become distrustful when they see it had been over sold to them.
EG go to india and tell them its "low fee". and then give them just enough bitcoin for an hours labour and see it evaporate in the fees alone.
1 ) It is not controlled by anyone. Its a decentralised peer-to-peer network.
2 ) Based on open source software.
3 ) This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold.
4 ) Nobody can stop or prevent transactions.
5 ) It has low fees compared to other online payment methods like paypal, credit cards etc.
6 ) It is truly global.
7 ) It is programmable money that allows for smart contracts.
8 ) Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
2 ) Based on open source software.
3 ) This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold.
4 ) Nobody can stop or prevent transactions.
5 ) It has low fees compared to other online payment methods like paypal, credit cards etc.
6 ) It is truly global.
7 ) It is programmable money that allows for smart contracts.
8 ) Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
1 ) although the core fanboy leaders are using a softfork to slide in a change without the network nodes needing to upgrade/vote/consent.. the fanboys have faith that their leaders are doing it with honour. but they forget that even having the ability to slide in changes without consensus, can be used for bad too.
thus bitcoin is not indestructible as it relies on the TRUST that a group of devs are going to be honourable.
.. now imagine that it was used for bad..
2 ) doesnt mean malicious/or unintentional bugs cannot be slid in.
3 ) softforks can and do manipulate
4 ) pools stop and restrict transactions every day: no fee, not meeting the rules, being a double spend. miners can CHOOSE any tx they like to be added or avoided.
5 ) low fee's of $0.06 may seem a low minimum in the western world, but is an hours labour in developing countries
6 ) not if the fee-war has anything to do with it. it is already causing a barrier for entry in many countries.
7 ) and we have to 'trust' those programming it. again emphasising the softfork weakness
8 ) proves my point of points 1,2,3,7
what i do find funny is how people who already know about bitcoin are trying hard to brush the weaknesses under the carpet to oversell bitcoin to other people who already know about bitcoin (if you are on this forum you already know bitcoin, so no need to over promise bitcoins abilities to eachother)
and if these over promises are going to be used to explain bitcoin to those that dont know (mainstream world) they will just become distrustful when they see it had been over sold to them.
EG go to india and tell them its "low fee". and then give them just enough bitcoin for an hours labour and see it evaporate in the fees alone.
You also should include the disadvantages, it doesn't seem honest just to show the good stuff, you should give a complete picture.
Yes there are several disadvantages as well and as well all know comparison = similarity + dissimilarity. On this note I would like to point out some relevant points regarding this matter:
1. Volatility of price of bitcoin is there which makes it a prime target for traders. Bad news for stores/shops
2. Payment Gateways integration is low for bitcoin with respect to fiat currency.
3. Payment Availability in bitcoin is also low. Not many people get paid in bitcoin for offering their service (I am talking in general which means outside this forum)
4. Acceptance and Popularity - bitcoin needs more acceptance throughout the world, that does not mean the US/UK - the rest of the world is also there.
5. Irreversibility of transaction - though I consider it as the least because it is a fault of the user to mis-click and not system. However we are all human and we tend to make mistakes.
Edit: I did remove one about which I am also not very confident as a disadvatage but is rather a misconception.
Lack of consumer protection, network congestion leading to huge confirmation times, and lack of scalability are the main disadvantages.
Also, I don't think it's fair to compare Bitcoin with a payment system as bitcoin is not suited to be used for shopping, specially online shopping.
I often meet newbies and try to explain to them what makes Bitcoin special. I am trying to compile a list of advantages of Bitcoin.
Is there anything anybody feels I should add to the list below?
Also I think its better to keep to concrete, succinct, advantages. Not what might be considered wishy washy hype about how it will 'help bring sub-saharan Africans out of poverty by allowing them to purchase goats with Bitcoin".
Some of the reasons which I currently state:
-It allows you to have full control of your money, nobody can take away your money.
-It is not controlled by anyone. Its a decentralised peer-to-peer network. Based on open source software. This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold. Nobody can stop or prevent transactions.
-It has low fees compared to other online payment methods like paypal, credit cards etc.
-It is truly global.
-It is programmable money that allows for smart contracts.
-Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
-It is pseudo anonymous and with some extra effort it can be very close to anonymous. You need sophisticated state actors using significant resources to de-anonymise if somebody takes extra effort.
-It is less hackable then traditional payment systems because it is a push system. That means you dont provide your 'secret keys' to receiver/merchant when you make a payment, unlike with credit cards.
Bitcoin is faster,cheaper and anonymous.Unlike traditional system,bitcoin doesn't requires middleman or third party to interfere in your transaction Is there anything anybody feels I should add to the list below?
Also I think its better to keep to concrete, succinct, advantages. Not what might be considered wishy washy hype about how it will 'help bring sub-saharan Africans out of poverty by allowing them to purchase goats with Bitcoin".
Some of the reasons which I currently state:
-It allows you to have full control of your money, nobody can take away your money.
-It is not controlled by anyone. Its a decentralised peer-to-peer network. Based on open source software. This means it can not be manipulated, Bitcoin supply is fixed modelling it after gold. Nobody can stop or prevent transactions.
-It has low fees compared to other online payment methods like paypal, credit cards etc.
-It is truly global.
-It is programmable money that allows for smart contracts.
-Anybody including kids from their basement, can create financial applications without permission. This is because its open source technology and the network is not controlled by anybody. Nobody needs to ask permission to use it and nobody can restrict access. If you have access to the internet you can access it.
-It is pseudo anonymous and with some extra effort it can be very close to anonymous. You need sophisticated state actors using significant resources to de-anonymise if somebody takes extra effort.
-It is less hackable then traditional payment systems because it is a push system. That means you dont provide your 'secret keys' to receiver/merchant when you make a payment, unlike with credit cards.
Jump to: