Cryptocurrency is the next big thing. It has gotten (and still gets the buzz) online and offline. Over the past few years, cryptocurrency, particularly Bitcoin, has captivated the attention of not only the general public who seek for alternative money, but also bankers, enterprises, scientists, and governments. Using cryptocurrencies in different ways and taking advantages of the transparency and security provided by underlying blockchain technology is one of the most rewarding activities.
A cryptocurrency is a medium of exchange, similar with traditional currencies like the USD, but is designed for the purpose of exchanging digital information. Also called “virtual currency”, it has added security feature – cryptography – which makes it difficult to counterfeit. This groundbreaking technology had major banking institutions and technology companies like the Intel, 1World Online and Walmart, and wealthy countries adopt cryptocurrency as a replacement for traditional notes.
Cryptocurrency has really changed the way people use the money. Apart from its main function, it has evolved to be used for many other important purposes.
Using cryptocurrencies in other ways:
Wealth management is one of the most exciting ways cryptocurrency can be used. Why? Because it allows individuals to manage their wealth without boundaries or restriction. In this model, assets are digitized (also known as tokenization). It offers a high level of security, accountability, and transparency which banking systems have always been criticized for.
A company that aims to be the “universal record keeper of the world”, Factom has a unique position in the blockchain. According to the owner of Factom, the bitcoin’s network has limitations that make it impossible for entrepreneurs to launch their apps in the blockchain. Once a data is entered into Factom, it becomes permanent and is protected from digital tampering.
Cryptocurrency is used by major charitable institutions such as the World Food Program to provide assistance to those in need. Because of its ability to keep companies accountable, corrupt activities that may take place within charities, such as fund leaks, are minimized. Furthermore, individuals donating using cryptocurrency can have peace of mind that the money they gave will all proceed to what’s it intended for. It also allows donations to be ‘anonymous’, which some people prefer.
Making the World Greener
Environment advocates appreciate the importance of cryptocurrencies in making the world greener. For example, the Brooklyn Microgrid enables people to have solar panels to sell electricity through a phone app. As more and more people utilize solar energy to power their homes, less pollution is made and the better the environment gets. They also enable diverting electricity via solar panels to where it is needed most during an emergency, such as hospitals, shelters, and community centers. Not only does it promote better use of electricity, it makes it possible for residents to earn money from their additional energy reserves.
Augmented reality, which was popularized with the release of games like the Pokemon Go, also benefits from the use of cryptocurrencies. Companies like Blendar enable the use of virtual tokens that can be exchanged for fiat currencies. A VR startup, Fluffr.io, uses a “social mining” platform where users can earn tokens from participating in virtual worlds. This makes virtual adventures even better as users get to play and compete in exchange of traditional currencies.
Cryptocurrency also provides great benefits to the advertising industry. Relevancy has been a major issue between digital publishers and advertisers. For example, traditional banner ads that are irrelevant to the article or content are ineffective to users. The use of pay-per-article advertising allows advertisers to pay for the valuable ads just above a relevant article. For this, they make use of Engagement Tokens which allow publishers and audience members to earn tokens by commenting and publishing original contents.
More and more retailers are accepting cryptocurrencies such as Bitcoin. This means that individuals can use them for major transactions, such as travel-related purchases. Plus to a cash advance, they can resort to cryptocurrency to purchase flight tickets, book hotels, cars, and cruises, and so much more.
These are just a few of the many surprising uses of cryptocurrency. What’s more exciting is that these are just the beginning. Many more technologies are likely to revolutionize the way people view and use the money, and cryptocurrency may just be a basic tool that people across the world will use in everyday life.