The main idea of propelling Bitcoin’s growth is the need for financial freedom. Digital currency came to offer users an alternative payment system that overcomes the traditional methods’ various downsides. Concerning international payments, traditional methods have multiple issues, like slow transaction processing and poor security of information that users leave behind. If you’re involved in international trade, Bitcoin is the best bet for you as it surmounts many of the challenges facing the standard payment methods. And there are multiple benefits you can enjoy from using this digital currency. Some of them are explored here.
What are the perks of applying Bitcoin in International Trade?
Are you looking for a hassle-free payment solution that overcomes the issues of standard payments? Bitcoin can help you due to its multiple benefits, including:
One of the perks of using Bitcoin while conducting your international transactions is that it offers you the autonomy you deserve. User autonomy on Bitcoin is possible because the blockchain system supports the digital currency. Because Bitcoin lacks the backing of governments and other intermediaries, users spend their money without any controls. Nobody dictates what they can do or not do with their money. However, this isn’t the case with the traditional payment systems where banks must verify transactions.
Many international commerce traders always yearn at having a payment solution that offers them a chance to conduct their transactions with minimal regulations. And thanks to Bitcoin, you’ve got autonomy over your resources more than ever before.
Transactions on Bitcoin are discrete, and purchases aren’t associated with the identity of an individual. This is similar to cash purchases, where nobody can associate the transaction with you. Discretion is a critical element that many people yearn for when buying specific products online, like magic mushrooms and CBD. Through anonymity, blockchain assures users privacy and confidentiality while carrying out their transactions.
In standard business deals, third parties like legal representatives, brokers, and agents can add costs and complications to otherwise what ideally is a simple settlement. Charges can be in the form of commissions, brokerage fees and other departmental expenses.
However, users on the Bitcoin network transact without relying on third-party approvals. Transactions are a one-on-one affair that happens on a peer-to-peer platform that eliminates the presence of go-betweens. And this is important because you don’t require any external authority to make or receive payments. The peer-to-peer aspect not only makes transactions fast but affordable as well.
Standard payment systems can attract a litany of charges that make the overall transaction costs go up. Remember, these transactions go through third parties, like banks, that you must pay fees to enable them to verify your transaction.
Bitcoin transactions, on the other hand, are affordable and sometimes free of charge. If you’re an international trader, you’ll find Bitcoin a convenient payment system that comes with a cheaper cost. The occasional fee labelled as maker or taker is negligible compared to standard payment charges. With the blockchain peer-to-peer technology, you’re assured of more money in your pockets while making international payments.
Lack of Exchange Rate
When dealing with multiple international sellers and buyers in various countries, you must deal with many exchange rates. However, if everybody uses Bitcoin, the headache of myriad exchanges is removed from you because you’re dealing with a parallel currency with the same value. And this makes your transactions not only affordable but convenient as well.
Nowadays, many people like to conduct their transactions on the go. With a smartphone or tablet, you can perform Bitcoin transactions from wherever you’re. The best thing about virtual currency is that you don’t need to provide your info to complete the transactions. Furthermore, you can use particular software like an immediate bitcoin app for fast Bitcoin trading and transactions.
Unlike the standard systems that may exclude some people from their systems, Bitcoin is for everybody. With a smartphone or a computer, you’re good to go. So if you lack a credit/debit card or other payment solutions, Bitcoin is ready to accommodate you.
Quick Money Movements
When using traditional payment systems, sending and receiving money from overseas can take days. However, one of the main strengths of Bitcoin is sellers and buyers can get cash within no time. Bitcoin transfers are instantaneous, but blockchain takes around 10 minutes to validate the transaction. So with the Bitcoin platform, you eliminate the risk of time wastage and conduct your business seamlessly.
Transaction records are essential for any business. Some businesspeople, however, don’t have the knowledge and time to keep records. Such businesses may also lack enough resources to employ professionals like accountants. And here, Bitcoin comes in to save the situation. The system is backed by blockchain technology, which creates precise and safe records that are verifiable and easy to track. And many international companies like Maersk are exploring the possibility of piloting a blockchain shipment-tracking system.
No Worry about Chargebacks
While dealing with international sellers and suppliers, you risk experiencing payments bouncing back on standard platforms. And you may lack the resources to enable you to get your money. International buyers and sellers have defrauded multiple businesses through this tactic. The good news is that Bitcoin overcomes this challenge because buyers must have cash in their Bitcoin account for the transaction to sail through. While transacting on Bitcoin, you don’t anticipate the risk of settlement cancellation.
Standard payment systems are prone to security breaches because of information exposure. While transacting on these platforms, you should always be aware of the dangers they pose to your bank accounts. Fraudsters may steal your identity and use it to carry out unethical activities.
Luckily, Bitcoin overcomes the security challenge by using a blockchain technology that encrypts your personal and financial information, concealing it from malicious individuals. Furthermore, you aren’t obligated to provide your personal and financial information while trading on the Bitcoin system. So while conducting international payments, no third party will access your information. And this offers you peace of mind while transacting on the Bitcoin system.
Becoming an Early Adopter
Bitcoin is an innovative way of sending and receiving money online, which many people haven’t embraced. So when you choose the platform, you join a group of early adopters, which puts you ahead of the competition, also, like many client businesses that embrace innovation. So such clients can look at your brand favourably.
Lack of Barriers
Many businesses don’t participate in international trade because of multiple barriers. Bitcoin takes away these barriers and makes international trade accessible to many businesses. So if you’ve been avoiding participating in international trade due to multiple restrictions, Bitcoin has opened the opportunity for you. You can do your business with minimal interference from Big Brother.
One of the key perks of trading with Bitcoin is that it’s not attached to any central banks. Cryptocurrencies lack government backing and aren’t influenced by the fiscal policies of the government. During difficult times, governments may articulate policies that may lead to the printing of more currencies pieces. This may lead to inflation, which may lead to devaluation of your stock market investments. For Bitcoin, the maximum pieces to mine are 21 million as per its code. This predictability is critical for individuals looking for the best currency that offers them the best hedge against inflation. And if you’re trading in international trade, Bitcoin is the best system to use to hedge your assets against inflation.
Great opportunities for low unbanked individuals
Slightly higher than a third of the world’s people don’t access banking solutions, which excludes them from those institutions’ financial services. The unbanked individuals may resort to harmful lending solutions to uplift their status, which may worsen their situations.
Fortunately, Bitcoin includes such individuals in formal financial solutions. With a smartphone or a tablet, you can use Bitcoin to facilitate payment, whether you’re engaged in an international or local business. And the best thing about this mode of receiving or making the payment is that it’s simple to use. So you don’t need to possess vast knowledge to use the service. Multiple software exists that bring Bitcoin solutions closer to the larger audiences at both the international and national stage.
Bitcoin also comes with multiple opportunities for publicizing your venture across the world. So besides being a payment solution, it offers many opportunities that you need to exploit. With these various opportunities, Bitcoin is indeed a method that will revolutionize the financial landscape and lead to connecting and empowering many individuals in the world. Thanks to Bitcoin, each individual has an opportunity to participate in international trade and make a decent living.
Many people don’t participate in international trade because of its complex nature. One of the significant hindrances facing individuals who want to take part in cross-boundary trade is the means of payment. Standard methods may not be practical, especially to small businesses that want to participate in this form of commerce. However, the good news is that Bitcoin has simplified this kind of trade. Many traders can now sell their services at the international market.