Author`s name Alan James

Why do people use cryptocurrency despite all the fraud and complexity?

With the continuous and rapid evolution of the technological era, digital currencies are gaining popularity daily. They have been gaining traction from the past half-decade. Despite the fluctuations in bitcoin and other cryptocurrencies' value, more and more people start seeing cryptocurrency as a profitable investment.

For instance, if we talk about Bitcoin, one of the most popular types of cryptocurrency, it has taken over the digital currency market. If we further discuss its fame, you'll see that it is being used in some of the biggest business names around the globe, including Microsoft, Overstock, and AT&T, now accept it as a method of payment. Here, you might be thinking, why do people use cryptocurrency and cryptocurrency wallets? What are their pros and cons? Is it worth investing in cryptocurrency wallets in 2020? If you have such questions, get them answered here. But first, let us tell you about the MOST USEFUL cryptocurrency wallets.

A lot of wallets are designed solely for the storage of cryptocurrencies. At a time when there was a peak in online currency exchanges and thefts, there was a need to create a wallet that will provide ultimate protection. OWNR Wallet is one of the safest bitcoin wallets to buy crypto in 2020. It helps people in keeping their digital money safe from external threats. Along with security, OWNR Wallet offers a variety of useful features for both holders and traders.

OWNR Wallet serves as an all-in-one tool that will be handy for all the tech-savvy individuals as well as your average person. The wallet supports storage and transfer of a wide variety of tokens and coins. Some of the examples are Bitcoin, Ethereum, Litecoin, Ethereum Classic, Bitcoin Cash, Bitcoin SV, Dash, Zcash, Dogecoin, Omni, and over 240,000 ERC20-based tokens.

Exodus is a well-known desktop and mobile wallet with a very simple user interface and an exchange built-in. One of Exodus's most demanding features is the ability to swap between a growing numbers of cryptocurrencies. You'll be surprised to know that it currently allows for swaps between dozens of different cryptocurrencies.

One good example of a hardware wallet is the Ledger Nano X. A renowned company created the second-generation hardware wallet in French that has been involved in the cryptocurrency space for several years. This wallet resembles a USB drive and connects to your device via USB or Bluetooth. It means that you don't necessarily need a computer system to connect the wallet to your iOS or Android device. 

Let us now talk about some benefits and limitations of cryptocurrency wallets.

Pros and cons of cryptocurrency

Pros:

  • Anonymity: One of the most amazing things while using the online currency is that your transactions cannot be traced when you do business using cryptocurrency. That means no government agency or authority can ask about your source of funds. It is a great opportunity for those who'd like to keep their financial actions away from interfering eyes. Also, it comes with the other biggest benefit, and that is, when you're anonymous, no one can steal your identity. Unlike credit cards/ debit cards where your information is shared with the recipient, cryptocurrency allows you to send money without revealing your details. In simpler words, transacting in digital currencies is a more secure payment method.
  • Mobility: Since it doesn't deal with the hard cash, you can carry around billions of dollars in your cryptocurrency wallet on a memory drive, and no one will know it! But when you carry the same amount in cash, there's a BIG risk of theft or robbery. Considering cryptocurrencies safe, people are shifting towards it.
  • Transparency: In digital currency, all the transactions are stored in an open ledger known as the block chain. But first, we said that you'd remain anonymous? What is it then? Wait, and red on! While your anonymity will not be exposed, people can instantly view all the transactions and see the exact numbers that were transacted. It makes cryptocurrency wallets transparent. For better understanding, think of it as a transparent banking system where your identity is kept private.
  • Ease of Use: Since cryptocurrency keeping wallets are decentralized and not regulated by any government or authority, people can access them regardless of location. It has made making payments or investments in cryptocurrency a simple and straightforward process, even for remote regions. Another important point is that you can access your funds not only from your laptop or MacBook, but also from your cellphone, tablet, or iPad. They are accessible to you whenever and wherever you want. Thanks to the advanced technology used, cryptocurrencies like Bitcoin can now be used anywhere across the globe.

Cons

  • Scams and Fraud: Being the world's most popular type of cryptocurrency, Bitcoin wallets have seen to be more inclined to scams, fraud, and attacks. Cryptocurrency wallets need to be protected with PIN codes to ensure safety. Other cryptocurrencies are not that widely used, so they aren't much profitable to criminals. Such criminal activities are more likely to be prosecuted by law enforcement agencies when traditional currencies and payment platforms are involved. Therefore, it is important choose a crypto wallet with better protection and tight security.
  • No Chargebacks or Refunds: One of the cryptocurrencies wallets' biggest drawbacks is a lack of standardized policy for refunds. Because all credit card providers and traditional online payment processors offer chargebacks, people expect digital money refunds. Once the money is gone from your wallet, it goes away permanently. 
  • Complexity: Cryptocurrency wallets rely on the latest technology, and most tech-savvy people can go along with them easily. But the people who do not know how it works can find the whole process confusing and challenging. Additionally, old school people, who don't know how their wallets can be maintained, can find these wallets way too complicated.