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Probably the most popular cryptocurrency, Bitcoin (BTC) is decentralized and is not subject to banking regulations or the national government. It is also widely used and is considered as the closest equivalent to traditional currencies. Its value is relative to other physical goods and currencies and is volatile in nature. Known as the pioneer in modern cryptocurrency, BTC is the first to combine the specific features, which are shared by many cryptocurrencies created after it.
Why traders use BTC?
People who want privacy and confidentiality of transactions use bitcoin because there is no tracking involved. No one can ever trace transactions to them. It is only the user or owner of the Bitcoin. They are also the only ones that know the number of coins they possess. A new wallet can also be generated if the address of the wallet was publicized.
So, when compared to traditional money, bitcoin offers users an increased privacy because of anonymity. BTC owners or users are identified by numerical codes or public keys as well as usernames or pseudonymous handles.
No one can seize bitcoins, including the government. In this case, traders have the full control over their money. They also use bitcoin for peace of mind. Only the owner can change the ownership’s address. No one can steal it unless someone will have access to the owner’s computer and send the BTC to their wallet.
Traders also enjoy using bitcoin because there are no taxes involved. No one can implement a taxation system into it because no third-party can intercept BTC transactions. In addition, there are no transaction costs because no authorizing transactions are involved.
Moreover, a transaction cannot be reversed; thus, no risk of charge-backs are involved. The ownership of the bitcoin address is changed to the new owner and cannot be reverted once done. The new owner, thus, will only be the one to have the access to the private key and the only one who can change the bitcoin’s ownership. Traders who want to exchange Bitcoins to fiat currencies can easily do so through Bitcoin exchanges. The cryptocurrency is also more liquid on crypto exchanges than other digital assets.