When we talk of fiat money, we refer to the regular currency-notes and coins- that all countries use for internal trading. The central bank of each country regulates these currencies. And its entire back up is based on law instead of other valuable goods such as gold. A perfect example of fiat money is the Dollar and the Euro.
Fiat money has no value on its own. However, it gets its value from the trust that people bestow on it.
Below are some advantages of bitcoin over fiat currency:
Low Transfer and Storage Fees
Unlike fiat money, users can store and transfer bitcoin with the utmost ease. The best part is that you don’t have to spend much to do so. In traditional banking, all transactions will cost you somethings. Usually, the fees for storage as well as transfer are much higher when compared transacting with bitcoin.
From a global perspective, fiat money is limiting. If you want to use your local currency in another country, you will most likely have to buy foreign currency. However, bitcoin has no restrictions across borders. You can use it anywhere without the interference from regulations set by central banks in various countries.
You probably have heard of fake notes of the fiat currency. Some people have fallen victim to being duped by unscrupulous traders using falsified money. With bitcoin, this is impossible. All your bitcoin transactions are documented digitally. The cryptographic back up makes it extremely difficult to fake bitcoin. If a person engages in dirty business dealing using bitcoin, its easy to trace them.
Super Quick Transactions
Regardless of your location, you can send or receive bitcoin instantly. It only takes a few minutes to get confirmation of the transaction. With fiat money, a transfer, especially between two banks, can take a few days.
Easy to Move Around
Bitcoin is a paperless currency. You don’t need to move around with it or take it out of an ATM whenever you want to use it. More so, you don’t need a bitcoin credit card. You carry and use this currency digitally, either on a phone or computer.
Bitcoin is the future, and its benefits surpass those of fiat money in one way or another. The best part is that anyone can access and use bitcoin securely.