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EnglishWhy big institutions would prefer transacting in Bitcoin and other cryptocurrencies instead of traditional Banking for large amounts?

I keep reading on social media $100, 200, 500 million dollars etc. transferred for a fraction of a cost. Don't they have to still use an exchange to convert them to actual dollars? Also there is the volatility. I can understand Tether which is 1 to 1 ratio. What's the catch?

serenity75 2 months ago
    Tags:
  • Institution
  • Tether
  • Bitcoin
  • Cryptocurrencies
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Yash Attal 2 months ago Correct
That is a very good question !!
So, there are various reasons why big institutions do prefer transacting in crypto than using banks.
1) The cost incurred in transferring millions of dollars takes a lot of time and money. The transaction fees that are taken by banks are huge and also, the time taken for a traditional banking system to transfer this amount of money is way more even if comparing it with the Bitcoin Blockchain. The banks can take weeks to get these abounts verified and transfer.
2) These transactions are not secured if performed via Banks. Even if they used the greatest algorithms, they are still less secure than Blockchain (hands-down).
3) The money can be traced when you do a banking transaction. But, when you do transactions using crypto, everything is anonymous yet completely transparent. This helps companies to carry out some secret tasks which they don't want the public to be known about. Maybe related to a big announcement related to their product.
4) Since, these huge companies are MNC's which means they have offices internationally and if they want to transfer money from example India to America, they need to convert the INR(rupees) to USD(dollar) while converting and there are various banks involved and many ledgers. But, when using crypto, there is just one currency and one ledger. You can perform transactions from sitting from any part of the world.
5) The use of exchanges depends from company to company. Some use these funds to fund for some other projects and keep them in their wallets. Some, need these funds in fiat currency. There is not always a need for exchanges in order to get these converted. Many also perform local transactions, where they send these cryptos who need it and in exchange, they get dollars in their bank acc.
6) Talking about volatility, if a company wants cryptos only for the purpose of investment, they go for Bitcoin or other Altcoins, but if they want to transfer for the sole objective of exchange of assets, they prefer stable coins, whose value depends either upon Gold or USD.

I hope you found your answers, Have a good day!!
Hyrra Key 2 months ago
There is a tremendous amount of activity when it comes to commodity trading. Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The environmental factors are not directly tied to the price like say soybeans. It’s tied to other factors things such as general market sentiment influenced by macro economic events.

Bitcoin’s Transparency
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedented transparency and authenticity. For if a transaction is only confirmed once on the network over several weeks, there must be a reason why it doesn’t exist on other ledgers, since it is probably inauthentic. This technology underlying makes counterfeiting Bitcoin more difficult.

Bitcoin is Deflationary
Bitcoin’s set limit of 21 million Bitcoin plays a key role in its inflationary characteristics. The final Bitcoin is estimated to be mined in 2xxx and willl probbaly be epic. This Economist Article explains how some people may consider this misleading, but it isn’t true.

Fiat is Prone to Government Manipulation
Although this isn’t a characteristic of Bitcoin, it has value in the sense that inflation is hardwired into the USA economy. Every year inflation reduces the real value of fiat currency by a percentage. This is dependent on a number of government-controlled factors such as money supply, lending, laws, and economic packages.

Bitcoin is Pure, Unregulated, and Open
Pure may some like a nebulous idea, but it isn’t. In regards to Bitcoin, it means that the price is regulated by pure supply and demand. Without any demand, the price will drop. This also relates to commodities in that sense. Ever since governments stepped in, it seems that it’s doing worse and worse.

This also means that Bitocoin’s openness allows people to create their own, unregulated ways to utilize it. Whether it be peer to peer lending, to stock markets of bitcoin service companies, Bitcoin creates an economy of its own, by the people, for the people.

Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that

Bitcoin has no Borders, Limits
Bitcoin embodies the internet culture.
It is open, free, “unbreakable” and decentralized. The internet was started to share information, and bitcoin is a revolution in that idea. Bitcoin is an idea, firstly, that financial property can be directly controlled by its owner. As we mentioned, banks own the money under deposits, they’re free to do whatever with a percentage of all deposits. When someone owns a bitcoin, it operates similar to cash, in the fact that the one in possession of the private key, has the ability to do with it what they please. Bitcoin is a decentralized cryptocurrency, meaning that it cannot (easily) be shutdown.

The world is changing quickly, Bitcoin embodies that change.
Benefits of Bitcoin could be discussed forever, here are some more key advantages of Bitcoin.

Low Transaction Fees
Sending fiat over borders, costs surprisingly more than I thought. Even with trade laws encouraging and enabling transfers over long distances, it doesn’t mean its cheap. Bitcoin costs roughly 1 cent to send to anyone else. That’s it, wallet to wallet, address to address. It’s that simple, and the fee can be adjusted according to priority.
Money is already Digital
Since the dawn of computers, they have been handling financial transactions. Why not trust Bitcoin, with its blockchain technology. It’s built from the ground-up that way, rather than forced upon it like fiat.
These are the reasons why bitcoin is important. We could go on and on. We will continue to edit this article as we think of more, but we believe that the answer should also be simple and short.
itechgeektim 2 months ago
Consider that Bitcoin was a high-performance asset in 2019 through 2020, and that the best-performing stocks in the last few years were stocks of major IT companies such as GAFA (Google, Apple, Facebook, Amazon).
GAFA is continuing to grow in double digits in terms of both sales and profits with their market capitalization rising 30 to 40% each year. Apple had a market capitalization of $2 trillion in August 2020, which grew from $1 trillion just two years ago. It is hard to find any other asset with that degree of performance and liquidity.
The recognition of Bitcoin as a hedge asset amid concerns of inflation is a positive thing for crypto asset investors. When stock prices and business performance diverge in the stock market, the fundamentals of Bitcoin being unclear are a strength in the current situation. Read more here:
https://blog-eu.bitflyer.com/why-are-companies-buying-bitcoin-2/
Akpelu Augustine 2 months ago
A great question.
Big institutions do prefer transacting in crypto than using banks simply because the use of crypto save them a lot of stress and money. It takes plenty of resources including man power to maintain and verify payments done through banks, but lesser resources and manpower to verify and maintain that of Crypto. Also, exessive bank charges and taxes can be avoided.

Thank you.
Motayo 2 months ago
Very very low Transaction Fees for International Payments Standard wire transfers and foreign purchases typically involve fees and exchange costs. Since bitcoin transactions have no intermediary institutions or government involvement, the costs of transacting are kept very low. This are the major advantage industries leverage on.
Umut 2 months ago
There is a tremendous amount of activity when it comes to commodity trading. Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The environmental factors are not directly tied to the price like say soybeans. It’s tied to other factors things such as general market sentiment influenced by macro economic events.

Bitcoin’s Transparency
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedented transparency and authenticity. For if a transaction is only confirmed once on the network over several weeks, there must be a reason why it doesn’t exist on other ledgers, since it is probably inauthentic. This technology underlying makes counterfeiting Bitcoin more difficult.

Bitcoin is Deflationary
Bitcoin’s set limit of 21 million Bitcoin plays a key role in its inflationary characteristics. The final Bitcoin is estimated to be mined in 2xxx and willl probbaly be epic. This Economist Article explains how some people may consider this misleading, but it isn’t true.

Fiat is Prone to Government Manipulation
Although this isn’t a characteristic of Bitcoin, it has value in the sense that inflation is hardwired into the USA economy. Every year inflation reduces the real value of fiat currency by a percentage. This is dependent on a number of government-controlled factors such as money supply, lending, laws, and economic packages.

Bitcoin is Pure, Unregulated, and Open
Pure may some like a nebulous idea, but it isn’t. In regards to Bitcoin, it means that the price is regulated by pure supply and demand. Without any demand, the price will drop. This also relates to commodities in that sense. Ever since governments stepped in, it seems that it’s doing worse and worse.

This also means that Bitocoin’s openness allows people to create their own, unregulated ways to utilize it. Whether it be peer to peer lending, to stock markets of bitcoin service companies, Bitcoin creates an economy of its own, by the people, for the people.

Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that

Bitcoin has no Borders, Limits
Bitcoin embodies the internet culture.
It is open, free, “unbreakable” and decentralized. The internet was started to share information, and bitcoin is a revolution in that idea. Bitcoin is an idea, firstly, that financial property can be directly controlled by its owner. As we mentioned, banks own the money under deposits, they’re free to do whatever with a percentage of all deposits. When someone owns a bitcoin, it operates similar to cash, in the fact that the one in possession of the private key, has the ability to do with it what they please. Bitcoin is a decentralized cryptocurrency, meaning that it cannot (easily) be shutdown.

The world is changing quickly, Bitcoin embodies that change.
Benefits of Bitcoin could be discussed forever, here are some more key advantages of Bitcoin.

Low Transaction Fees
Sending fiat over borders, costs surprisingly more than I thought. Even with trade laws encouraging and enabling transfers over long distances, it doesn’t mean its cheap. Bitcoin costs roughly 1 cent to send to anyone else. That’s it, wallet to wallet, address to address. It’s that simple, and the fee can be adjusted according to priority.
Money is already Digital
Since the dawn of computers, they have been handling financial transactions. Why not trust Bitcoin, with its blockchain technology. It’s built from the ground-up that way, rather than forced upon it like fiat.
These are the reasons why bitcoin is important. We could go on and on. We will continue to edit this article as we think of more, but we believe that the answer should also be simple and short.
Renold Vijay 2 months ago
The costs are lower, there is no need for a middleman, service is available and functioning 24/7, the supply is fixed, crypto aligns better with ideological purposes — these are some of the reasons people prefer crypto transactions over traditional bank transfers.
Khalil 2 months ago
Cause its esier
Edward Alley 2 months ago
The central bank has one simple tool and it’s that which has kept them in control of the entire worlds wealth through the only tool big bankers exist from which are the interest rates applied to the loans. Given out to clients of the bank .Cryptocurrency removes big banks interest rates and control ultimately over people’s lives and businesses anything a client of the bank purchases is technically owned by the bank until the client satisfies the debt
Michelle 2 months ago
Bitcoin is only a virtual money or a mode of going through with advanced exchanges, much the same as some other computerized cash. So what improve it than our ordinary money?

Of late, the worldwide interest in bitcoins has developed. Along these lines, it turns out to be critical to comprehend the base of this and any remaining types of virtual monetary standards. Bitcoin, and its choices are completely founded on cryptographic calculations which are scrambled. This makes the cash decentralized offering proprietorship to the user.These can be bought through an online trade or a Bitcoin ATM. Milestone highlight of a bitcoin is that it can check the odds of misrepresentation and character burglaries, and subsequently is viewed as an experimental method of holding money.Bitcoins permit purchasing of products and ventures on the web, just as moving cash.

The following are a couple of advantages of utilizing bitcoins which improve it than any customary cash:

Bitcoin is advanced and decentralized – With Bitcoin individuals get the freedom to trade an incentive without mediators which mean more prominent control of assets and lower expenses. It's quicker, less expensive, safer and changeless. Money is constrained by banks while bitcoin has proprietors.

Simplicity of web based shopping: As we definitely know, Bitcoin can assist us with doing internet shopping. It resembles an e-wallet which can be made blockchain innovation to store, follow and go through computerized cash.

Less unstable than money: Bitcoin has a worldwide acknowledgment and is less unpredictable than money/nearby cash. Because of this component, it gets simpler to go through with exchanges across limits and on the web.

No genuine method of monitoring regular cash The basic innovation behind bitcoin, which is, blockchain is the thing that represents the moment of truth it. A large number of PCs in a conveyed network utilize cryptographic strategies to make a lasting, openly available report of each and every Bitcoin exchange that has at any point happened. This record will be entirely significant for different things other than following installment. While there is no genuine method of following money.

Extraordinary apparatus for venture Bitcoin can be utilized everywhere on the world without experiencing a transformation cycle. It is considered at standard with Gold and joins the most awesome aspect money and gold while giving an open market and no limitations forced by banks or governments.

Bitcoin is shared and open, yet secure and almost frictionless - Bitcoin permits trading an incentive over the web with no go-between and gives its clients admittance to their equilibrium through a secret word known as a private key. So it's private, secure and at the equivalent time,open.

Duplication unimaginable - Its absolutely impossible of copying a bitcoin, in contrast to money.

Extraordinary method of keeping up records for charge purposes: When moved, a bitcoins' proprietorship likewise gets moved. This implies that two individuals can't be executing on a similar worth and this will help keep records solid and less complex, particularly for charge purposes.

Transnational computerized cash – There are no limits to Bitcoin or digital money. No trade esteems and no outsider intercessions. Bitcoin permits consistent exchanges across countries with a record getting kept up at the backend
Abu bkr 2 months ago
A nice question. Companies that deal in Bitcoin supply earnings through both sides in the traditional banking way and profit from speculating in shares in Bitcoin or investing in them, and huge returns and sometimes huge losses.
Michelle 2 months ago
Bitcoin is only a virtual money or a mode of going through with advanced exchanges, much the same as some other computerized cash. So what improve it than our ordinary money?

Of late, the worldwide interest in bitcoins has developed. Along these lines, it turns out to be critical to comprehend the base of this and any remaining types of virtual monetary standards. Bitcoin, and its choices are completely founded on cryptographic calculations which are scrambled. This makes the cash decentralized offering proprietorship to the user.These can be bought through an online trade or a Bitcoin ATM. Milestone highlight of a bitcoin is that it can check the odds of misrepresentation and character burglaries, and subsequently is viewed as an experimental method of holding money.Bitcoins permit purchasing of products and ventures on the web, just as moving cash.

The following are a couple of advantages of utilizing bitcoins which improve it than any customary cash:

Bitcoin is advanced and decentralized – With Bitcoin individuals get the freedom to trade an incentive without mediators which mean more prominent control of assets and lower expenses. It's quicker, less expensive, safer and changeless. Money is constrained by banks while bitcoin has proprietors.

Simplicity of web based shopping: As we definitely know, Bitcoin can assist us with doing internet shopping. It resembles an e-wallet which can be made blockchain innovation to store, follow and go through computerized cash.

Less unstable than money: Bitcoin has a worldwide acknowledgment and is less unpredictable than money/nearby cash. Because of this component, it gets simpler to go through with exchanges across limits and on the web.

No genuine method of monitoring regular cash The basic innovation behind bitcoin, which is, blockchain is the thing that represents the moment of truth it. A large number of PCs in a conveyed network utilize cryptographic strategies to make a lasting, openly available report of each and every Bitcoin exchange that has at any point happened. This record will be entirely significant for different things other than following installment. While there is no genuine method of following money.

Extraordinary apparatus for venture Bitcoin can be utilized everywhere on the world without experiencing a transformation cycle. It is considered at standard with Gold and joins the most awesome aspect money and gold while giving an open market and no limitations forced by banks or governments.

Bitcoin is shared and open, yet secure and almost frictionless - Bitcoin permits trading an incentive over the web with no go-between and gives its clients admittance to their equilibrium through a secret word known as a private key. So it's private, secure and at the equivalent time,open.

Duplication unimaginable - Its absolutely impossible of copying a bitcoin, in contrast to money.

Extraordinary method of keeping up records for charge purposes: When moved, a bitcoins' proprietorship likewise gets moved. This implies that two individuals can't be executing on a similar worth and this will help keep records solid and less complex, particularly for charge purposes.

Transnational computerized cash – There are no limits to Bitcoin or digital money. No trade esteems and no outsider intercessions. Bitcoin permits consistent exchanges across countries with a record getting kept up at the backend
NielSantos 2 months ago
A nice question. Companies that deal in Bitcoin supply earnings through both sides in the traditional banking way and profit from speculating in shares in Bitcoin or investing in them, and huge returns and sometimes huge losses.
Hoàng Nhật Tiến 2 months ago
Because bitcoin transaction is fast
azaroth 2 months ago
Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that.
Hasit Bhatt 2 months ago
They don't really need to exchange them if the party they are paying to accept the same currency.
For example, consider a case that you're living in US, and transact in USD. This is easy to assume, right? But let's say you visit some country like India that has a different currency (INR in this case). Everytime you buy something in India, you need to convert it, and pay conversion charges. But if there were vendors in India accepting USD, you'd save on the conversion cost, and you don't need to convert.
In this example, USD is Cryptocurrency and INR is a fiat currency. So, as long as there are vendors who consider crypto as a currency, why would banks convert them to USD. They don't need to.
Zastob 2 months ago
There is a tremendous amount of activity when it comes to commodity trading. Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The environmental factors are not directly tied to the price like say soybeans. It’s tied to other factors things such as general market sentiment influenced by macro economic events.

Bitcoin’s Transparency
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedented transparency and authenticity. For if a transaction is only confirmed once on the network over several weeks, there must be a reason why it doesn’t exist on other ledgers, since it is probably inauthentic. This technology underlying makes counterfeiting Bitcoin more difficult.

Bitcoin is Deflationary
Bitcoin’s set limit of 21 million Bitcoin plays a key role in its inflationary characteristics. The final Bitcoin is estimated to be mined in 2xxx and willl probbaly be epic. This Economist Article explains how some people may consider this misleading, but it isn’t true.

Fiat is Prone to Government Manipulation
Although this isn’t a characteristic of Bitcoin, it has value in the sense that inflation is hardwired into the USA economy. Every year inflation reduces the real value of fiat currency by a percentage. This is dependent on a number of government-controlled factors such as money supply, lending, laws, and economic packages.

Bitcoin is Pure, Unregulated, and Open
Pure may some like a nebulous idea, but it isn’t. In regards to Bitcoin, it means that the price is regulated by pure supply and demand. Without any demand, the price will drop. This also relates to commodities in that sense. Ever since governments stepped in, it seems that it’s doing worse and worse.

This also means that Bitocoin’s openness allows people to create their own, unregulated ways to utilize it. Whether it be peer to peer lending, to stock markets of bitcoin service companies, Bitcoin creates an economy of its own, by the people, for the people.

Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that

Bitcoin has no Borders, Limits
Bitcoin embodies the internet culture.
It is open, free, “unbreakable” and decentralized. The internet was started to share information, and bitcoin is a revolution in that idea. Bitcoin is an idea, firstly, that financial property can be directly controlled by its owner. As we mentioned, banks own the money under deposits, they’re free to do whatever with a percentage of all deposits. When someone owns a bitcoin, it operates similar to cash, in the fact that the one in possession of the private key, has the ability to do with it what they please. Bitcoin is a decentralized cryptocurrency, meaning that it cannot (easily) be shutdown.

The world is changing quickly, Bitcoin embodies that change.
Benefits of Bitcoin could be discussed forever, here are some more key advantages of Bitcoin.

Low Transaction Fees
Sending fiat over borders, costs surprisingly more than I thought. Even with trade laws encouraging and enabling transfers over long distances, it doesn’t mean its cheap. Bitcoin costs roughly 1 cent to send to anyone else. That’s it, wallet to wallet, address to address. It’s that simple, and the fee can be adjusted according to priority.
Money is already Digital
Since the dawn of computers, they have been handling financial transactions. Why not trust Bitcoin, with its blockchain technology. It’s built from the ground-up that way, rather than forced upon it like fiat.
These are the reasons why bitcoin is important. We could go on and on. We will continue to edit this article as we think of more, but we believe that the answer should also be simple and short.
kristian hegland 2 months ago
There is a tremendous amount of activity when it comes to commodity trading. Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The environmental factors are not directly tied to the price like say soybeans. It’s tied to other factors things such as general market sentiment influenced by macro economic events.

Bitcoin’s Transparency
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedented transparency and authenticity. For if a transaction is only confirmed once on the network over several weeks, there must be a reason why it doesn’t exist on other ledgers, since it is probably inauthentic. This technology underlying makes counterfeiting Bitcoin more difficult.

Bitcoin is Deflationary
Bitcoin’s set limit of 21 million Bitcoin plays a key role in its inflationary characteristics. The final Bitcoin is estimated to be mined in 2xxx and willl probbaly be epic. This Economist Article explains how some people may consider this misleading, but it isn’t true.

Fiat is Prone to Government Manipulation
Although this isn’t a characteristic of Bitcoin, it has value in the sense that inflation is hardwired into the USA economy. Every year inflation reduces the real value of fiat currency by a percentage. This is dependent on a number of government-controlled factors such as money supply, lending, laws, and economic packages.

Bitcoin is Pure, Unregulated, and Open
Pure may some like a nebulous idea, but it isn’t. In regards to Bitcoin, it means that the price is regulated by pure supply and demand. Without any demand, the price will drop. This also relates to commodities in that sense. Ever since governments stepped in, it seems that it’s doing worse and worse.

This also means that Bitocoin’s openness allows people to create their own, unregulated ways to utilize it. Whether it be peer to peer lending, to stock markets of bitcoin service companies, Bitcoin creates an economy of its own, by the people, for the people.

Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that

Bitcoin has no Borders, Limits
Bitcoin embodies the internet culture.
It is open, free, “unbreakable” and decentralized. The internet was started to share information, and bitcoin is a revolution in that idea. Bitcoin is an idea, firstly, that financial property can be directly controlled by its owner. As we mentioned, banks own the money under deposits, they’re free to do whatever with a percentage of all deposits. When someone owns a bitcoin, it operates similar to cash, in the fact that the one in possession of the private key, has the ability to do with it what they please. Bitcoin is a decentralized cryptocurrency, meaning that it cannot (easily) be shutdown.

The world is changing quickly, Bitcoin embodies that change.
Benefits of Bitcoin could be discussed forever, here are some more key advantages of Bitcoin.

Low Transaction Fees
Sending fiat over borders, costs surprisingly more than I thought. Even with trade laws encouraging and enabling transfers over long distances, it doesn’t mean its cheap. Bitcoin costs roughly 1 cent to send to anyone else. That’s it, wallet to wallet, address to address. It’s that simple, and the fee can be adjusted according to priority.
Money is already Digital
Since the dawn of computers, they have been handling financial transactions. Why not trust Bitcoin, with its blockchain technology. It’s built from the ground-up that way, rather than forced upon it like fiat.
These are the reasons why bitcoin is important. We could go on and on. We will continue to edit this article as we think of more, but we believe that the answer should also be simple and short.
Atul Tanna 2 months ago
Transferring Bitcoin is fraction of cost
Bitcoins can be transferred in lesser amount of time
TransferringBitcoinsis more secured
Transferring Bitcoins is anonymous
Bitcoins can be transferred from any part of the world
Rachel Ramos Santos 2 months ago
The bitcoin that revolutionized the modern era because it has the advantage that the transactions are anonymous and not only that, but that it can reach any part of the world.
Rachel Ramos Santos 2 months ago
The bitcoin that revolutionized the modern era because it has the advantage that the transactions are anonymous and not only that, but that it can reach any part of the world.
bithilal 2 months ago
In short, instead of giving a long answer to this question, it can make monetary transactions faster, securely and less costly in every aspect. But the real question is what do bank owners want? The room is a political situation.
Vinick 2 months ago
because transactions are low cost and cannot be traced
Vinick 2 months ago
because transactions are low cost and cannot be traced
fouedsouid 2 months ago
Cause its far esier
Faraday 2 months ago
standard wire transfers and foreign purchases typically involve fees and exchange costs .since bitcoin transactions have no intermediary institutions or government involvement,the cost of transaction are very low
kinn 2 months ago
thats a nice question
ngoctanphan01 2 months ago
A great question.
Big institutions do prefer transacting in crypto than using banks simply because the use of crypto save them a lot of stress and money. It takes plenty of resources including man power to maintain and verify payments done through banks, but lesser resources and manpower to verify and maintain that of Crypto. Also, exessive bank charges and taxes can be avoided.
Aymen getacgew 2 months ago
I don't really know am new here, I just need the money to pay for My school expense
Paul Jeremiah 2 months ago
Because bitcoin reduces the bulkiness of the money and it's as well more safer than banking system.
Sriram 2 months ago
Definitely, but we are facing the biggest economy of today. At this point, Bitcoin is likely to be very helpful for money transfer.
Mar2003 2 months ago
Because tranferring money through digital currencies are way fast than traditional means.
Sriram 2 months ago
Definitely, but we are facing the biggest economy of today. At this point, Bitcoin is likely to be very helpful for money transfer.
Dewan Tyieeb Raja 2 months ago
Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The cost and time required in transferring millions of dollars is huge. The transaction fees that are taken by banks are huge and also, the time taken for a traditional banking system to transfer this amount of money is way more even if comparing it with the Bitcoin Blockchain. The banks can take weeks to get these abounts verified and transfer. Meanwhile Bitcoin can quickly transfer that amount of money thus saving corporations time as well as huge transaction fees, thus freeing them up for other jobs.
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedented transparency and authenticity. For if a transaction is only confirmed once on the network over several weeks, there must be a reason why it doesn’t exist on other ledgers, since it is probably inauthentic. This technology underlying makes counterfeiting Bitcoin more difficult.

Bitcoin is Deflationary
Bitcoin’s set limit of 21 million Bitcoin plays a key role in its inflationary characteristics. The final Bitcoin is estimated to be mined in 2xxx and willl probbaly be epic. This Economist Article explains how some people may consider this misleading, but it isn’t true.

Fiat is Prone to Government Manipulation
Although this isn’t a characteristic of Bitcoin, it has value in the sense that inflation is hardwired into the USA economy. Every year inflation reduces the real value of fiat currency by a percentage. This is dependent on a number of government-controlled factors such as money supply, lending, laws, and economic packages.

Bitcoin is Pure, Unregulated, and Open
Pure may some like a nebulous idea, but it isn’t. In regards to Bitcoin, it means that the price is regulated by pure supply and demand. Without any demand, the price will drop. This also relates to commodities in that sense. Ever since governments stepped in, it seems that it’s doing worse and worse.

This also means that Bitocoin’s openness allows people to create their own, unregulated ways to utilize it. Whether it be peer to peer lending, to stock markets of bitcoin service companies, Bitcoin creates an economy of its own, by the people, for the people.

Bitcoin will never die as long as individuals run the bitcoin software. Typically an internet wallet has servers that run the software, but that’s a bit more complicated to describe. If someone wants to become a bitcoin node, they run the software and start to process transactions. The beauty of this is that

Bitcoin has no Borders, Limits
Bitcoin embodies the internet culture.
It is open, free, “unbreakable” and decentralized. The internet was started to share information, and bitcoin is a revolution in that idea. Bitcoin is an idea, firstly, that financial property can be directly controlled by its owner. As we mentioned, banks own the money under deposits, they’re free to do whatever with a percentage of all deposits. When someone owns a bitcoin, it operates similar to cash, in the fact that the one in possession of the private key, has the ability to do with it what they please. Bitcoin is a decentralized cryptocurrency, meaning that it cannot (easily) be shutdown.

The world is changing quickly, Bitcoin embodies that change.
Benefits of Bitcoin could be discussed forever, here are some more key advantages of Bitcoin.

Low Transaction Fees
Sending fiat over borders, costs surprisingly more than I thought. Even with trade laws encouraging and enabling transfers over long distances, it doesn’t mean its cheap. Bitcoin costs roughly 1 cent to send to anyone else. That’s it, wallet to wallet, address to address. It’s that simple, and the fee can be adjusted according to priority.
Money is already Digital
Since the dawn of computers, they have been handling financial transactions. Why not trust Bitcoin, with its blockchain technology. It’s built from the ground-up that way, rather than forced upon it like fiat.
These are the reasons why bitcoin is important. We could go on and on. We will continue to edit this article as we think of more, but we believe that the answer should also be simple and short.So, there are various reasons why big institutions do prefer transacting in crypto than using banks.
1) The cost incurred in transferring millions of dollars takes a lot of time and money. The transaction fees that are taken by banks are huge and also, the time taken for a traditional banking system to transfer this amount of money is way more even if comparing it with the Bitcoin Blockchain. The banks can take weeks to get these abounts verified and transfer.
2) These transactions are not secured if performed via Banks. Even if they used the greatest algorithms, they are still less secure than Blockchain (hands-down).
3) The money can be traced when you do a banking transaction. But, when you do transactions using crypto, everything is anonymous yet completely transparent. This helps companies to carry out some secret tasks which they don't want the public to be known about. Maybe related to a big announcement related to their product.
4) Since, these huge companies are MNC's which means they have offices internationally and if they want to transfer money from example India to America, they need to convert the INR(rupees) to USD(dollar) while converting and there are various banks involved and many ledgers. But, when using crypto, there is just one currency and one ledger. You can perform transactions from sitting from any part of the world.
5) The use of exchanges depends from company to company. Some use these funds to fund for some other projects and keep them in their wallets. Some, need these funds in fiat currency. There is not always a need for exchanges in order to get these converted. Many also perform local transactions, where they send these cryptos who need it and in exchange, they get dollars in their bank acc.
6) Talking about volatility, if a company wants cryptos only for the purpose of investment, they go for Bitcoin or other Altcoins, but if they want to transfer for the sole objective of exchange of assets, they prefer stable coins, whose value depends either upon Gold or USD.
So, there are various reasons why big institutions do prefer transacting in crypto than using banks.
1) The cost incurred in transferring millions of dollars takes a lot of time and money. The transaction fees that are taken by banks are huge and also, the time taken for a traditional banking system to transfer this amount of money is way more even if comparing it with the Bitcoin Blockchain. The banks can take weeks to get these abounts verified and transfer.
2) These transactions are not secured if performed via Banks. Even if they used the greatest algorithms, they are still less secure than Blockchain (hands-down).
3) The money can be traced when you do a banking transaction. But, when you do transactions using crypto, everything is anonymous yet completely transparent. This helps companies to carry out some secret tasks which they don't want the public to be known about. Maybe related to a big announcement related to their product.
4) Since, these huge companies are MNC's which means they have offices internationally and if they want to transfer money from example India to America, they need to convert the INR(rupees) to USD(dollar) while converting and there are various banks involved and many ledgers. But, when using crypto, there is just one currency and one ledger. You can perform transactions from sitting from any part of the world.
5) The use of exchanges depends from company to company. Some use these funds to fund for some other projects and keep them in their wallets. Some, need these funds in fiat currency. There is not always a need for exchanges in order to get these converted. Many also perform local transactions, where they send these cryptos who need it and in exchange, they get dollars in their bank acc.
6) Talking about volatility, if a company wants cryptos only for the purpose of investment, they go for Bitcoin or other Altcoins, but if they want to transfer for the sole objective of exchange of assets, they prefer stable coins, whose value depends either upon Gold or USD.
حسین یزدی 2 months ago
hello my opinion is that the portfolio of crypto and bourse and other is the main idea that you may should know and the growth of the openness economic in aph theory of system thinking and decision making show this type of policies. and the type of crypto that have a low risk but the very speeder growth like 20% in one month wheter than the bourse thanks
sk meena 2 months ago
That is very nice questions
sk meena 2 months ago
5) The use of exchanges depends from company to company. Some use these funds to fund for some other projects and keep them in their wallets. Some, need these funds in fiat currency. There is not always a need for exchanges in order to get these converted. Many also perform local transactions, where they send these cryptos who need it and in exchange, they get dollars in their bank acc.
6) Talking about volatility, if a company wants cryptos only for the purpose of investment, they go for Bitcoin or other Altcoins, but if they want to transfer for the sole objective of exchange of assets, they prefer stable coins, whose value depends either upon Gold or USD.
Piyoosh Baldota 2 months ago
The value of any traditional currency keeps falling due to inflation. To explain that in simple words say in the year 2010, how many things could you buy in 20 bucks is not the same as if you saved that 20 bucks in your wallet and spent in 2020 or 2030. But with 1 bitcoin its exactly the reverse you end up buying more stuff than before. So the value of bitcoin is inversely proportional to the value of currency.
Pbloom 2 months ago
. Bitcoin makes it possible to transfer value anywhere in a very easy way and it allows you to be in control of your money. Such great features also come with great security concerns. At the same time, Bitcoin can provide very high levels of security if used correctly. Always remember that it is your responsibility to adopt good practices in order to protect your money
alty 2 months ago
cryptocurrency is fairly new so most of it has the potential to increase in value.. more than traditional money, so by accepting payment in crypto now they can keep it and as the value if crypto increases, so does the net worth of businesses holding it. imagine a company accepted btc 12 years ago... or even last year this time.
elard 2 months ago
1) The cost incurred in transferring millions of dollars takes a lot of time and money. The transaction fees that are taken by banks are huge and also, the time taken for a traditional banking system to transfer this amount of money is way more even if comparing it with the Bitcoin Blockchain. The banks can take weeks to get these abounts verified and transfer.
2) These transactions are not secured if performed via Banks. Even if they used the greatest algorithms, they are still less secure than Blockchain (hands-down).
3) The money can be traced when you do a banking transaction. But, when you do transactions using crypto, everything is anonymous yet completely transparent. This helps companies to carry out some secret tasks which they don't want the public to be known about. Maybe related to a big announcement related to their product.
4) Since, these huge companies are MNC's which means they have offices internationally and if they want to transfer money from example India to America, they need to convert the INR(rupees) to USD(dollar) while converting and there are various banks involved and many ledgers. But, when using crypto, there is just one currency and one ledger. You can perform transactions from sitting from any part of the world.
Christian Alex Pingkian 2 months ago
One of the fact that why bitcoin and other cryptocurrencies are using now instead of traditional banking for large amount its because we all know that cryptocurrencies are trending many people worldwide using it nowadays, people aware of volatility of cryptocurrencies since it is demand most of the investors, invest for the good cost and most of them saw the potential to get more profits, moreover the transaction fees are definitely much smaller than other bank transactions, some of them are free charge on fees, reliable and secure with the blockchain process.
Alex 2 months ago
There is a tremendous amount of activity when it comes to commodity trading. Very rarely do people who invest or trade commodities actually own the commodities being traded, rather they trade funds or ETFs. Bitcoin is similar to commodities in the way they can be bought and sold, but also the speculation around them. The environmental factors are not directly tied to the price like say soybeans. It’s tied to other factors things such as general market sentiment influenced by macro economic events.

Bitcoin’s Transparency
The blockchain is a global ledger of all bitcoin transactions. Every single transaction is confirmed (once) when that transaction is written on to another ledger on the bitcoin network. This allows unprecedente
Trevor Perreault 2 months ago
If they are wanting to cash out the bitcoin into fiat (government money) they will have to use some sort of exchange or platform that allows that trade to happen. A centralized exchange is the only thing I've heard about for cashing out. Coinbase is the one commonly used for everyday users. The low transaction fees are one of the main selling points of cryptocurrency! Bitcoin is not the fastest to transact, nor will it be in the future. All that needs to be done, is to keep up with the scaling solutions for bitcoin so that it can handle the load across the global network. Cryptocurrencies are built for the purpose of shareholder utility and interaction.

Tether has very small utility compared to so many other digital assets. Those who have been operating tether have not been maintaining it in a trustworthy way either. I don't know a ton about Tether, but I know that it's actually got a rough history and is close to being phased out, replaced by more stable and trustworthy forms of digital usd, like USD-C. I recommend checking out The Coin Bureau on Youtube for some information regarding Tether's play in this crypto age.

Also-Banks have been given the go ahead to issue their own stable coins since January 4th, 2021. Stablecoins may very well take a huge limelight in the coming months now that this law has passed in the US. Understanding how this will affect the crypto space will serve investors well!

In regards to volatility- It's true that bitcoin is a more volatile asset. But from an investor's point of view, transacting an asset that may go down 20-40% is NOT an issue when that asset has a mean annual return of 408%.. Well, that's a huge upside to having a currency that is deflationary and not inflationary. Gray scale can hardly keep up with buying Bitcoin and exchanges have a hard time adding it into their exchange pools because of the unprecedented rate of big companies dumping their money into. All of this news of more and more adoption is making prices go parabolic. But bitcoin won't be the quickest asset to transact, nor the most desirable one to move either. Bitcoin will serve as gold, as a foundation to sit on in the coming future, and more innovative coins that have more utility for spending and so much more will dominate payment options.
A really amazing thing- is the accepted forms of payment that companies choose will weed out less worthy currencies and what they stand behind. Welcome to the future of finance and our very way of existing inside of it!
Dinesh 2 months ago
Very nice project
hüseyin 2 months ago
Ülke içerisinde BTC ile transfer etme işlemi tercih edilmeme durumunu bilmem. fakat uluslar arası para transferinde işlem daha kolay ve hızlı sonuçlanacağını düşünüyorum. Bu sebepten tercih edilmeli.
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Gökçe 2 months ago
Genel olarak sanal para karda çok oynak forumlar olabiliyor ama velakin hiçbir zaman kaybınız olmaz sadece sabırlı ve emin adımlarla yatırım yatırımlarınızı gerçekleştirin ve hiçbir zaman bütün yatırımı bir yere yapmayın parçalayın
Rae Pedrosa 2 months ago
The protocols in place for btc transactions to go through are way faster than traditional banking protocols, that is why some banks such as Santander had opted to participate in using XRP's platform to make sure that their service is brought to more people who want to transact in real time.
sohailrahi 2 months ago
Because it is very safe instead of traditional bank it cannot hacked easily for example blockchain wallet another reason it is very easy to use instead of traditional bank system
Jasmine Taleni 2 months ago
Because transaction fees are way lower than traditional banks and also there aren’t as much regulations to send and receive Bitcoin/money than banks. It’s way more simple and easier and faster.