Why Cryptocurrency Has Become a Popular Means of Exchange Among People

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Since the dawn of society, people have sought to engage in profitable exchanges—whether in goods, money, or, in modern times, electronically. Driven by the need to communicate and trade with others, methods of exchange have evolved and followed technological trends. Today, cryptocurrency is gradually replacing traditional banking operations, which once replaced cash transactions. So why is cryptocurrency becoming more popular? We have gathered useful information in this article.

How and Why Did the Cryptocurrency Market Emerge?

The primary reasons for society’s interest in cryptocurrency can be attributed to several needs:

Decentralization: Over time, governmental systems have exerted significant pressure on society. High taxes, substantial fees for transfers, exchanges, or withdrawals have driven people to seek simpler and cheaper payment methods. Moreover, traditional financial institutions impose numerous restrictions, whereas cryptocurrencies allow bypassing them.

Absence of Inflation and Stability: Financial crises are familiar to almost everyone in many countries. High inflation and unstable economies, especially in poorer countries, generate public interest in cryptocurrencies.

Security: News reports often feature stories about hacks, thefts, and issues in banking systems. Unfortunately, even modern technologies cannot fully protect your bank funds. In contrast, cryptocurrencies use unique encryption technologies that make transactions secure and protect your data.

Transparency: Tracking a bank transfer typically requires the involvement of governmental structures, complicating fraud control. Public blockchains offer an accessible way to track all transactions within the network.

Quick Exchange: Some transfers, especially international ones, can be delayed and involve significant fees. Many workers, migrants, and others use cryptocurrencies to control their funds efficiently.

The crypto industry is considered to have begun in 2009 when a person (or group of people, still unknown) under the name Satoshi Nakamoto created the first decentralized currency. The groundwork for Bitcoin was laid by researchers back in the 20th century. However, in 2009, not many recognized the potential of cryptocurrencies, and Bitcoin remained underutilized for some time.

Gradually, enthusiasts and tech geeks expanded their understanding of cryptocurrencies. Thanks to the ideologically driven community members and their belief in the future of decentralized finance, new currencies began to emerge. These were called “altcoins” (alternative cryptocurrencies) — such as Litecoin, Ripple, and others, which promised improvements over Bitcoin.

A significant step in the development of the cryptocurrency market was made by Ethereum, created by Russian-Canadian programmer Vitalik Buterin in 2015. The Ethereum blockchain introduced smart contracts and dApps (decentralized applications), which was a technological breakthrough.

The ICO boom that began in 2017 propelled the industry to rapid development. Initial Coin Offerings helped attract capital to many strong blockchain projects. Institutional investors also started paying attention to the growth of cryptocurrencies: they could no longer be ignored!

In 2020, the DeFi (Decentralized Finance) sector and NFTs (non-fungible tokens) became particularly prominent in the market. New ways to implement and use cryptocurrencies captured the market and attracted even more investors.

Buying and Exchanging Cryptocurrency is Easy

Technological advancements have made buying cryptocurrency very simple, whether with tokens or fiat. There are many major exchanges, depending on your region, that offer quick access to any token on the market. Exchanging cryptocurrency for other coins is also effortless. Online exchanges offer 24/7 support and simple registration processes.

On exchanges, you get good liquidity and a wide range of functions, but you need to provide personal data and face a significant threat of hacking. Crypto exchanges are safe, simple, and fast, alleviating many problems associated with traditional exchanges.

You can initiate a crypto exchange on the SwapGate.io website. The platform offers a wide selection of pairs, such as ETH/BTC, and eliminates the need for complex verifications, attracting users. Fast crypto-to-crypto exchanges are available to everyone after a simple registration process. The best market rate is provided through real-time price monitoring—everything for a quality exchange.

Whether to use cryptocurrency or not is up to you. In any case, it is worth thoroughly studying all the necessary information, as well as the pros and cons, before you start trading.

Disclaimer: This release may contain forward-looking statements. Forward-looking statements describe future expectations, plans, results, or strategies and may change without notice. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements.

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