We all know that the recent COVID-19 outbreak that was initiated in late 2019 in Wuhan, China, has turned the entire world upside-down. The virus continues to evolve expeditiously around the globe every passing day and is putting thousands of lives at stake. Many countries have started imposing their ideas and measures to contain the spread of the virus in their countries, such as mandatory quarantines, social distancing, lockdowns of malls, theatres, and major crowded spaces, etc. The leaders of most major countries even announced a complete lockdown to prevent more people from getting exposed to the virus. One such measure is the initiation of contactless payments.” What are contactless payments? Let’s take a brief look.
What Is Cryptocurrencies?
Cryptocurrencies are digital or virtual currencies that use cryptography for security. Unlike traditional currencies issued by governments (such as the US dollar or the euro), cryptocurrencies are decentralized and typically operate on a technology called blockchain.
Key characteristics of cryptocurrencies include:
- Decentralization: Cryptocurrencies are not controlled by a central authority, like a government or a bank. Instead, they rely on a distributed ledger technology (blockchain) to record and verify transactions across a network of computers (nodes).
- Cryptography: Cryptocurrencies use advanced cryptographic techniques to secure transactions and control the creation of new units. This makes them highly secure and resistant to counterfeiting.
- Digital Nature: Cryptocurrencies exist only in digital form and have no physical counterparts, like coins or banknotes. They are stored in digital wallets and can be transferred electronically.
- Global Accessibility: Cryptocurrencies are accessible to anyone with an internet connection, regardless of their location. This has the potential to provide financial services to people who are unbanked or underbanked in traditional banking systems.
- Transparency: Transactions made with cryptocurrencies are recorded on a public blockchain ledger, which is accessible to anyone. This transparency enhances trust and accountability.
- Limited Supply: Many cryptocurrencies have a capped supply, meaning there is a maximum number of coins that can ever be created. For example, Bitcoin has a maximum supply of 21 million coins, which is designed to create scarcity and potentially drive up value.
- Digital Ownership: When you own cryptocurrencies, you have a private key that proves your ownership of the associated digital assets. Losing this key can result in the loss of access to your funds.
itcoin, created by an anonymous entity known as Satoshi Nakamoto, was the first cryptocurrency and remains the most well-known and widely used. Since Bitcoin’s creation in 2009, thousands of other cryptocurrencies have been developed, each with its unique features and use cases. These digital assets are used for various purposes, including online purchases, investments, remittances, and as a means of transferring value across borders. Cryptocurrencies have also paved the way for the development of decentralized applications (DApps) and smart contracts on blockchain platforms like Ethereum.
Establishment of Contactless Payments:
Encompassing the COVID-19 outbreak measures, the World Health Organisation ( WHO) has reportedly mentioned that they encourage contactless payments, and people should pay with contactless methods wherever possible, as the virus infection seems to spread through the usage of physical banknotes. Due to this, Central banks have started quarantining physical payments and physical currency notes. The Bank of Korea implemented a policy for quarantining physical notes from local banks. They stored all the currency in a safe for say, two weeks as the SARS-COV-2 (the virus) is said to die within nine days.
In early February, the Chinese lenders were asked to disinfect physical bills and store them somewhere safe for at least 14 days. The Bank of England also mentioned that there are possibilities for the virus to thrive in physical currencies when circulating, and people should properly wash or sanitize their hands after touching the currencies. Following this, many countries have started setting aside and stopped circulating physical currencies around their countries.
Now, amidst this global pandemic crisis, we are, among people trying to name and shame other countries for the cause of this spread, we should not neglect to address the fact that this virus has a massive impact on our economy and is taking a toll on our day-to-day lives. We should not forget to ask ourselves some crucial questions. How do these implementations affect our lives? What is the alternative solution to this that will save us from any hassle? Cryptocurrencies are the way to go. The use of cryptocurrencies might be really helpful at this point, to keep you healthy and risk-free from the virus. How? Let’s find out.
Why Are Cryptocurrencies The Right Choice To Stay Healthy From COVID-19?
- Cryptocurrencies are digital currencies. With cryptocurrencies, you can conduct borderless transactions from wherever you are without any physical contact.
- Cryptocurrencies provide efficient access to digital money, as anyone with an internet connection can access and conduct trades from various parts of the world.
- You can initiate instant, efficient payments, and attain quick settlements with cryptocurrencies.
- Cryptocurrencies still allow you to transfer the value or swapping of banknotes.
- Cryptocurrencies also come with secure digital wallets where customers can safely store their digitized money.
How Secure Are Cryptocurrencies?
Cryptocurrencies are underpinned by blockchain technology. Blockchain helps record, secure, verify, and control every transaction that happens with cryptocurrencies in the exchanges. Cryptocurrencies along with blockchain come with several benefits such as,
- Blockchain provides immutability, where transactions recorded once cannot be altered or interchanged.
- Blockchain allows the anonymity of users and safeguards their information.
- Blockchain comes with decentralization and allows peer-to-peer transactions with transparency to the users.
- With blockchain, you get multi-layered security, which allows you to conduct seamless, risk-free, hassle-free transactions.
- Blockchain-based crypto transactions do not allow any involvement from intermediaries and alert the user when someone tries to hack/enter.
Thus, with cryptocurrencies, you don’t have to come out of your isolation space, or you don’t have to break your quarantine. With cryptocurrencies, you can easily carry out digitized businesses and conduct transactions with anyone around the world from the comfort of your own home. The profits and benefits are also magnified with the use of cryptocurrencies. The demand and urge for cryptos are already tremendously evolving. Cryptocurrencies are here to stay, and with this pandemic situation, businessmen are leaning more towards cryptos for their businesses because it is the ideal solution.
If you want to attain these advantages and are looking to find solutions for earning profits, get in touch with our experts. They will offer cryptocurrency consultation services to develop every service you need. Stay in your own space, stay safe, make contactless payments, and conduct a seamless business with compelling benefits and profits!