Pros And Cons Of Cryptocurrency

Indeed, everything in this world has two sides. One contains the advantages while the other holds the disadvantages. Just like in cryptocurrency, it has pros and cons that people, especially investors, should know before they get involve in here. 

I listed here some of its major pros and cons and hopefully this would help you a lot before entering the world of cryptocurrency. 


1. It prevents fraud or scams to victimize you. 

Manipulation sometimes happens in online payment methods and that’s what we call fraud or scam. But since cryptocurrency runs by blockchain technology, its security system is definitely strong and unbreakable. Especially, since they also use this unique and high-level cryptography. So worry no more because your crypto wallets are all safe here. 

2. It prevents leakage of personal information. 

Customers who buy in malls or shops and then prefer to use their credit card for payment share their pin code with other parties. Then, your payment transaction will be recorded in their system. In crypto, you just need to have access to your private key (or password) to complete a transaction. There is no need for third parties. Each transaction will also be recorded but not with third parties but in a secured ledger. 

3. It promotes hassle-free and secure transfer of ownership. 

When you are transferring a certain property or making a request for the closure of your bank account, you usually encounter a lot of paperwork and huge transaction fees. But, in this digital currency, the transferring of ownership is hassle-free and costs less. In another transfer, you just need to get the private key of that person and no need for huge amount of paperwork. 


1. Illegal activities can happen. 

While it prevents fraud and scams, some abuse it for their interest or gain. Illegal activities happen, of course, through cryptocurrency. What is more bothersome here is that no government as of now has the power to ban illegal activities in this digital currency, but they can still impose restrictions. 

2. You can’t protect your crypto wallet from loss. 

Although you are sure with the high-level security system in cryptocurrency because it runs through blockchain technology, it is still not safe from loss – and the chances are very high. Unfortunately, if you experience any technical error in your crypto wallets then lose your digital currencies, you can’t submit a report to a company. You can’t even seek assistance because there is no company controlling it in the first place. That’s why it is an important reminder for everyone to ensure that they choose crypto wallets with good reviews and be mindful of the crypto policies in their country. 

3. Crypto prices are highly volatile. 

If you are considering investing a big amount of money here, you better prepare yourself a lot. Because the market value of this digital currency is highly volatile. In other words, always changing and unpredictable. What you see in the digital graph may change in a while or tomorrow depending upon the situation.  

The Bottom Line

I hope that you will have a realization and ask yourself whether you are ready or not yet after learning the pros and cons of cryptocurrency. These are your guides in weighing the possible outcomes as you enter the world of digital currency. Hopefully, if you choose to continue your journey here, you will be a responsible and wise investor or trader. 

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