Cryptocurrency means both a cryptographic currency and a peer-to-peer payment system. These digital currencies are therefore virtual currencies in the sense that they are characterized by a lack of physical support: neither coins nor tickets and payments by check or credit card are not possible either. Click here to know about gdax.
These are alternative currencies that do not have legal tender in any country of the globe. Their value is not indexed to the price of gold or that of conventional currencies nor are they regulated by a central body or financial institutions. And yet, security and transparency are their main assets! Indeed, cryptography secures transactions that are all verified and registered in a public domain, ensuring both confidentiality and authenticity, thanks to blockchain technology. If you are wondering, if there is no centralized organization, then how can you exchange cryptocurrencies, then you should know about gdax.It is an exchange system for cryptocurrencies which is known for its low fees and faster exchange.
Virtual currency for the purchase of goods and services
Like any currency, cryptocurrencies allow the purchase of goods and services. Not being under the control of a central authority and escaping any regulation, they have long been the prerogative of illegal transactions (ransomware, drug trafficking, etc.) but they tend to get rid of their bad reputation by democratizing and attracting a wider audience. Crypto-currencies are today increasingly used for legal transactions.
Buying of consumer good
Virtual currencies, like bitcoin, make it possible to buy many consumer goods. For example, it is possible to buy computer hardware of course with bitcoins, but also foodstuffs, jewelry, decorative objects, cultural products, etc. Overstock, a general merchant website, accepts payment in bitcoins, just like Shopify. Paying everyday goods with other cryptocurrencies is more difficult, but not impossible. Ether, for example, could be used to buy the works of art exhibited by young artists at La Compagnie (Paris X) in the spring of 2017.
Crowdfunding crypto-equity: another use of crypto currency
Crypto currencies can also be used to finance companies via crowdfunding crypto-equity, crowdfunding in virtual currencies. The process that has largely developed since 2014 consists of financing equity-crowdfunding through virtual money. This type of practice is referred to as ICO or Initial Coin Offering. Several platforms offer this solution.