Should entrepreneurs embrace cryptocurrency?By Angelica Malin
Bitcoin, Litecoin, Ethereum. Even if you’ve only heard of one of this trio, you’ll likely know where we’re heading. Cryptocurrency is a bold business in that it has been pushing financial boundaries for a few years now and it’s now simple to set up a digital wallet, log into an exchange and start investing in virtual money. Bitcoin, in particular, has weathered the storms of ‘bubbles’ bursting and big crashes. The fact is, crypto is so volatile because so many people aren’t sure what to make of it. It’s a bit of an oxymoron.
More and more businesses, particularly smaller enterprises, are now taking advantage of crypto. Plenty of entrepreneurs now allow you to pay for services with digital wallets, even at physical locations. Whether you’re paying for creative services or a cup of coffee, it’s clear to see that many people are embracing crypto. The people who tend to avoid the rush, however, are those involved in big business. But is its worth entrepreneurs holding off on crypto for a while? Surely the risks aren’t worth the investment?
Safe and secure
One of the biggest allures of Bitcoin, of course, is the fact that it’s extremely private. Unlike physical money, there are virtually zero paper trails. Another benefit tied in with this, of course, is the fact that it’s near impossible to conduct major fraud through crypto. For fledgling entrepreneurs, built-in protection is going to be a massive safety net.
Physical money has, of course, been around long enough for fraudsters to get ahead of the game, however, most crypto is actually designed to combat fraud. You get a ton of security features from the word go. This means, whether or not you have business insurance, you’re ready to do business with anyone willing to fund you. In a world where we’re all more connected and more fluid, this kind of safety is very hard to come by.
Cryptocurrency is going to be the first choice of entrepreneurs who want to reach out across the world. With physical trading, depending on where you buy from and sell to, there are waiting times. Anti-fraud measures on the global exchange can slow things down to days at a time. With most crypto, at least the leading currencies, your money’s there as soon as you need it.
This is hugely important for entrepreneurs. Modern businesspeople don’t have time to hang around for funds to clear through clunky financial channels. Crypto enables them to pay money and for it to be at the client’s end in seconds. Just as the internet in general has helped to break down walls in terms of communication, crypto is breaking down walls in terms of transactions. It’s clear why so many small business owners are taking the risk.
If you’re an entrepreneur looking to trade from country to country, via the internet or otherwise, you’re going to face fees. As well as there being awkward, unnecessary clearance times for physical money, you’re also going to need to pay extra cash and service rates on top for the privilege of doing business. This is something that’s been ingrained for a long time now.
With crypto, the threat of fees virtually disappears. There’s no need for you to pay admin fees on top of transactions. Crypto such as Bitcoin is decentralised. That means there are fewer people, if at all, acting as middlemen along the way. However, that isn’t to say you can’t expect any charges from these transactions, as you may end up paying service fees to certain wallets and platforms. Therefore, make sure to do your homework and to compare between trading services if you’re serious about going fully crypto.
Stacks of choice
One of the biggest features of cryptocurrency is the fact that there is so much choice. It’s not just Bitcoin which is doing the rounds on the big exchanges. There are other currencies such as Litecoin which continue to pick up interest. Not only that, but there are plenty of different digital wallets, exchanges, and research websites like this, all of which can help you diversify your crypto experience. Ultimately, entrepreneurs have the opportunity to manage their money more flexibly than ever before. That’s a huge bonus, given the fact that most modern entrepreneurs are flexible by design.
Opening yourself up to Bitcoin and crypto as an entrepreneur means you have immediate access to some of the leading payment platforms online. It means that you can directly plug into where investors are building fortunes.
Appealing to a new generation
If you only depend on the mass media to get your news about crypto, you’re going to have a hard time seeing any solid benefits. You have to look closely at the statistics, as well as to actually look at exchanges and trader forums. You’ll see pretty quickly that we’re in the middle of a revolution of sorts. While big businesses are scared of crypto – at least to some extent – thanks to the risk factor, plenty of smaller businesses and entrepreneurs are taking the risks.
That’s because more and more younger people are doing their research and are embracing digital money. It’s an audience of people who entrepreneurs will do well to get on side with moving into the next decade. Crucially, while physical money is still going to be with us for a long time, digital and crypto money is going to keep edging into the mainstream. It’s showing signs of being a generational drift, however, there are clear signs it’s worth taking advantage now while we’re right at the edge of the big bang.
Modern entrepreneurs should always be willing to take calculated risks in the modern age. One of the best risks you can take, it would seem, is to put a little money into crypto. Even if you only fund a token amount for now, it could be worth doing your homework and taking the plunge. Think about your target audience, and what they are likely to want their services to do in years to come. Don’t be afraid to step away from physical money if it means embracing the future.