In the beginning, people were investing in bitcoin because it gave people opportunities to make a big profit.
People have become millionaires because of this mentality, especially with people who have invested in bitcoin since the very beginning (considering the price spike that bitcoin experienced in late 2017). In today’s age, there are still people who buy bitcoin for profit but the coin has evolved to the point that there are more uses for it now.
Because of peer-to-peer bitcoin trading, bitcoin has developed many real-life uses that many people are taking advantage of. The peer-to-peer aspect has allowed bitcoin to be more than buying Lamborghinis and other fancy things. Bitcoin is now being used for survival.
How peer-to-peer finance has changed the game
The emergence of peer-to-peer marketplaces has changed the way people use their bitcoin, thus changing their purpose for buying. Let’s take a look at a few real-life uses for bitcoin and the innovative ways people are using it:
Countries with struggling economies are now using bitcoin to preserve the value of their fiat currency. They do this by using peer-to-peer platforms to convert their fiat into bitcoin thus protecting their fiat currency from falling victim to high inflation rates. An example of this is Venezuela which is experiencing an annual inflation rate of 2.69 million percent (as of January 2019). Now, there are reports that the use of cryptocurrencies is skyrocketing in Latin America and wealth preservation is probably the reason why.
Cryptocurrencies claim 15.8% of the world’s remittances, ranking 4th among all the other types of remittances. People often look to cryptocurrencies to circumvent the high fees that Money Transfer Operators (MTOs) and Remittance Software Providers (RSPs) are charging for their remittance services. Instead of sending fiat to a friend or family member across the world, people are sending bitcoin instead and they are saving a lot of money doing so.
Peer-to-peer marketplaces have changed the way bitcoins are bought, sold, and traded. On these platforms, sellers have the option to set their own profit percentage and buyers can filter out the offers easily. The personalized trading experience allocates more power to the users and it gives them more control over their funds. There are hundreds of payment methods available on these platforms, making it easy for people to buy, sell, and trade. By finding the right deals, people are able to make a sufficient income to support themselves and their family.
This is only the beginning
These are only a few examples of bitcoin’s real-life uses. Every day, people are seeing creative and innovative ways to use peer-to-peer finance to their advantage. People are finding real money-making opportunities and it’s not always to spoil themselves. Sometimes, it’s for survival. This is only a glimpse of what bitcoin can do and it’s very exciting to think about where it’s going next.