How do Businesses benefit from using Crypto?

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Crypto, digital, or virtual currencies have created a shift in perspective in the way we look at money, The way we look at potentially buying it, and The way we look at potentially spending it. So it's important to have a basic understanding of the benefits of crypto in the business field

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  1. New Customer Groups

  • With the introduction of cryptocurrency, a completely new group of customers has emerged who are devoted to the payment method

  • Companies that have integrated cryptocurrency blockchains have seen an increase in these customers, resulting in a larger customer base and increased sales

  • Many early adopters of Bitcoin and Ether prefer to use these as payment methods

  • Due to their dramatic appreciation this year, making their current purchases technically cheaper when compared to the fiat monetary value at which they purchased it

2. Introduction to the Digital Landscape

  • Inadvertently, the use of cryptocurrencies serves as an introduction to digital business

  • With the recent surge in online shopping due to the pandemic, many businesses have expanded into the online sphere

  • SPC Free Zone provides e-commerce amenities and promotes the creation of new avenues of income and opportunities for the long-term success of the business venture

  • This is in line with what cryptocurrency seeks to achieve for businesses

3. Competitive Advantage

  • Entering the world of cryptocurrencies before your competitors can result in one of the most significant competitive advantages for your company

  • By the time competitors catch up, your venture has already claimed the first-mover advantage and the benefits that come with it

4. A Hedge Against Inflation

  • Market trends teach us that cash depreciates over time due to inflation, so having idle liquid cash is actually detrimental to an organization’s profitability

  • Cryptocurrency offers individuals and businesses alike a capital investment opportunity to protect their profits against economic forces of inflation and deflation in real-time

5. Lower Transaction Costs

  • Cryptocurrency transactions are less expensive than banking transactions, making them a better option than credit or debit cards

6. High Security and Fraud Reduction

  • Cryptocurrencies are well known for being one of the most secure modes of payment, with low risks of account breaches and fraud

  • The use of cryptocurrencies, which do not allow for payment reversals, renders a popular method used by fraudsters that call for chargebacks through a reversal of payments at banks completely useless

7. Instant Payments

  • One of the most significant advantages of cryptocurrency is its ability to make instant payments

  • Amounts are freely transacted and are instantly sent and received, with no payment delays

  • Almost all payment gateways will hold the funds on your behalf and charge a transfer fee whenever you want to withdraw them

  • It becomes much easier for newly formed businesses that require immediate payments to facilitate operating costs

REFERENCE

  1. https://spcfz.ae/the-business-benefits-of-using-cryptocurrency/

DISCLOSURE:

None of these articles constitute financial advice. Articles are highly summarised to make it easy for the reader and save your time, so please DYOR further before putting your hard-earned money into any product mentioned.

Please note that the tech industry evolves rapidly and this article's information is correct at the time of publishing. As Heraclitus said, “Change is the only constant”, so if anything sounds old or off please holler on the socials or comment here so everyone stays peeled.

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