Many people are excited by digital currency because every coin can be worth more tomorrow. It might, but nobody knows the future. What is certain is that using digital currency saves you money today.
Want to send or receive money? You lose so much in fees. Want to sell goods and services? You lose money to take payments by card. Want to borrow money for your future? Again, it is so expensive.
When your family send you money, banks take 7 cents of every dollar sent globally. They take even more in some areas - twice as much in South Africa. Banks issuing payment cards take around 50 cents of your money when you sell something for $20. And interest on loans can be even more: to borrow 5,000 Kenyan Shillings, you can pay 1,800 Kenyan Shillings!
So if you want to send, charge or borrow money, how can you keep more of it? Cutting out the middleman is how. Banking on the Blockchain is the way to escape high charges.
When your family member sends you $100 in digital money, you pay pennies, not many dollars. And it’s only a fixed, small fee for taking payment by digital money - $1 on average in Bitcoin as we enter July 2018. And the Blockchain can cut the high cost of loans too. How does the Blockchain do all this?
Simply put, it means less administration - no bank buildings and fewer staff. The Blockchain can save you money as you deal directly with other people.