Payment systems that we use today are more advance than we have to use in the old days. But it still needs to solve many areas like transaction fees, time, security, and others as well. However, the blockchain can solve those issues in no time, and we can see that in cryptocurrencies. Let’s see how payment methods are with blockchain technology:
Fewer Intermediaries
One of the most beneficial things about blockchain technology is that the payment methods are very secure now. However, you won’t need any intermediaries for transactions when you are using blockchain technology. But for other traditional methods and especially with fiat currency, you will need intermediaries for your transactions. For example, if you are sending some funds to others, then you have to the bank or use payment systems like Mastercard, PayPal, or other intermediaries. But with the help of the blockchain, you won’t need to take help from intermediaries at all. And crypto is the prime example of that. You just have to update the public ledger to prove your transactions, and you are done.
Safety
The first thing that comes to everyone’s mind when making a transaction is safety. I mean, we all ask ourselves if the payment method is secure, and won’t I get scammed and lose all my money and account? Well, it happens to me all the time, and that’s why I always think about my account’s safety first. However, blockchain technology has solved this problem. That is because when you blockchain payment system, your account details, identity, and other info will remain private. At the same time, since you are using blocks and a public ledger that can’t be altered by anyone, so no one will be able to hack your account, and your account and payments will be safer than ever.
Faster Payments
Before blockchain was really hard to make payments quickly; for example, you had to send a fund to anyone’s account; then you had to wait days to use that transferred fund. That is because the bank and other intermediaries need to verify your account and transaction, and then you will be able to withdraw the money. But you don’t have to do that now. That is because blockchain has also revolutionized that area. With the help of a blockchain payment system, you will be able to make transactions within minutes, and they will be able to use the fund after verifying the transaction. Like cryptocurrencies, you can transfer them easily and faster than any other payment method on the planet.
Cost
Transfer cost is another thing that is a big deal in payment methods. That is because it doesn’t matter which payment methods we use; we have to pay transaction fees, which are quite high. You have to spend dollars for each transaction. At the same time, many transaction methods require high transaction fees that depend on the amount of the transaction. But blockchain payment methods won’t cost higher at all. It’s true that you have to pay an amount for transactions. But the amount is far tinier than you can think.