Pros and Cons of Cryptocurrency Coins

pros and cons of cryptocurrency coins

People who wants to invest on cryptos they do search these: What are the Pros and Cons of Cryptocurrency Coins? Is it safe to invest in crypto money? How to know which coin is spam? Crypto money reviews? Which cryptocurrency to invest in 2024? Which cryptocurrency will explode or rise the most? Here are the Pros and Cons of Cryptocurrency Coins…

Pros of Cryptocurrency Coins

  • Secure and Private: Cryptocurrency Coins are created for the purpose of  security and privacy first. Users transactions are private and secure whereas non-identifying transaction data being public.
  • Legal: Cryptocurrency Coins are legal and, if it is processed correctly for tax purposes, opens up new avenue for transactions.
  • Low transaction costs: Cryptocurrency Coins have low transaction costs compared to other digital or classic payment methods.
  • Income via mining: Through the process of mining which means securing cryptocurrency transactions anybody can earn coins.
  • High Reward Possibility: As the cryptocurrency market is volatile there is possibility of high reward  investment.
  • Global Money: Cryptocurrency coins give chance of trading anywhere in the world easy.
  • Decentralized: Cryptocurrency coins are decentralized which means they can’t be deflated or inflated due to the choices of central governments.
  • Fast Transactions: Transactions with Cryptocurrency Coins are so quick and permanent, and also hard to fake this is what eliminates many fraud issues banks deal with.
  • Out of Control:  Thanks to blockchain technology there is nothing else that controls Cryptocurrency money or their value.
  • Not inflationary: Cryptocurrency coins are not inflationary as there is a set amount that will ever be created. Not: Ethereum has no set amount, but even there is no set amount there is also nobody can increase its amount by doing  something which has no value.
  • Transparency: Cryptocurrency coins are transparent despite its privacy features.

Cons of Cryptocurrency Coins

  • Unsecure third parties:  Many of third parties, involved in cryptocurrenc coins market who produce wallets and exchanges don’t have the same level of security as a coin’s network itself has.
  • Unclear Tax Process: Cryptocurrency coins’ value change often and laws on how to claim them as taxable income are not clear.
  • Lack of Vendor: As Cryptocurrency is new system it is only accepted by certain vendors. Also because of fluctation of value vendors under the risk of losing capital.
  • High Fluctation: The cryptocurrency coin market is very volatile and fluctuating that is why value of coins can change wildly in a short time.
  • Recovery Process: In cryptocurrency system if  you do wrong transaction or  if transaction or  a coin is lost there is no way of recovering it. If someone steal your coins there is no office to apply or way to rectify the issue and there is no system or office or third party  to protect or guarantee the value of your coin.
  • Risk of Hack: Cryptocurrency is software based  system money mostly depends on blockchain  technology. Software can be hacked and  can have bugs. And blockchain based networks also have some vulnerabilities theoretically. For instance, 51% attack is one theoretical threat for blockchain based crypto coins.
  • Always new crypto altcoins increase much more at starts but the important thing is that we have to know or to be sure that which ones are safe  or not scams. LOS Life on Screen Cryptocurrency in short LOS Coin seems that it will rise more in 2020.

Top 10 Cryptos to Invest In March 2024

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Binance Coin (BNB)
  • Solana (SOL)
  • Ripple (XRP)
  • Dogecoin (DOGE)
  • Polkadot (DOT)
  • SHIBA INU (SHIB)
  • Cardano (ADA)
  • Avalanche (AVAX)