Bitcoin has been rising in popularity for years, and the bitcoin price chart has turned the tables of the trading market. The rising trend of bitcoin is due to its effectiveness as a payment method that surpasses many other trading methods. Hence, let us focus on the factors that make it stand out among the rest.
Why the bitcoin payment method?
- No third-party intervention: bitcoin is a peer-to-peer electronic cash system where traders need no middlemen to carry out transactions. It is independent of any third-party intervention from banks, government, or any other financial organization. Hence, the traders can trade freely in the network without any discrepancies.
- Best for international transactions: bitcoin method proves easy and convenient for all transactions. It is the best method available for international trades as it takes little time to carry out transactions compared to other methods.
- No extra tax: with bitcoin as a payment method, the traders need not pay any sales tax on transactions. Hence, it saves tons of money for traders and proves budget-friendly.
- Transaction fees: there are many trading methods, including standard wire transfers, that charge high transaction fees from the traders. But unlike them, the bitcoin payment method charges low transaction fees and benefits its traders in many ways.
What decides bitcoin price?
The traders might wonder about the method of calculating bitcoin price, considering the changes in the bitcoin price chart over the years. There is no hard and fast rule determining its price as it relies on an effective technology termed a blockchain. Blockchain is a decentralized record-keeping ledger that proves highly secure and time-efficient for bitcoin traders. The market and its liquidity determine the bitcoin price to a great extent.
Hence, now that the traders are acquainted.