Why crypto (bitcoin) is better than traditional money?

[Barry Mantle]

I know about crypto and everything in general but I am having difficulty to understand one thing about it. Why crypto or bitcoin is better than money ?

I mean I know the block chain technology is revolutionary and it has many benefits, it is being used by all crypto. Money is used to buy goods and services and there are very less businesses accepting crypto and still the prices are rocket High.

This Crypto trend looks more like share market company evaluation rather a legitimate currency. Moreover all government have there own currency, goverment cannot let that sink and can ban these. Can someone explain to me the value of Crypto as a currency when compared to real money ?

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[pooya87]

First of all there is a big different between crypto (or more accurately cryptocurrency in general) and bitcoin.
What you see in cryptocurrency market (ie. thousands of altcoins) is a hyped up penny stocks market where they sell vaporware to anyone who is willing to gamble on their low prices for a big pump to make a huge profit in the shortest amount of time possible.

Bitcoin on the other hand introduced a unique concept to the meaning of "money". A concept that always had unlimited supply, was controlled and printed by the government and was centralized suddenly got expanded. Now money can have limited supply, doesn't have to be inflationary, can be decentralized and censorship resistant, can be safe and fast.
I don't like comparing things in black and white so I won't say if bitcoin is better than fiat or not. Bitcoin is a good currency, it does what it was designed to do and that's the important thing.

[Upgrade00]

Money is used to buy goods and services and there are very less businesses accepting crypto and still the prices are rocket High.

Bitcoin works quite differently from traditional payment means like fiat and as such its value is also determined differently. True, much less businesses are accepting Bitcoin (although the number is increasing) but its value is determined by the algorithm it is built on and the block chain technology, some of these qualities are listed in the above quote.

Moreover all government have there own currency, goverment cannot let that sink and can ban these.

Again, Bitcoin isn't competing with fiat currencies, both can easily co exist in a system to serve different purposes.

[masphie]

I think Crypto have more better than money.
one of the advantages is that transactions are faster than real money. Then the administrative costs are cheaper and even almost nonexistent. And maybe many more.

[mk4]

1. Bitcoin's supply cant be messed up by the government or central banks
2. True ownership — Authorities can't lock you out of your money (possible with banks and centralized payment platforms)
3. Pseudonymous — no one can find out how much money you have unless you intentionally/accidentally make privacy-related mistakes
4. Bitcoin's price is high because of the low and capped supply

[tranthidung]

• Total supply is finite and can not be changed by anyone else. It is 21 million BTC
• If you have a private key of your bitcoin address, and don't reveal it or let it leaks, no one can steal your BTC or freeze that address
• The hashrate on Bitcoin network is tremendously huge that makes it as a safest network for your transactions. If you want to choose a mean to move your capital in crypto, Bitcoin network is the best & safest.
• The number of lost BTC is a gift for Bitcoin investors. It unofficially increases the scarcity of Bitcoin, then its values. ^[1]
• Bitcoin can be used for transactions but I'd prefer to consider it as a mean for asset storage

^[1]

Lost coins only make everyone else's coins worth slightly more.  Think of it as a donation to everyone.

[acener]

For me it is better to traditional money (Fiat) because we could easily send it to anywhere we want.
We could also gain more in crypto rather than in Fiat in terms of holding both of them.
And last reason for me is it is easier to invest in crypto rather than Fiat.

[Alucard1]

The good thing about cryptocurrency is that you have the freedom on your own money, there is no need any authority when doing things on your crypto because there is no third party on it. It is not that I am not underrating crypto but fiat currency is also useful as well, actually both crypto and fiat currency are good with good purposes, these are the things that I can say good for both currency, based on how I use them.
Fiat currency is good for these things:
- easy access, you have it in your bare hands
- good for daily expenses
Cryptocurrency is good for these things:
- Investment is one of the best things about cryptocurrency for me
- Transferring of money.

[mbe48]

In my personal opinion the current development of Crypto cannot shift conventional currencies because people will still be looking for safety by investing conventionally in terms of an unchanging nominal security. However, it is possible that in the future there will be a shift in digital currencies. Remember this Crypto can change, the price fluctuates significantly. But overall, Crypto has many advantages, one of which is making long-term investments.

[ILuckyGuyI]

Bitcoin's max supply is limited which makes it much more valuable than fiat money. Because there is no such thing for fiat money. And Blockchain technology is much safer as it is decentralized. It is much harder for anyone to interfere with transactions etc. .

[Welsh]

Bitcoin certainly has its advantages over fiat currencies, although that doesn't make it better. Bitcoin unfortunately only really appeals to a certain demographic, most people don't actually care that the money system is somewhat flawed. They don't care that they have to rely on third parties in almost every instance, to use their money. Think how the majority spend their money, it comes from a bank, which has control over your money more than you actually have control. If that bank was to go bankrupt, or stolen from your only covered up to a certain amount if you live in countries which put that protection in place.

Bitcoin's key element to me is you don't have to rely on the third party to manage your money, and can effectively be your own bank. Now, that's not going to appeal to everyone because it means more responsibility, and some people would prefer to not be in charge of their own money. That's actually probably a wise decision for a lot of people, as they don't understand security practices, and don't have the desire to learn. Their job likely pays in fiat currencies, and all the shops that they will ever visit will accept their card regardless where they are in the world. Fiat currencies are convenient, while Bitcoin still remains a somewhat chore to use as a currency.

Although, Bitcoin is also quite young compared to its competitors, and there's definitely still a process of evolution in place. Fiat currencies have unfortunately not evolved much over the years, and largely remain the same.

[Sanugarid]

I know about crypto and everything in general but I am having difficulty to understand one thing about it. Why crypto or bitcoin is better than money ?

I mean I know the block chain technology is revolutionary and it has many benefits, it is being used by all crypto. Money is used to buy goods and services and there are very less businesses accepting crypto and still the prices are rocket High.

This Crypto trend looks more like share market company evaluation rather a legitimate currency. Moreover all government have there own currency, goverment cannot let that sink and can ban these. Can someone explain to me the value of Crypto as a currency when compared to real money ?

For me, BTC is on a whole different level in comparison with legitimate money used in other countries and not really a currency but rather an asset that could be exchanged in a different currency. It uses blockchain technology wherein there's no need for 3rd party when it comes to transactions but you need to pay for transaction fees. So there's no point to compare it with traditional money  since both serve a specific purposes and has different advantages.

[Lorence.xD]

It may sound biased and arrogant but I think the reason that bitcoin is better than fiat(traditional) money is that it helps you grow wealth and give you financial freedom. That's like the biggest reason for me as to why bitcoin is better than fiat money.

[riiiiising]

Among the most important functions Bitcoin has is its strong hedge against loose and irresponsible monetary policy by governments. Bitcoin comes with the strongest capital mobility of all assets in the world. Nothing is as mobile and divisible as Bitcoin is. You need your seed phrase, in a worst (/ best?) case scenario you know it by heart and could go anywhere in the world without anyone even noticing or being able to trace you and your wealth down.

Indeed, Bitcoin doesn't compete with fiat currencies in the classic sense and functionalities that we understand fiat money to be good for.

[isaac_clarke22]

~
2. True ownership — Authorities can't lock you out of your money (possible with banks and centralized payment platforms)
~

Many misinterpret this "true ownership". Just because they bought crypto in like centralized or custodial wallet, they think that they're safe already and don't need to worry about authorities locking them up while they're even doing KYC requirements just to use the services that their wallet offers. Ironic for some people sometimes.

[passwordnow]

If you're looking at it just like the typical money that we've got and if you have someone offshore to receive your money, you need a third party or the bank themselves to help you out send that money on the other side of the world. But with crypto, bitcoin as a perfect example, you don't need any of them because you can do it on your own and send that bitcoin wherever is the sender. You can do it easily and there's no complicated matter by doing it even if you're a newbie. And on the other side, bitcoin itself is being loved because it's becoming a store of value aside from being a currency.

[Rruchi man]

This topic has often been discussed here and the conclusion that has been met is that they both have their importance and uses, that is matching different scenarios, bitcoin may be better to transact with, while in some other scenerio, traditional money still holds the advantage.

The can both coexist peacefully.

[Abiky]

I know about crypto and everything in general but I am having difficulty to understand one thing about it. Why crypto or bitcoin is better than money ?

I mean I know the block chain technology is revolutionary and it has many benefits, it is being used by all crypto. Money is used to buy goods and services and there are very less businesses accepting crypto and still the prices are rocket High.

This Crypto trend looks more like share market company evaluation rather a legitimate currency. Moreover all government have there own currency, goverment cannot let that sink and can ban these. Can someone explain to me the value of Crypto as a currency when compared to real money ?

If you take a "deep look" at crypto, you'll notice that it's far superior to traditional money (aka Fiat). For instance, you can send money across borders at a fraction of the cost of a wire transfer. Not only that, but no one can confiscate (depending on the situation, of course) or freeze your crypto funds. You and only you are the sole owner of your crypto. This means that crypto is outside the reach of central banks and governments alike. In times of turmoil, you can count on finite cryptocurrencies (like Bitcoin and Litecoin) for long-term wealth preservation. Bitcoin makes a good store of value with a limited supply of 21 million coins. Its decentralized and censorship-resistant design makes it "sound money" for the whole world to enjoy.

Of course, crypto is not perfect the same way traditional money isn't. Unstable prices, higher susceptibility to hacks/theft/fraud, and even lack of merchant acceptance, makes crypto an unattractive form of money for day-to-day payments. Fiat is a winner in this regard, because it's stable and widely-adopted by merchants and businesses alike. Whichever form of money you'll choose, that's entirely up to you. Just my thoughts

[Obito]

The can both coexist peacefully.

If you were to choose between the two though, which one is going to be better? Yes, that's the objective of cryptocurrency, to coexist but OP is asking why cryptocurrency is better than fiat. To me, I believe the reason that I think that bitcoin is better than fiat is because it shields us from in inflation and the value of it only goes up over time.

[samsul1234]

I know about crypto and everything in general but I am having difficulty to understand one thing about it. Why crypto or bitcoin is better than money ?

I mean I know the block chain technology is revolutionary and it has many benefits, it is being used by all crypto. Money is used to buy goods and services and there are very less businesses accepting crypto and still the prices are rocket High.

This Crypto trend looks more like share market company evaluation rather a legitimate currency. Moreover all government have there own currency, goverment cannot let that sink and can ban these. Can someone explain to me the value of Crypto as a currency when compared to real money ?

Hello sir, I understand what you are asking, I also understand how crypto / bitcoin has been running so far, so sir crypto / bitcoin is not comparable to the value of paper currency today because crypto is a digital asset, crypto is not just currency value Cryptocurrency here has an asset, so crypto has no valid value, so in my opinion, cypto is not just a currency but more than that.