Is virtual currency a good investment?
Investing in crypto assets is risky but also potentially extremely profitable. Cryptocurrency is a good investment if you want to gain direct exposure to the demand for digital currency, while a safer but potentially less lucrative alternative is to buy the stocks of companies with exposure to cryptocurrency.
Why electronic money is better than cash?
In other words, consumers in Indonesia adopt e-money if they feel that e-money makes their activities easier, saves time, provides discounts or promotions, is more efficient than using cash, debit/credit cards, easy to find top- up places, and can be used anywhere (Miliani et al., 2013).
Why do virtual currencies fluctuate?
As a result of its unregulated nature, a virtual currency can experience extensive price fluctuations. Virtual currency is a type of unregulated digital currency that is not issued or controlled by a central bank. Examples include Bitcoin, Litecoin, and XRP. Virtual currency can be either centralized or decentralized.
What is the difference between digital currency and virtual currency?
Virtual currency is a subset of digital currency, and cryptocurrency is a subset of virtual currency. Digital currency can be either regulated or unregulated. A regulated digital currency is issued by a country’s central bank and can be denominated to a sovereign currency.
What are the benefits of virtual currencies for small businesses?
And since virtual currencies let customers send funds as easily as email, online shopping would turn into a much smoother process. Digital currency could also allow small businesses in developing countries to engage more in global e-commerce.
Is it safe to invest in digital currency?
However, just be careful with your choice of investment in any digital currency. Since the virtual currency is new and the governments still don’t have any laws and regulations over any digital currencies, there is a big chance and risk that will be subject to tax and transactions limitation in the future.