Interesting use cases for cryptocurrency

[AgnosticBoy]

Many people question if cryptocurrencies have any real world value or use. I think one obvious way for it to have use is for people to start using it. Here's an article that details some of its uses:

1. Giving to Charity

• Diversification. Crypto opens up another donation stream for nonprofits, increasing the potential for positive fundraising outcomes.
• Increased adoption. Accepting crypto donations allows nonprofits to reach donors that may have not had a way to donate before.

Source: Blockchain.com

2. Transactions

Sending money through traditional payment rails is often expensive and slow. Using crypto for international transfers is both faster and, usually, cheaper.

Using crypto is also sometimes the only option for people who can’t access financial services like a bank, or where international transfers are restricted.

Guatemala features numerous bitcoin ATMs, where users can access their non-custodial wallets and exchange BTC for local currency, and many businesses throughout the country now accept crypto as payment.

Source: Blockchain.com

3. An alternative store of value

Crypto offers an alternative way for people to store value, especially in places where the national fiat currency may be volatile or unstable.

For people living in countries where this is common, using a tool like stablecoins makes it possible for them to hold onto monetary value, even during times of severe inflation.

This stability allows people and businesses to continue making transactions using a currency with a known value, and enables them to build wealth despite localized market conditions.

Source: Blockchain.com

4. Information and Identity management

Using blockchain technology, you can own a public address where you manage and control your data.

This technology has extended into many areas, such as online identities in Web3, healthcare and legal records, ownership of art, and of course financial transactions.

Source: Blockchain.com

5. Provides alternative financial tools

Cryptocurrency and decentralized finance (DeFi) don’t require the same infrastructure as traditional finance, such as banks, creating many opportunities for entrepreneurs to use crypto in their businesses.

Using crypto and other permissionless DeFi tools that don’t require a bank or government to work means that businesses can start and grow, even if a nation’s economy or currency can’t match that growth.

In places like Africa and Latin America, business owners are using crypto to fund daily operations and perform transactions.

Source: Blockchain.com

6. NFTs and proof of digital ownership (esp. relevant for the Metaverse?! Just watch Ready Player One)

An NFT is a digital smart contract that represents a real item of value, whether digital or physical. Each NFT has its own individual history that can be traced back to the original owner, and they offer numerous benefits:

• They help prove the authenticity of digital assets and ownership.
• Artists can sell their work directly to fans without intermediaries.
• They can be used to represent real-world assets.
• NFTs can be used to create a real digital identity.

NFTs can be used in many industries, including art, gaming, fashion, logistics and events. They can be used for collectibles, managing data, or accessing unique benefits.

Source: Blockchain.com

7. A future use case - Artificial Intelligence using cryptocurrency (mainly Bitcoin)

In an essay published on Thursday, Hayes outlined why Bitcoin will be “chosen by AIs” as the most logical money with which to calculate their economic decisions, and the best payment rail with which to carry them out.

For starters, AI will necessarily require a payment system that is “available at all times, digital, and completely automated.” That’s because it must constantly be able to pay for two critical forms of “food”—data and compute power—in order to “stay alive.”

According to Hayes, the “balkanised,” analogue banking sector cannot provide this sort of 24/7 service, but a blockchain-based system can.

Source: Decrypt