Introduction

Hello Steemians!
It is another beautiful day again. The week 2 of the steemit engagement challenge had been going on well and many users are engaging here and there. I am happy to be taking part in the contest as well. My name is Kehinde Micheal and my username is @msquaretwins here on this great platform. In this article, I am going to be discussing about cryptocurrency adoption, how it has shaped businesses and some pro and cons of cryptocurrency. Happy reading!

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What is Cryptocurrency?

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Cryptocurrency is a word formed from "cryptography" and "currency" Crypto + currency = cryptocurrency. Currency, like dollar, Naira, Euro etc are physical currency used in exchange of value, but cryptocurrency is a virtual or digital currency which is cryptography in nature used for the exchange of value on the internet.

The first cryptocurrency is Bitcoin and it is regarded as the father of cryptocurrency. Cryptocurrency are build on Blockchain and this make it secure, fast in transaction and decentralized in nature. Currency is centralized in nature, meaning that government has control on how it is spent or distributed. Cryptocurrency on the other hand is decentralized. Meaning that, it is not controlled by any government, institution or bank.

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Discuss the adoption of cryptocurrency in the financial market and how businesses can be boosted through cryptocurrency transactions.

The first cryptocurrency was birthed in 2006 by anonymous person who popularly named Satoshi Nakamato. The first cryptocurrency being Bitcoin was secured by cryptography and was built on Blockchain. At first, businesses and organization do not adopt the use of cryptocurrency. But individuals from different countries of the world kept on adopting and accumulating Bitcoin.

In few months of creation, Bitcoin recorded success so much from individuals and users. And that gave rise to the creation of other cryptocurrencies. As more cryptocurrencies began to unfold in the crypto market, more people and business owners gets to know more about cryptocurrency.

The creation of Ethereum and some other cryptocurrencies that give more room for the use of cryptocurrency in business world preached the need for businesses and organization to adopt cryptocurrency. As a result, more businesses, organization and institutions began to adopt the use of cryptocurrency and Blockchain.

Cryptocurrency helps to boost business through crypto transaction because they present easy and fast means of transaction. Cryptocurrency helps the business transaction especially businesses that are not in the vicinity where buyers can relate with the sellers directly. For businesses that need international customers, doing business transaction can be costly with local currency, but cryptocurrency will reduce the cost since additional fee will not be needed. Hence, this will not make the product to be expensive, and in turns reach many customers at an affordable price.

Another way cryptocurrency boost businesses is the easy with which they can be used for transactions. More so, it allows the business to accepts payment from every part of the globe.

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What is your opinion on cryptocurrency being accepted globally for our day-to-day transactions.

The adoption of cryptocurrency globally, to me, it will have both positive effects and negative effect. In the next pharagraph, I am going to be talking about my opinion of adoption and the effects it may have.

The positive effects of global adoption are;
Increase global transaction: I believe that the global adoption of cryptocurrency will increase the global transaction, and so it will increase transaction between the country of the world.

Fast transaction: Global adoption of cryptocurrency will also bring about fast transaction. Cryptocurrency transaction is very fast and realiable unlike transaction done with local currency. The transaction done with local currency especially from one country to another takes time. I can remember some global transaction sent to me some years back. The transaction has to be wired to an institutional agency and then the institution sent it to my account. The crypto currency transaction on the other hand does not take time.

No third party: Another benefit that global adoption of cryptocurreny will bring is the elimination of third party in transaction. Like the example I sighted in the previous point, there will no be party as in the case of local currency.

Below are some of the negative effect that global adoption of cryptocurrency may bring.

Fraudulent Activities: Cryptocurrency is not controlled by an bank, government or institution, and as such, there will no be any trace of stealing or fraudulent activities. Therefore, it may increase the fraudulent activities and many scammers may hide with the use of cryptocurrency.

Difficult to use by Those who don't have Crypto Knowledge: Another issue that may arise here is that those who don't have knowledge of cryptocurrency may find it difficult to interact with cryptocurrency. As such, they may be vulnerable to attack if they even try to adopt it.

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Do you think the high volatile nature of the crypto market is a concern to business owners? Discuss.

My answer to this question is Yes. The high volatility of cryptocurrency market is a very big concern to business owners. Looking at the volatile nature of cryptocurrency, an asset selling at $2 now may fall to say $0.8 in the next few minutes. Business owners who have their capital in such a cryptocurrency will be concerned about the fall of the crypto.

However, this does not really affect business owners who do not literally involved in crypto investment. Business owner can have their capital saved using stable cryptocurrency like USDT, BUSD etc. The stable cryptocurrency does not increase or fall anyhow like volatile crypto. Keeping their capital using stable coin will lessen or reduce their worries.

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What other factors are currently limiting the adoption of cryptocurrency and how can this be solved?

There are many factors that are affecting or limiting the adoption of cryptocurrency. Some of these factors are highlighted and discussed below.

Government: One of the major factor limiting the adoption of cryptocurrency is government. Cryptocurrency is a decentralized currency that is not controlled by any government or bank. Hence, government does not want to adopt what they have no control over. And since government has no control over cryptocurrency, they are trying as much as possible to discontinue the use of cryptocurrency.

The way forward of getting government involved in cryptocurrency may be coming into an agreement with government to see how the use of crypto can benefit not only the citizens but also the government. For example, the US government has a way they deduct taxes on people using cryptocurrency as a means of business transaction. If this can be done in some other countries, I think it will help in the adoption of cryptocurrency.

Ignorance: Another factor that is limiting the adoption of cryptocurrency is ignorance. Many people don't know how cryptocurrency works. Many people think yahoo yahoo(online fraudulent) when they hear cryptocurrency. As still remember the look of people a times when they ask us what do we do and we tell them blogging on cryptocurrency Blockchain. Many people will be like.... In fact, if you want to rent an apartment and you tell some landlord that this is what you do, they will not rent their house for you, because many believe cryptocurrency is online fraudulent.

The only way out of ignorance is education. There should be cryptocurrency sensitization. To let people know the difference between cryptocurrency and online fraudulent. Making them know that cryptocurrency is entire different from online fraudulent will go a long way.

Fear: Fear also constitute the limiting factor of cryptocurrency adoption. Many people are afraid of cryptocurrencies due to their volatile nature. Hence, they prefer transaction done with their local currency to cryptocurrency.

The way forward here is that, they should be educated that they don't necessary need to keep their asset in volatile cryptocurrency. They can keep their asset by using stable coin.

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Discuss the Pros and Cons of cryptocurrency adoption by business owners.

The adoption of cryptocurrency by business owners has it own advantages and disadvantages. Below are pros and cons of cryptocurrency adoption by business owners.

Pros

• Lower transaction: cryptocurrency reduces transaction fee when adopted for business. For instance, business that deals with international customers will have to pay for external and additional fee when dealing with the customer with local currency. Hence, this often increases the cost of the products, which directly affect the number of customers who will be willing to buy a product. But in the case of cryptocurrency, no extra cost is needed.

• It boost Sales Another advantage of cryptocurrency adoption by business owners is that it increases the sales. This is because cryptocurrency has capacity to open opportunity for international buyers to interact with product.

• Fast and Quick ransaction: Cryptocurrency has an ability to process transaction very fast and quick. Apart from fast transaction in cryptocurrency, there is also processing of multiple transaction in just few seconds. This is not so for local currency.

• Security: All cryptocurrency is built on Blockchain, and this makes it possible to be free from the attack. Hence, business transaction done with cryptocurrency is secured and free from attack.

• Elimination of Third Party: cryptocurrency is not controlled by bank, organization or government. Hence, users and business owner do not need the help of third party to transact. This however cuts out or rule out the processing fee that third party charges acting as third party.

Cons

• Fear of Market Volatility: One of the major disadvantages of adopting cryptocurrency as a business owner is fear. Fear of the cryptocurrency volatility may kill the business owners if they have not manage to control their emotion.

• It is Possible to Lose your Money Another disadvantage of cryptocurrency is that customers can lose their money when transacting. Cryptocurrency address will not tell you the address is incorrect, neither will you see the name of the person you want to send your crypto or asset to. So if the address is incorrect and customer send the money to it, he won't be able to recover it.

• Business may not protected: Cryptocurrency is not controlled by government or any institution, hence the business may not be protected.

• Loss of Data equals loss of money: Another big disadvantage of cryptocurrency is business transaction is loss of data that equals loss of money. In cryptocurrency, if user loss his or her data, it means he or she has loss his money.

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Conclusion

In this post I have briefly explained what cryptocurrency is and discussed the adoption of cryptocurrency and how it can help boost the businesses. More so, I put down my opinion about the global adoption of cryptocurrency and some factors limiting the adoption of cryptocurrency in the world. I hope you find this article interesting. Thank you for reading my article.

I therefore invite @marajah, @jueco, @steemdoctor1, @beautybb, @ijelady @focusnow, and @ngoenyin to take part in this contest.