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WHAT IS CRYPTO USEFUL FOR?

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olaspecial
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2 years agoSteemit6 min read

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Crypto is going through a lot of things right now. There is more to the problem crypto is facing and it is not about the code of crypto because the code of crypto is actually working as expected. What has been the problem about crypto is all about its use case because some people are having questions about the problem crypto can actually solve. These forks will like to know what problem crypto can actually solve that creates real value. In recent years, we have a lot of crypto project all over the internet that has failed woefully but some gurus are still saying that we are still early in it. On the other hand, someone still wants to know the actual use case of crypto

Back in 2008 when the original Bitcoin white paper came out, it was stated there that Bitcoin will be used for peer-to-peer transactions. It is already 14 long years yet Bitcoin is still struggling to be accepted as a means of payment by some people. Some people still use the traditional way and mobile banking for their transactions. The reason why some people still use the traditional ways for their transactions is not hidden at all and it is because the transaction fee for Bitcoin is very high. The developer Bitcoin is working really hard to solve the problem of Bitcoin's high transaction fee with the lighting network.

VOLATILITY

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Although the developer of Bitcoin is working really hard to solve the problem of high transaction fees with a light network, even though the manager solves the problem, there is still a problem. of volatility. Imagine you are running an e-commerce business and you accept Bitcoin as payment. If the customers are paying you with Bitcoin and the price of Bitcoin is going up, it is an advantage for you. If you have a refund option, smart customers can trick you by asking for a refund when the price of Bitcoin goes up. This is one of the reasons why some online don't want to deal with this.

It is obvious that the price of Bitcoin has actually Skyrock over the year but the number of people using Bitcoin as a currency has not sky rock. The big question is, what is drive the value of Bitcoin? Since they create Bitcoin, many people thought of Bitcoin as a store of value not until this year because some people think Bitcoin should resist the high inflation rate that is going on caused by the government printing more money.

It seems like some people buying Bitcoin don't know its objective, they are just buying it based on speculation. People just buying some assets because of the low-interest rate but as the government has increased the interest rate, many started pulling their assets from crypto causing Bitcoin to fall. Some of you might wonder if Bitcoin can be used to send money easily because of its high transaction fee or protect against inflation what is good? Well, Bitcoin is actually good for protection against government seizure. You know that government can decide to seize your money if they want. You can store your asset in Bitcoin if feel the government could your asset.

NFT

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You should know that Bitcoin is not the only big topic in this crypto ecosystem, NTF is also a big topic use need to talk about. Some people can just say that NFT is useless but they need to understand what NFT is all about before writing it off. If you don't know already, I will like you to know that NFT is just something that tracks the original owner of a digital asset. Of course, anybody could copy that digital asset but it is the code of the original asset that makes the difference. The lover of art loves the original version of art.

Although there are a lot of things going on in the NFT market and the market was doing, it has its own problem. You should know the entire art industry is worth about $65 billion but is surprising for us to see the NFTs market worth $15 billion in just two years. It is very obvious that many people are just going into the NFT world base on speculation and they are hoping to 10x the money. Of course, many of those speculators were successful last year but is a different story this year. The NFTs market is actually suffering right now, it still doesn't think NFTs are useless.

The are many digital artists out here but there are money many great digital artists out there. In the world of art, history is a very important thing to consider. The Mona Lisa is over five hundred years whole, this is what made it very valuable. You should know that most NFTs just save the link to their NFz is a specific server but if that server is short down, you person might end up owning nothing no matter how expensive the NFTs are. Although the idea behind NFTs is great, I still think have some flaws. The visual display of an NFT might be different base on where the user viewed it because you can look at an NFT on Opensea and look the some NFT image on Rarable, it will bring different things. There are where features of NFT that make it very interesting and it is that the original creator of the NFT can get Royalty every time the NFT is sold. But that doesn't work always because a very valuable art doesn't get sold always.

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Art collecting is very good but it is just not popular because many people out there are only interested in how buying, houses, cars, and entertainment. The NFT promoters know this, that is why they are trying to convince people that it is not just an art but a utility that token grand some special privileges that don't exist. I think NFTs can protect against big tech companies over and they can also solve the problem of getting members of your community to prove. With NFT every member of the community can join your special tutorial with their token. Although YouTube and Twitter are considered to add NFT to the feature it is very limited because, with Twitter, people can only use NFT on their profile picture.

Using blockchain is very important because even tech companies can not control the legal. Tech companies can manipulate things because they are there to make a profit. Some tech companies are doing well and are very valuable because no one wants more from one platform to another. If they do that, they have to start all over again, and building an audience is very difficult but crypto can solve the problem of a cold start. No doubt that a blockchain is a new form of a database but some forks may still relate to its use case. In the future, many interesting projects will be developed.

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