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Benefits Of Paying With Cryptocurrency In New Zealand

by Gloria Louden
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In New Zealand, 1.76% of the total population, i.e., 85,005 individuals, are invested in crypto trading. Bitcoin is gaining popularity everywhere globally, and New Zealanders aren’t behind. Though crypto trading is not legal in the country yet, some businesses have already started accepting it as a payment method. Bitcoin will get more recognition in the upcoming years and hopefully be legal in New Zealand.

If you are a crypto owner, doing transactions with Bitcoin can be more beneficial for you than the New Zealand dollar. You can trade with a business that accepts bitcoin in NZ and enjoy all the benefits.

Five benefits of paying with Bitcoin

• International use and affordable fees

Cryptocurrencies have no borders; you can use them anywhere in the world. International transaction fees can be very high when using fiat currencies. Trading with Bitcoin is fast and affordable; compared to traditional currencies, cryptocurrencies have low transaction costs, and you can make payments immediately worldwide.

• No banking fees

Fiat currency exchanges generally charge “maker” and “taker” fees, along with occasional deposit and withdrawal fees. Banks in New Zealand set a minimum fee of 5$ every month; however, cryptocurrency users do not need to pay the standard banking fees with fiat currencies. It saves you from account maintenance fees, overdraft fees, minimum balance fees, returned deposits, etc.

• No intermediary in trading

There is no intermediary involved when you trade in cryptocurrencies; the transaction is between two people. So you own the crypto coins and are solely responsible for managing them. All you need is the password/passphrase of your digital wallet to make a trade.

In comparison, the money you put into a bank account doesn’t belong to you legally per se. When you deposit money in a bank account, you become a bank creditor, and the bank manages your money.

The bank acts as an intermediary between you and a third party in all transactions with your deposit money. You rely on the bank to carry out the trade or transfer as required.

In cryptocurrency transactions such as Bitcoin, the trade occurs between two people; in other words, it is a peer-to-peer transaction. It is immediate without the involvement of a bank or a third party.

• Mobile payments

According to various reports, in New Zealand, contactless payments grew by 62% from 2018 to 2020, making up 39% of total card transactions by 2020.

As digital transactions increase in popularity, people have switched to Bitcoin because of lower transaction fees. So if a business that accept bitcoin in NZ is present, you can use your digital wallet to make payment conveniently.

Like other online payments, you can pay with Bitcoin from anywhere if you have a digital account and access to the internet. It eliminates your need to visit the bank or a store to purchase a product. Moreover, you don’t need to provide your personal information to complete any transaction, as you do with New Zealand banks.

• Secure payments

A government backs fiat money, whereas cryptocurrency is an encrypted code trusted by a peer-to-peer network. Therefore, the phrase “trust the code” is of everyday use in cryptocurrency.

In addition to more people using the specific blockchain, more security measures or better encryption are built into the code, leading to greater confidence in the code. To measure the trust of that blockchain, one can check the history or duration of a blockchain.

Conclusion

Since Bitcoin is available using only a smartphone or computer, it is theoretically accessible to many individuals who do not use traditional banking systems, credit cards, or other payment options.

Payments with Bitcoin are user-friendly, safe, and accessible. Various businesses in New Zealand and the rest of the world are evolving using the technology and accepting it. Bitcoin will surely be the future currency if it gets recognition worldwide.

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