Kibo Ecommerce

Some Reasons To Avoid Cryptocurrencies In E-commerce!

Today cryptocurrency has become a breaking topic to discuss anywhere the current price of one Bitcoin has reached 41,189 USD, on the other hand, various payment platforms including PayPal, Square, and bid pay are now accepting payments in several cryptocurrencies including Bitcoin. Investors are putting more money in Cryptocurrency and it also become easier to trade them on an established platform. Bitcoin, Dogecoin, Litecoin, Ethereum, Ripple are some examples of cryptocurrency.

what Is Cryptocurrency And How It Works?

Cryptocurrency is a virtual or digital currency that works on blockchain technology and is designed to work as a medium of exchange online to buy goods and services and to make payments. Which was first introduced to the world by Satoshi Nakamoto in 2103.

It sounds like any other digital payment right but what makes it different from others is that it is decentralized and free from any third-party interference.  which means it is not issued in control by any government or central authority, unlike other payment systems that banks or governments handle. That’s why a cryptocurrency transaction never fails. 

You should choose the right e-commerce platform and implement cryptocurrency. But there are some reasons why you should avoid Cryptocurrency for E-commerce:

1️⃣ Volatility

While investing money in Cryptocurrency comes with the potential of high return. The Crypto market is highly volatile and you might end up experiencing a great loss as well why because the value of these coins can change widely in a short period moreover various issues like hacking can result in losses.

2️⃣ Tax implication

It is worth noting that the IRS has suggested that the virtual currency transaction are taxable by law this means if you are a taxpayer you will have to report Crypto transactions while filing your tax return however it is yet not clear how the taxpayer can report the value and what they will have to pay as taxes.

3️⃣ Data loss

Data loss results in financial loss you already know that the developer aims to create source code that is virtually untraceable impenetrable authentication and strong protocols and strong hacking defenses had made it safer to put your money in cryptocurrency however if you somehow lose your private key to the wallet, you cannot get it back.

Without the private key, your wallet will remain lock and you cannot take your coins out of it this will eventually result in financial loss and data loss.

4️⃣ No cancellation policy 

Another major drawback of cryptocurrency is that if a dispute occurs between the concerning parties the sender cannot retrieve the coins if you mistakenly send your coins to the wrong wallet address you cannot get them back.

5️⃣ Potential mismanagement

It is worth noting that every single cryptocurrency is a start-up. A team of founders is running the currency a solid founding team is required for cryptocurrency to navigate from the ico phase to mass-market levels.  If you are considering investing in crypto ico I would suggest that you ensure to look into the founding team’s background and evaluate if they have the skill sets to execute the project.

Nikki Attkisson

With over 15 years as a practicing journalist, Nikki Attkisson found herself at Powdersville Post now after working at several other publications. She is an award-winning journalist with an entrepreneurial spirit and worked as a journalist covering technology, innovation, environmental issues, politics, health etc. Nikki Attkisson has also worked on product development, content strategy, and editorial management for numerous media companies. She began her career at local news stations and worked as a reporter in national newspapers.

Share
Published by
Nikki Attkisson

Recent Posts

Apple Keto Gummies Australia Reviews: Can It Help Lose Weight Fast?

Hey Reader!! If you are someone who is exhausted with failed attempts at weight management…

10 mins ago

How Climate Change Is Making Us More Susceptible To Infectious Disease?

A new study shows that climate change has had a hand in spreading infectious diseases…

21 hours ago

How To Be More Attractive To Men? 7 Ways To Be More Feminine

You might have heard the old saying which goes ‘the passage to a man's heart…

1 day ago

Chronic Kidney Diseases: 7 Symptoms That Tell Your Kidney Is In Danger

Chronic kidney disease (CKD) is the gradual loss of kidney function over the course of…

1 day ago

Diverxin Probiotic 40++ Reviews – How Does It Help In Weight Loss?

Hello people, are you fed up with poor digestion? Ever felt like, no matter how…

1 day ago

Covid: Back-To-School, Health Experts’ Best Tips For Parents

Covid 19 pandemic has affected the world economically, emotionally, and mentally. It is essential to…

1 day ago