We are all aware of the well-known reasons for using cryptocurrencies, such as lower transaction fees, faster payments, increased security and privacy, as well as the accessibility to anyone with a smartphone and the huge investment and profit opportunities. However, there are many not so well known advantages to using cryptocurrencies such as Dagcoin.
One of the most frustrating problems for business owners is chargebacks. These are when a customer buys a product or service from a company but requests their bank to return this money to them. This can be for legitimate reasons like the product never arriving, having never purchased the product or this being purchased fraudulently. This is why banks and credit card holders offer this option to request a chargeback or dispute the transaction.
The frustration with chargebacks for businesses can be explained with an example. In the loan provider business, clients would be sent a loan to their bank account and would repay again from the same account. However, some individuals would repay their loans and then request a chargeback through their bank. Their bank then taking the repayment back from the business’ account. It could take many days or weeks to realise there had been a chargeback. And by the time it had been spotted often the clients were not contactable any longer and had received a loan for nothing. Very often many hundreds or thousands of Euros were lost.
The great thing about cryptocurrencies, such as Dagcoin, is that a chargeback is not possible as the wallets only allow you to transfer from one wallet to another. In turn, there is no legislation in any country regarding making chargebacks an option for cryptocurrencies in at least the near future (that we are aware of).
No Identity Theft
In 2017, around 6% of people in the US were victims of identity theft. The staggering part of this is that 6% is over 16 million people or 1 in 15 of the population. In total nearly $17 billion was stolen in 2017.
Whether you are filing up at your local gas station, grabbing a quick coffee at the café across the street or shopping online it is possible for your bank or credit card details to be stolen in a number of ways.
One way this can be done if you go to any kind of shop or eatery in person is if you completely hand over your card to another person. Either they can copy these details and then use or sell them. Or it can be done very quickly by swiping your card through a little machine that could be hidden in an apron, under the counter or elsewhere. This is one reason banks say never to completely hand over your card to anyone.
If you are shopping online because you give all your bank details to a company these can either be used by the company or an employee fraudulently or if their website or data systems are not secure, stolen by hackers.
With cryptocurrencies, even if someone steals your phone, they will not be able to access your Dagwallet or any other wallet without knowing your password. Also if you lose your physical wallet it takes many days or weeks to get all your cards back. With a digital wallet, all you need is a new phone and you can get your crypto wallet back straight away.
A lot of people all around the world are eagerly awaiting the end of the month or the end of the week to get paid. Sometimes the wages are due to be paid on a Friday. Either the accountant says the wages have already been paid by the company or a client says they have made the transfer. Only for the end of the bank day to pass and no money to arrive in your account. Then sitting there knowing that you won’t get it until Monday morning at the earliest.
For those living in very rural areas or developing countries access to banks in person or ATMs can also be very hard. With cryptocurrencies, all you need is a mobile phone with internet access and you will receive the funds instantly no matter the date and time.
I am sure many of you have been in positions where you haven’t been able to use your debit or credit card because your bank has put a block on it, suspects fraudulent activity or was unaware of your trip abroad or to another part of the country. You bank may also call or ask you to come and see them in person to discuss certain transactions you have made.
With cryptocurrencies like Dagcoin, this will never happen. You will always be able to use your money wherever you go and for whatever you want. Knowing that not only is every transaction completely safe, but that you will never be asked any awkward questions about where money is coming from or having to tell them beforehand that you are going on holiday.
For example, thanks to the dag-based system, everyone, including businesses, can track their money digitally. This isn’t just the movement of the money from one wallet to another, but a clear and detailed record of all transactions.
As a result, anyone who uses Dagcoin can use these records as a functional credit history, which is necessary when applying for a loan or mortgage. This allows dags to be used much more like regular money than other cryptocurrencies.
There are many well-known reasons for using cryptocurrencies, like faster payments and lower fees. However, there are many other great reasons to use them. Today we have given you the following 5 great reasons:
No chargebacks – never worry about lost stock or money as a result of customer chargebacks.
No identity theft – even if your phone is stolen, they don’t know the password to you cryptowallet.
Anywhere, anytime – you never have to worry about bank opening times again as wherever you are and whatever time, your money will always arrive in a matter of seconds.
No questions – you never have to worry about your bank blocking your card while you are on holiday or having to answer awkward questions about where some money has come from.
Transaction History – with Dagcoin your transaction history is kept and like a regular bank account can be used as part of your credit history when applying for finance.
Nils Grossberg is an entrepreneur from Tartu, Estonia. Nils Grossberg graduated from the University of Tartu with a bachelor’s degree in History. He is the co-founder and former CEO of Dagcoin OÜ, the software company behind the development of Dagcoin cryptocurrency and its ecosystem.