Vitalik Buterin expressed his opinion on the potential of cryptocurrencies
Vitalik Buterin stated that despite cryptocurrency's spread and growing popularity, crypto payments are still undervalued in the international market. He thinks digital assets outperform fiat in such areas as donations to charities, global payments, and transactions within a country.
“People continue to underrate how often cryptocurrency payments are superior not even because of censorship resistance but just because they’re so much more convenient,” Buterin wrote on his Twitter page.
It is worth noting that despite Buterin’s tweets, there is a growing public interest in crypto payments today. Transactions of fiat currencies are often time-consuming and require additional costs. At the same time, transactions with cryptocurrency are much faster, and they preserve the user’s anonymity.
As for the convenience of digital assets in the humanitarian sector and charity, assistance to Ukraine from the global cryptocurrency community can serve as a good example. After Russia’s invasion of Ukraine began, more than $55 million of aid in various cryptocurrencies came to the accounts of the state cryptocurrency fund in a few days.
Nevertheless, cryptocurrency transactions have a disadvantage. Many countries are now actively engaged in regulating the crypto space, and no one knows how the industry will react to government intervention and whether it will affect its functioning.
In addition, it is important to mention that the volatility of cryptocurrencies is much higher than that of fiat, so the prices of the assets are unstable. Some people perceive this as a risk factor that should be considered when using cryptocurrencies as a payment method.
