Even with all the promises of a steady technology and mode of payment using cryptocurrency in fashion transactions, drawbacks are also present and need attention. It is common for every widespread change to suffer disadvantages as the world is still in the process of full approval.
Cryptocurrency is taking over major sectors of the world’s businesses. Because of this progress, many major companies are endorsing these digital coins in their transactions. This way, customers can buy using cryptocurrencies in the place of money.
According to artisanmarket.org, cryptocurrency and Blockchain technology have improved the entire industry’s operations from laborers to consumers. But, what are the challenges they are facing as well?
Not all fashion stores use digital coins mode of payments like cryptoswag.org. Buying cryptocurrency is a safer and convenient move for the benefit of the seller and customer. However, not all stores are embracing the idea even after prove.
This makes it a challenge for most consumers as they would like to trade using their digital coins. Besides, the benefits are too many to consider the idea in all aspects.
Scaling is another primary concern with cryptocurrency. This is because people are switching to use cryptocurrency because of the limited number of transactions daily compared to VISA.
Still, the speed of transactions is also not as fast as what VISA and MasterCard are offering to their customers. This means that the cryptocurrency infrastructure needs upgrading to outmatch these payment giants and win more clients.
Such an evolution is complex and challenging to do seamlessly. However, others have already suggested solutions such as lightning networks, sharding, and wagering to win over the scalability issue.
Because it is a digital technology, cryptocurrency is prone to hacking and failed cybersecurity. Besides, there are proven theft cases of millions of dollars due to breaches in the cryptocurrency network.
Solving this will require unceasing maintenance of security infrastructure. However, experts are dealing with improving security issues better than those in the traditional banking industries. It would be best for all types of cryptocurrency to adopt the recommended technology for assurance of safety online.
Lack of Innate Value
Price instability, tied to a lack of innate value, is also a fundamental problem. It is a significant worry for customers, but possible to overcome it by involving the cryptocurrency value with tangible and intangible assets like trades in diamonds or energy by-products. Increased approval should also increase consumer confidence and decrease this instability, making you shop without worrying about prices changing every time.
Lack of Regulation
Because cryptocurrency lacks regulation and control, it is a matter of concern for most clients to approve using it. Cryptocurrency uses a system that is devolved; hence it’s a master of its own. This states that not any government or bank can regulate the transactions done through cryptos. Many people will find it hard to want dealings with something they can’t link to prominent grounds as it shows instability and can stop anytime, even in the middle of your purchase.
Going by the several benefits compared to drawbacks, cryptocurrency is here to stay and ensure your shopping experience is better.