1. Introduction
1) Hook: The comparison of the cryptocurrency and the physical currency has been a topic of interest in the recent times.
2) Research Question: What are the significant differences between cryptocurrency and physical currency that would guide the businesses to choose one over the other in their transactions? Which is the best type of currency in the modern business environment?
3) Thesis Statement: The trend of transactions in different markets is changing rapidly. The primary factor that has influenced the change in market transactions is the advantages and disadvantages of the two currencies. Thus, it is essential to understand the critical differences between cryptocurrency and physical currency.
2. Body Paragraphs*
Context …show more content…
Another significant disadvantage of cryptocurrencies is that its value is highly volatile and it does not have an inherent value (Boukhalfa, 2017). The prices of Bitcoins in the market keeps on fluctuating and this keeps off willing investors. Lastly, cryptocurrency transactions are not adequately controlled which can result in increased risks of investing in this technology. The anonymity of the people making transaction using Bit-coins has provided drug dealers and other counterfeit traders such as drug dealers to transact illegal businesses (Russolillo, …show more content…
Physical currency is the cheapest media of exchange. Unlike the cryptocurrencies, physical currency has a more stable value, and they can be easily regulated and managed (Tolar, 2016). Thus, it is more secure to invest with. The quantity of physical money can be increased or decreased by the government at will which makes it more elastic (Thibodeuax, 2010).
Disadvantages of physical currency
Physical money can only be used within the borders of a given country or an economic region. Thus, it is not suitable for making international transactions (Thibodeuax, 2010). Another disadvantage of physical currency is that it can easily get damaged by fire and water, or it may be eaten up by ants and rats thus easy to lose (Tolar, 2016). Lastly, Physical currency is easy to print and issue in times of economic difficulties. This may result in inflation, and the currency loses its value in the market (Davidson, 2016).
3. My Argument
1) Hook: The comparison of the cryptocurrency and the physical currency has been a topic of interest in the recent times.
2) Research Question: What are the significant differences between cryptocurrency and physical currency that would guide the businesses to choose one over the other in their transactions? Which is the best type of currency in the modern business environment?
3) Thesis Statement: The trend of transactions in different markets is changing rapidly. The primary factor that has influenced the change in market transactions is the advantages and disadvantages of the two currencies. Thus, it is essential to understand the critical differences between cryptocurrency and physical currency.
2. Body Paragraphs*
Context …show more content…
Another significant disadvantage of cryptocurrencies is that its value is highly volatile and it does not have an inherent value (Boukhalfa, 2017). The prices of Bitcoins in the market keeps on fluctuating and this keeps off willing investors. Lastly, cryptocurrency transactions are not adequately controlled which can result in increased risks of investing in this technology. The anonymity of the people making transaction using Bit-coins has provided drug dealers and other counterfeit traders such as drug dealers to transact illegal businesses (Russolillo, …show more content…
Physical currency is the cheapest media of exchange. Unlike the cryptocurrencies, physical currency has a more stable value, and they can be easily regulated and managed (Tolar, 2016). Thus, it is more secure to invest with. The quantity of physical money can be increased or decreased by the government at will which makes it more elastic (Thibodeuax, 2010).
Disadvantages of physical currency
Physical money can only be used within the borders of a given country or an economic region. Thus, it is not suitable for making international transactions (Thibodeuax, 2010). Another disadvantage of physical currency is that it can easily get damaged by fire and water, or it may be eaten up by ants and rats thus easy to lose (Tolar, 2016). Lastly, Physical currency is easy to print and issue in times of economic difficulties. This may result in inflation, and the currency loses its value in the market (Davidson, 2016).
3. My Argument