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First, however, it is useful to back up a step. Bitcoin and other digital currencies have been touted as alternatives to fiat money.
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Janet Berry-Johnson is a CPA with 10 years of experience in public accounting and writes about income taxes and small business accounting for companies such as Forbes and Credit Karma. Article Reviewed on October 28, Janet Berry-Johnson Updated November 16, Bitcoin is a decentralized cryptocurrency that uses peer-to-peer technology for instant payments between people or businesses. It can be bought and used as a currency and also is a type of investment.
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Swati Goyal The fact that some people, nowadays, transact through electronic money continues to affirm suggestions that cryptocurrencies could be the currencies of the future. However, it will take some time before they find their way into the mainstream sector, given the strong opposition from regulators around the world. Even as the world moves towards a cashless society, very few people have an idea of how different cryptocurrencies are from fiat currencies.
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Bitcoin seeks to undermine the traditional way of dealing with money, so Bitcoin versus traditional money is a natural opposition. This article outlines the main differences between the two. Traits of money Over the history of humanity, money took many forms. There was barter, physical objects like rocks or shells, precious metals, bank notes, paper bills, digital money, and finally decentralized digital currencies like Bitcoin.
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