While some of the techno gadgets such as Smartphones, Go Pro, Drones diffusion in the Maldives market is extremely fast, it takes longer to absorb economic and technical advances which are non-tangible. According to NPR, if you had bought $1000 worth of Bitcoin in 2010, that investment would be worth $20 million today. That is a perfect example of what innovation in finance can do. BITCOINS are the talk of the town and some believe it’s here to stay.
- Bitcoin is the world’s first decentralized money where no middlemen or authority such as banks involved during transaction. It is a directly paid peer to peer payment network. This might threaten the traditional banking system due to no bank charges, fees or commissions. A futuristic option for companies to make faster, safer payment method for Maldivian companies when dealing with international suppliers.
- Bitcoin is now recognized and accepted by many merchants as an acceptable payment method for goods and services. Alternative to cash, bank payment or PayPal. Bitcoin payments cannot be blocked or Bitcoin wallets cannot be frozen. This can be alarming for authorities when it comes to restricting malpractices.
- Bitcoins are impossible to counterfeit or inflate. This means the currency is much safer and it will attract more stakeholders in the years to come. Bitcoin is not anonymous but there is tumbling to avoid tracking back the origin of the currency. However, transaction will be recorded both permanently and publicly. This can be an encouraging factor to NGO’s, not for Profits, public services in the Maldives to maintain transparency.
- Bitcoin transactions cannot be reversed. Also it cannot be refunded. Bitcoin transactions must be confirmed at least once but preferably 6+ times before it has happened and becomes irreversible. Therefore, Bitcoin encourages transactions with trustable entities only. This will be a good opportunity for reputed companies and brands.
- Tourism industry is in the lead to explore the possibilities of Bitcoin. Countries such as Thailand who went on to ban Bitcoin now adopts and encourages the same. Mainly to win consumer trust and avoid credit card fraud. We may see Maldives Resorts, Guest houses and other suppliers holding “WE ACCEPT BITCOIN PAYMENTS” just as it says for MASTER and VISA cards now.
Apart from all the positive buzz there are some negative aspects of BITCOINS as well. Some may consider Bitcoins to black money, it can be used for illegal activities, unable to recover lost or stolen Bitcoins and most importantly the value may fluctuate intensely where one day it can be in the higher end and next day the lowest.
Full details are available at the link below: