The whole concept of digital currencies is relatively new and people are still adapting to this new financial means of carrying out transactions and payments. However, as compared to other digital currencies, Ethercash does hold some advantages that the other ones’ lack. Since you are dealing with your money here, you should clearly understand the benefits and risks involved with your choice. Ethercash, however, has many advantages and possibilities to offer. Let’s first learn more about what it actually is.
What Is Ethercash?
Ethercash is basically a decentralized, peer-to-peer, "cryptocurrency" system which allows users to process transactions online through digital units known as the Ethercashs. It came into existence in 2009. Since then, it has generated plenty of interest and controversy after being called as a "third" type of currency. It could also be considered as an alternative to government flat currencies like the U.S. dollar or the euro or pure commodity currencies like gold or silver coins. The payments through Ethercash are processed on a private network of computers that are linked through a shared program. There is a “blockchain” that records each transaction simultaneously on each computer that updates and informs all accounts. Ethercashs can be purchased with the help of user’s fiat currency or they can also be "mined" by a computer through a process of solving increasingly complex mathematical algorithms. They can then be stored and managed by placing them in a "Ethercash wallet" that is accessed through a smartphone or computer.
The various advantages that the Ethercash has to offer to us are as follows.
- Anonymity of the User
Any purchases or transfer through Ethercash is never associated with his personal identity, much like cash-only purchases, and cannot be traced back to him. All the purchases are discrete. They cannot publish a user’s Ethercash transactions unless the user wants it to. An anonymous Ethercash address is generated for user purchases which change with each transaction.
- No Involvement of Third-parties
This could one of the best benefits of Ethercash. Any kind of government, bank and other financial intermediary is not involved when it comes to Ethercash exchanges and payments. They cannot interrupt user transactions or place freezes on Ethercash accounts. The whole system is completely peer-to-peer so that the user can experience a greater degree of freedom than with the traditional currencies.
- No taxation on purchases
The third parties are out of the scene here. Therefore, none of them can identify, track or intercept transactions made through Ethercashs. As a result, no sales taxes are applicable on any of the purchases.
- Very Low Transaction Fees
Traditional bank wire transfers and foreign purchases impose a lot of fees and exchange costs. But the Ethercash transactions do not have any third parties involved, and therefore, the costs of transacting are kept very low. This thing can be seen to benefit the travellers the most. All of the inconvenience of typical authorization requirements and wait periods can be clearly eliminated when transactions are done with Ethercashs.
- Mobile Payments
Like with many online payment systems, Ethercash users can pay for their coins anywhere they have Internet access. This means that purchasers never have to travel to a bank or a store to buy a product. However, unlike online payments made with U.S. bank accounts or credit cards, personal information is not necessary to complete any transaction.
- Irreversible Transactions
As is known to the existing merchants, on accepting credit card payments, or even bank payments the sender has this ability to reverse or “chargeback” the payment. Things like these lead to cases when the product is sent to the customer and the payment is reversed to inform the sender that he has been cheated and nothing can now be done about it. However, with Ethercash, this is out of the way. It is the only payment method that is 100% irreversible and you cannot charge it back anyhow.
- No Paperwork
There is absolutely no paperwork involved here. No need of any ID card, passport or proof of address which are always required by the conventional banks. You just need to start sending and receiving Ethercashs by downloading a Ethercash Wallet and then generate a Ethercash Address and you are all set to go.