Today I would like to talk with you about the differences between money and cryptocurrency and explain why DeepOnion can perfectly substitute traditional way of paying.
Let`s start with explaining what money is and what are the functions of it. Money is an officially-issued legal notes and coins, and is the circulating medium of exchange as defined by a government. Money is often synonymous with cash and includes various negotiable instruments such as checks. Each country has its own money that is used as a medium of exchange within that country.
Money has three functions. First, it is medium of exchange, meaning that it facilitates the exchange of goods and services. If two parties accept on the proposals of one another, they can make real their desires by using money. This function can be applied to cryptocurrency as well. Owners of cryptocurrency can use it to pay for the goods and services they would like to buy and thus, they exchange their cryptocurrencies and instead of paying cash or using credit or debit card, they make transactions online. For example: if you own DeepOnion, you can pay through it anonymously in a very secure way. As it turns out, in this sense money and cryptocurrency are absolutely the same and the difference is just in the physical form.
Secondly, money is the unit of account. It can be used as the common denominator valuing goods and services, facilitating the comparisons of relative value. So, through money we are able to define the value of different goods and services. Same works for cryptocurrency too. For example, let`s say at the moment the price of DeepOnion is $15. Now we exactly know what we can buy through the one DeepOnion, because we know its value and we are able to determine what some goods and services worth. So again, DeepOnion and money have the same usage and function and again in a different form.
Thirdly, money is store of value. It can be used to store purchasing power over time, which means if you have some money now, you will hold the same amount of value in the future. Money has to keep purchasing power over long period of time and that is where we encounter the problem. This issue is subject of big controversy when talking about cryptocurrencies. How can cryptocurrencies be store of value? How can they convey the value over time when the price of them is so volatile, so unstable and so unpredictable? The most important problem of cryptocurrencies is that they do not have the same value over the long period and even short period of time they are losing or gaining their values. Thus, the key difference between money and cryptocurrency is that the later cannot be store of value over the long period.
How is this related to the DeepOnion? If you buy it now, you will be holding much bigger value in the future than it has at the moment. Therefore, I strongly recommend to hurry up and have the different form of money that can be exchanged for goods and services.