Cryptocurrency and Its Advantages

It seems that the terms like Bitcoin and cryptocurrency are the mainstream jargons that are now used more than ever. Since the inception of cryptocurrency in 2009 it has been increasingly considered a better alternative to cash payments or credit card usage. Known for its security and untraceability, cryptocurrency is particularly attractive to people who wish to remain anonymous and outside centralized banking institutions. Cryptocurrency trading is an extension of this phenomenon. It operates just like regular trading but online with crypto-coins like Bitcoin, Litecoin or Ripple. A common issue with certain cryptocurrencies is price stability. However, traders and investors keep a close eye on value, and they buy and sell accordingly in order to make a profit. 

Bitcoin as It Is

The first decentralized cryptocurrency was Bitcoin, which was developed out of the concept of peer-to-peer lending, much in the way a peer-to-peer ad-hoc network works. By shirking the need for a central banking system, users could free themselves from the problems of usual forms of currency. Bitcoin mining is about adding ‘transactions’ to the currency system. These transactions are then recorded and added to the ‘block chain’ of past transactions. Miners for bitcoin use software to cause a series of events to unfold – this software solves algorithms, and when they are solved, the miner is then provided with a bitcoin.

As it is depicted on the diagram below, during 2016 – 2017 the price for Bitcoin grew up in 2,5 times.

Speaking about 2019, according to CoinDesk, in the first half of the year the price for Bitcoin tripled, rising from $3 869,56 on January, 1 to $10 932,31 on July, 1. However, during the next four months this index has suffered many fluctuations, and today, on October, 25, Bitcoin costs $7 460,62, although its price was $8 241,34 at the beginning of the month.

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With the lower price for Bitcoin there is an opportunity for larger demand for it. This is a positive trend as cryptocurrencies have some advantages compared to traditional money.

Advantages of Cryptocurrencies

So, what are the clearest benefits of using cryptocurrency as an alternative to cash or credit card payments? 

• Lower risk for theft. By making payments between people directly and removing the need for a middleman (a bank or lending institution) you remove the possibility of theft.

• Decentralization. By removing the need to send your money to a bank to control the process you merely rely on the ‘blockchain’ database to conduct all actions regarding the currency. 

Furthermore, by expressing a need in a bank, you will almost always incur a fee. With a cryptocurrency, there are no fees. Naturally the need to convert cash to cryptocurrency will involve some fee, but between cryptocurrency to cryptocurrency there is no cost. In addition to this, payments can happen instantaneously without waiting for delivery, and thus the blockchain operates much faster at moving money than a traditional bank would.

What Is eToro and How Does It Operate?

eToro is an investment platform for bitcoin development. The interface is simple and without a major learning curve for new users. You have the capacity to invest in various cryptocurrencies and store them in your virtual wallet for trading and sending coins. Over 250 million trades have been opened on eToro. In addition to being a trading and investing platform, eToro is a social networking site for traders to discuss the most ideal strategies. With the CopyTrader function you will be able to instantly copy and share your performance.

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Benefits of eToro

Currently there are several advantages proposed by eToro:

• Investing in stocks with 0% commission to the platform

• Trading and investing in the top ranking stocks, such as Amazon and Snapchat

• Investing in several cryptocurrencies to improve competition

Moreover, eToro takes security extremely seriously. The company is entirely regulated by the FCA and CySec, and the funds are kept secure by the top security protocols so that the data will never be sold to analytics companies.

Contribution to eToro from Technorely 

There were a few substantial initial problems with the platform prior to our involvement. For example, EtherDelta used to reign as ERC-20 token exchange, but according to the blockchain community, it was subject to several breakdowns in the system. eToro’s goal was to eradicate those problems, but build off the successful aspects of EtheDelta. Other issues with the EtherDelta system were high rates, lack of a capability for mass transactions, and as a result of the unstable API, very low performance. 

Technorely was able to solve those major problems for eToro by improving its functionality tenfold. Firstly, our software engineers were able to access EtherDelta’s source code and essentially create a new independent system separate from EtherDelta, which maximized all the benefits while eradicating all of its flaws. Secondly, we have improved the interface as well making the experience of using eToro more seamless than before. 

It was our proof of work as a project for trading via cryptocurrency. We worked together with eToro on this project by providing team extension service. Speaking about myself, I was a developer and architect of this solution. We have created a smart contract for selling multiple cryptocurrencies.

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Technologies Used by Technorely for eToro

These are the technologies implemented in the new source code and platform for eToro:

• Ethereum;

• ReactJS;

• Google Maps;

• Unit Test;

• MongoDB;

• NodeJS;

• Express;

• Lodash;

• Redux;

• Solidity.

As a result of their usage, the new system has achieved several goals such as: 

• Lower transaction Price;

• Stable API that offered better performance;

• Mass Transaction Capacity;

• Enhanced Security.

Thanks to our influence, eToro has been launched and now it is responsible for over 10 000 transactions per single day. The blockchain community has approved of the new platform and has received it with glowing feedback. Technorely propelled eToro to the forefront of Cryptocurrency trading and boasts over 7 million users worldwide.

Customers’ Feedback

According to the clients’ feedback, “eToro is a fantastic trading platform, both from an ease of use and technical perspective”, and it is “by far the best social trading platform”. In general, the customers are very satisfied with the services eToro platform provides.

eToro is a fantastic trading platform, both from an ease of use and technical perspective...

...by far the best social trading platform.

Conclusion

Taking everything into consideration, e-commerce must be looking forward to the benefits of Cryptocurrency. While the concept remains elusive to the typical person, platforms like eToro can simplify the process and help it enter the mainstream much faster. As certain countries are phasing out cash payments, businesses need to keep on top of new technologies if they want to stay ahead and compete against each other for consumer loyalty. Technorely did an excellent job at improving eToro and helping them achieve their goals.