The global freelancing landscape has experienced a meteoric rise in recent years, reshaping traditional job roles and offering individuals the freedom to enjoy flexible schedules and diverse income streams. The world is their market, thanks to the digital age. Figures by World Bank show a staggering 1.57 billion individuals worldwide to be partaking in freelance work.
Yet, entering into this global marketplace also brings to light a cumbersome issue – receiving payments. Traditional banking methods and online payment platforms, notorious for their often high fees, could potentially be a stumbling block for freelancers in remote corners of the world. Cue, cryptocurrencies, such as Bitcoin and Ethereum, offering remedies to some of these obstacles.
Using cryptocurrencies for payment eliminates the burden of hefty transaction fees imposed by traditional banks, especially for international transfers. Freelancers find that cryptocurrency exchange rates are more favorable compared to traditional banks. Yasser Berrehail, an Algerian-based full-time freelancer, confessed his long-standing struggles with high fees and poor conversion rates during an interview. Speed is another winning factor for cryptocurrencies as opposed to traditional banking systems which can take days to process transactions. Inci Ozgur, a freelance video editor, was clear in her preference for cryptocurrency transactions which are instant and cost-effective.
Cryptocurrency transactions also offer greater ownership and control to freelancers. Unlike traditional systems where the bank manages your funds, with cryptocurrencies, freelancers hold complete dominion over their assets via digital wallets. The unique peer-to-peer transaction model of cryptocurrencies is particularly appealing. Cryptocurrency-based transactions are also transparent, recorded on a public ledger viewable to all, differing from conventional financial systems that tend to lack openness.
Cryptocurrencies also boast higher levels of security, making it unlikely for accounts to be frozen and offering relief to freelancers from the unpredictability of traditional banking institutions. Ozgur reveals a personal account of being unable to access her funds for two days, owing to technical difficulties experienced by a bank in Turkey.
Despite the promising benefits, cryptocurrency usage isn’t devoid of its challenges. Regulatory bodies might ramp up the scrutiny on cryptocurrency usage, leading to possible new regulations that could restrict freelancers’ ability to use cryptocurrencies. And the price volatility in the market might affect the value of earnings. Regardless of these potential drawbacks, cryptocurrencies are increasingly viewed as an accessible, faster, and less costly alternative, making it a sound choice particularly for freelancers in regions less served by traditional banking. The shift in focus gravitating towards using cryptocurrencies for daily transactions, distinguishing them from speculative investments, is truly catalyzing a transformative model in the global freelance community.
Source: Cryptonews
