The coming of cryptocurrency, or digital currencies has revolutionized the global financial landscape. More and more people have embraced virtual currencies, a significant change from the initial days of crypto when the majority of people were suspicious and hesitant to adopt them.
Although online crypto exchanges are among the main channels through which people buy, sell, and manage their digital coins, physical exchanges are gaining attention. The beauty of physical exchanges is that they offer crypto investors and enthusiasts a more tangible experience of buying, selling and even swapping crypto coins. However, as with any other way of transacting in crypto, using a physical crypto exchange has its pros and cons.
Pros of using a physical crypto exchange
Below are the key advantages of buying, selling, or trading your cryptocurrencies using a physical crypto exchange:
A key advantage of using a physical crypto exchange is that you get personalized assistance as you buy, sell, or swap your virtual currencies. This is especially crucial for beginners or non-tech-savvy crypto investors because they can benefit a great deal from personalized guidance from the staff. The staff are, who are experts in matters of crypto. Thus, when using a physical crypto exchange, you can ask questions, seek clarification, and get a clearer picture of the crypto market dynamics.
Some of the ways people buy or sell cryptocurrencies do not allow instant transactions. The good news is that a physical crypto exchange facilitates instant buying, selling, or trading of one cryptocurrency for another.
After the parties involved strike a deal, the physical exchanges facilitate instantaneous transfer of the cryptocurrencies. This can often be the best option for individuals who prefer swift transactions without the unnecessary delays associated with funds clearing, identity verification, funds transfers, and so on.
Typically, online exchanges are prone to cyber threats, but physical exchanges offer a greater sense of security. This is because the transactions occur face-to-face lowering the risk of online fraud or hacking. In addition, some on-site exchanges offer secure storage facilities, for example, vaults, to safeguard their digital assets.
Trust and transparency
Because users can witness the transactions as they occur first-hand, a physical crypto exchange can help to promote trust and transparency in dealings reducing concerns about fraud and scams.
Cons of using a physical crypto exchange
Below are some of the few downsides of using physical crypto exchanges:
Unlike online exchanges, physical crypto exchanges can only serve those nearby to them who can visit the offices. People residing far from them can find it inconvenient or almost impossible to access these services.
Due to the in-person assistance that users get, a physical crypto exchange might charge slightly higher fees or commissions than online ones. Also, these exchanges may charge extra fees for various services or enhanced security measures.
Time and effort
You need to travel to a physical crypto engage, may be a queue to be served, and engage in face-to-face transactions. If you are looking for speed and convenience, such exchanges may not work for you.
At the end of the day, you need to weigh the pros and cons of a physical exchange and consider your unique needs and preferences so you can decide if it can serve you well. One thing that is clear, is that with the evolution of the crypto market, both online and physical exchanges will fine-tune their operations to serve the diverse clientele.