Electronic currency

Say good-bye to traditional application

Say hello to Safe and convenient new electronic currency

Traditional applications of rendering payment include credit cards, debit cards and charge cards. However, these traditional forms of rendering payment online have posed problems to both the consumer and the seller. For example, not all merchants are equipped to accept credit card transactions. Some merchants even prefer not to accept credit card transactions because credit card companies charge merchants a two to six percent service fee for each transaction.

But, now technological progress has undoubtedly created a new direction in the means of payment. The Internet and E-commerce have become an increasingly commercial area, where daily payments are rendered for goods, information and services.

Electronic currency is essentially a system that allows a person to pay for goods or services by transmitting a number from one computer to another. These transactions are carried out electronically, transferring funds from one party to another, by either a debit or credit. These funds are instantly cleared and secured by using strong encryption, thus eliminating the payment risk to the consumer. As a result, electronic payments are becoming the central part to online business between customer and seller.

There are few benefits on the electronic payment system. For instance, privacy and confidentiality of customer’s information are adequately protected. The systems unlike credit card companies, they are invading consumer's privacy by collecting their spending habits and reselling the data to third parties. Besides, the security of electronic currency is provided by the use of encryption. The enacted digital signature statutes require a certification authority to use a trustworthy system. Therefore, even though there is speculation about the security of the Internet, electronic currency consumers are probably more secure in their transactions than the more traditional ways of doing business.

Apart from that, let me introduce you others type of electronic currency which is electronic micropayments. This is the system where it solves the problem of purchasing inexpensive items by using credit cards. If you are interested, please go and click the words of 'electronic micropayments' that i highlighted and read through the article. It can help you to gain the knowledges about it.