Bitcoin: The Future of Freelancers?
Even before the pandemic started and forced people to stay at home, freelancing was popular among the new generation workers. Freelancing became popular for multiple reasons. However, after the pandemic, the situation is more alarming. Many people lost their jobs, and even big companies are leaning towards a work-from-home structure.
People have naturally started to adapt to an open market for freelancers, but very few prefer remote freelancing as a career. Although remote freelancing allows higher payments and flexible work hours, it has many drawbacks.
Here come the blockchain-based new generation platforms for freelancers with better communication models and other improvements from the old model. Now involvement of a third party is unnecessary because employers can communicate and pay in Cryptocurrencies directly. To avoid the high volatility of Cryptocurrencies, users generally use Bitcoin for transactions.
Why Does Conventional Online Freelancing Need Bitcoin?
While on the one hand, freelancers enjoy the liberty of choosing their working hours and workload, on the other, they can work from anywhere they want to. However, in the conventional setup, this liberty comes with a price. Most freelancers working in the Gig economy face several problems, mainly when relying on more prominent freelancer portals. Some of these problems are:
1. Commission fees: Big freelancing platforms provide freelancers with access to many employers. In return, they charge freelancers with fees and commissions, which can often be exorbitant.
2. Working across countries becomes impossible: The process becomes very complicated when connecting freelancers with an employer from a different country. Authorities conduct an intrusive verification process, after which various banking institutions settle invoices between themselves. This process is prolonged and often time-consuming.
3. Limited scope: To avoid the problems of overseas dealings, these platforms often avoid global Gigs entirely, limiting freelancers’ employment scope.
How can Bitcoin become the future of freelancing?
The introduction of Bitcoin into the freelancing system can quickly solve the problems plaguing the industry. Blockchain, the technology that runs bitcoin, can effectively manage the work done by freelancers without creating the issues that freelancing platforms do. To get a better idea of how blockchain functions, you can look into the profit-revolution.com.
1. Decentralised system: Blockchain works on a decentralised system. Therefore, there is no single point where the system fails. Since all information is stored in public ledgers that anyone can access, blockchain is the perfect infrastructure for platforms that involve peer-to-peer interactions. It effectively removes the need for intermediaries and mediators.
2. Transparency: Blockchain technology stores all information in public ledgers that can easily be accessed by any authorised individual. No one can tamper with these ledgers after storing the data. This prevents the risk of data loss and theft and ensures that no one sells off the parties’ personal information to outsiders. Moreover, users can easily understand how trustworthy a freelancer or an employer is, as ratings become far harder to manipulate in blockchain technology.
Bitcoin: The Future of Freelancers?
3. Easy and quick payments: By using bitcoin, making payments can become more manageable in the freelancing industry. Instead of plugging into any expensive external system, charges become a part of the same infrastructure. Moreover, if employers use bitcoin as the payment medium, transactions can be automated and done without the involvement of any external institution.
4. Fair and efficient dispute management: Blockchain technology uses digital contracts to determine the scope of work, and payments are automated accordingly, reducing the chances of any dispute. In a disagreement, transparent records maintained in the system become instrumental in sorting them out efficiently.
Conclusion
Both bitcoin and blockchain technology are here to stay. With passing days their influence over every field of human interaction is progressively increasing. Blockchain and bitcoin open up numerous possibilities for freelancers. However, the post-pandemic world might see changes in the functioning of established freelancing websites. Experts expect significant changes in this industry, with people reassessing their work interests and re-evaluating their work/life balance. Whether these changes facilitate the use of bitcoin or inhibit the same can only be known with time.
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Bitcoin: The Future of Freelancers?
