First, digital currency, the central bank, is digital and virtualized and exists in electronic devices such as mobile phones and the Internet.
The second is to bring its own electronic payment function. In addition, digital currency mainly adopts a blockchain technology based on node network and digital encryption algorithm, while paper money adopts anti-counterfeiting technology, which is the third aspect that distinguishes it from other currencies such as paper money.
First of all, from the digital point of view:
1. profit: low production cost and no consumption of cotton and wood resources. Paper money is printed with special paper, with 95% cotton linters and 5% wood pulp, so it needs to consume natural resources such as cotton and wood. Digital currency is produced by digital technology, so digital currency's production does not need to consume raw materials and other resources, saving a lot of costs and the limited resources of the earth.
But the disadvantage is that the running cost is higher than that of paper, and it needs to consume energy all the time.
2. Advantages: easy to carry. Since digital currency is a digital picture existing in electronic devices or the Internet, you only need to bring an electronic device such as a mobile phone or nothing, and you can use it wherever there is an Internet.
However, it is precisely because digital currency is easy to carry that it also brings disadvantages. That is, if you want to use her, you must have the internet and electronic equipment. In other words, digital currency cannot exist alone. She must have a parasite carrier. She can't use it without a carrier. In addition, if the electronic equipment has no electricity, it cannot be used. So her shortcoming is that she can't exist and use independently.
3. Advantages: not easy to damage and easy to store. Paper money is made of paper and has the characteristics of paper. It will be damaged if it is used for a long time or improperly. For example, paper money will soften or even dissolve when it meets water. But digital currency exists in electronic devices or the Internet. As long as there are electronic devices or the Internet, digital currency can exist, so she is not easy to be destroyed. Paper money needs to be stored where it is not easy to be damaged. For example, it can be placed in wallets, drawers and rooms, but not in liquids such as water and alcohol and corrosive places. The disadvantage of digital currency is that it is not easy to extract, and it is not suitable for some people, especially the elderly.
Second, from the perspective of electronic payment:
1. profit: payment and transaction can be made directly. After the implementation of digital currency, we got the payment with digital currency, and we can make payment and transaction directly without any operation, which is quick and simple.
Although digital currency can make payments and transactions directly, her functions are single and her application scenarios are not rich enough. Many times she needs to switch to payment platforms such as Alipay and WeChat, which is probably her disadvantage.
2. Professor: Keep the change. Because digital currency, the central bank, has the function of electronic payment and all the benefits of electronic payment, including no change. Save the change of paper money. One disadvantage of digital currency is that it is easy to deceive people who don't know much about digital technology and have a bad eye.
3. benefit; No contact. To pay by paper money, we need to pass the paper money from one person to another, and then it is possible to spread germs. Digital currency does not need to contact with both parties when paying, which effectively reduces the transmission route of germs. It's really hard to find out what's wrong by avoiding contact. Maybe for some people, it is not as emotional and insecure as holding paper money, but this disadvantage is not obvious.