Although still very surprising, it is no longer news that Etsy is increasing its transaction fees from 3.5% to 5%. The truth remains that this will be very inconvenient to a lot of its users. However, there is little or nothing that they can do about this development. As a matter of fact, the increase in the transaction fee of Etsy is just one of the few ways in which centralized companies make decisions that do not favour their customers. Due to the fact that these companies are centralized, there is nothing much that can be done by their customers except to consider the use of decentralized online market places.
One of the few decentralized online market places that customers who are tired of the services rendered by centralized companies like EBay and Etsy can turn to is OpenBazaar. According to the founder of OpenBazaar, Brian Hoffman, the move by Etsy to increase transaction fees by 1.5% is an example of the power that centralized online stores have over their customers. He went on to explain that these unnecessary rules start coming into play when centralized online companies go public and need to prove that they are making good profit.
Why Decentralization can Drive Centralized Online Market Places out of Business
Unlike centralized online market places such as Ebay and Etsy, OpenBazaar and other decentralized online market places cannot increase transaction fees out of the blue. In addition to this, when decentralized online market places are made use of, all that is paid for is the transaction fee which is connected to cryptocurrency. Even more interesting is the fact that you can choose which cryptocurrency to use. The implication of this is that if the transaction fees of a particular cryptocurrency increases, you can decide to make use of another digital currency.
OpenBazaar is a software protocol that was established in 2014. Prior to becoming OpenBazaar, it used to be known as DarkMarket. This online market place gives sellers the platform to sell various kinds of goods. Some of the many goods that can be sold on this platform include digital cameras, comic books, pottery, handmade jewelery, etc. Unlike regular online market places, OpenBazaar does not accept fiat currency; however, buyers can make payment via the use of various digital currencies.
OpenBazzar is more than Just an Online Market Place
To a lot of individuals, OpenBazaar is just a decentralized online market place. Well, the truth remains that this software protocol is a lot more than that. OpenBazzar is a platform that offers an organic way for people to own cryptocurrency. This is pretty simple; all that is required of crypto curious people is offer a product for sale on OpenBazaar and get paid in cryptocurrency. This is certainly an easier way to acquire cryptocurrency instead of going Coinbase and purchasing cryptocurrency.