Most common rumors regarding bitcoin


While talking about digital currency, cryptocurrency is the hottest topic in the entire digital market. Bitcoin has become the main attraction force for most investors because of its high volatility. Anyone can easily invest in these coins by picking a reliable crypto exchange. If you want to invest in Bitcoin, learn the top advantages of using Bitcoin in Real Estate

Cryptocurrency is a digital currency represented by codes that help you send money anonymously over the internet. It is not managed or regulated by any central bank such as the Federal Reserve System or Bank of Japan.

The rise in the price of bitcoin made it a topic of conversation among many individuals. The sharp rise in bitcoin price started in late 2013 and again gained momentum in early 2017.

Bitcoin is a bubble:

Before a few months, it was trading at around $2,000, but now its price has reached $19,753. Some people say that the only reason for this price increase is because it has become more popular among investors and not for any other reason. The current high volatility in the market can be attributed to this factor.

Many people believe it will end up crashing because there are no regulations, and no government can support it if required. But Andreas Antonopoulos says that bitcoin remains the only decentralized network existing without any centralized control and regulation, because of which its future looks bright.

Bitcoin has no real-world uses:

Bitcoin was created as a digital alternative to cash, but now most people use it for other purposes. For example, now, many people use bitcoin for money transfers, as payment for some goods or services and also can be used to transact online.

But it will not replace our fiat world because its market share is still insufficient. Moreover, many experts believe it would take some time to turn into a fully-fledged currency capable of replacing the dollar and other fiat money in the financial system.

Bitcoin doesn’t have real value:

It has no real value because it depends on the computer systems. If these computers get destroyed, then bitcoin can also be affected. Bitcoin did not require very much energy to process transactions before. Still, it consumes more energy than other currencies due to the enormous computing power used to mine it. The vast computing power for processing transactions stops other currencies from catching up with this trend, but bitcoin cannot change its original design.

Investing in Bitcoin is gambling:

If you are risk averse, then you should stay away from cryptocurrency. So if you are an investor interested in money-making and want to take high risks, then there is no better option than bitcoin investing. Unfortunately, there will also come a time when the price of bitcoin rises again and reaches $30K because it is highly volatile and can gain or lose significantly over brief periods.

Investing in Bitcoin is a precarious business and should never be taken lightly. If you want to invest in bitcoin and earn high returns, then it is better to go with some reliable exchange where you can buy them and keep them safe as they vary in price from time to time. Many exchanges have become popular among investors because of their reliability, security, and availability.

Bitcoin isn’t secure:

Bitcoin is a new currency and is not secure. Any insurance company or the government cannot insure it. It is not secured by any bank worldwide, so you will have to take care while using it. Despite its volatility, it has no benefits compared to fiat money, such as the dollar.

You can pay for anything with bitcoin, but you cannot get any benefits. People believe it has no physical form and is not secure. It can have a use case for small payments, but large transactions are always advised to make in fiat money because it is safer than bitcoin.

It is a bubble and will burst:

Bitcoin will burst like other bubbles pricked by the governments in the past. Once the government realizes its use, they will try their best to ban it so its price can fall at any point.