Cryptocurrency is associated with many misconceptions, but these are the most popular and the most unbearable.
Today, cryptocurrencies are still in the early stages of development so there are still plenty of rumors, and a significant part of what they say is untrue. So kriptosistem constantly have to listen to the same nonsense.
Here are 11 of the misconceptions that are the most common.
11. Everyone who had invested in the cryptocurrency are guaranteed to become millionaires
Well, if it turned out to be true. But, alas, it is not. It’s just a popular misconception. The belief that investment in cryptocurrencies will be successful is a huge exaggeration. The same applies to the view that early investments are doomed to success.
The truth is that the world of cryptocurrencies is complex and dynamic. There are no guarantees. It’s a highly competitive field. Crypto all the time something happens and changes.
Success can be achieved only one way: hard work. And even that guarantees you nothing. But one thing is for sure: early investment does not make you a millionaire. To do this you have to constantly be aware of all the events, work tirelessly, and, if possible, to coax a bit of luck.
And the phrase about early investment is just nonsense that you constantly have to listen to all kriptosistem.
10. The cryptocurrency has no “real” value
Another popular charge against the cryptocurrency. And it is unfair for a number of reasons.
First, what does that mean? What is the “real” value? Today, the value depends not so much on “real” asset, how many that finds value in the one or the other group of people. In this sense, cryptocurrencies are also “real” as “real money”.
Moreover, uttering this phrase don’t understand the potential of digital money. The fact that the majority of cryptocurrencies are created with a specific purpose. Often this is done in order to improve the existing system. For example, the idea of a decentralized registry and blockchain is to improve the reliability of the system and more fairly distribute power among its members.
9. Is it worth waiting until investing in bitcoin will prove its reliability
For serious captainvalor all have long proved. Cryptocurrency there are a few years. And it is obvious that with their help it is much easier to carry out a variety of transactions. And they have offered investors a lot of money.
Of course, for many people this is still a new and unfamiliar field of activity. However, this does not mean that it is really that new. You realize it or not, crypto-currencies have existed for quite a long time and confirmed its viability.
There are always new tokens and cryptocurrencies. There is even a cryptocurrency hedge funds. ICO became more or less reliable alternative to traditional methods of financing. And so on.
8. Only experienced investors can earn on the stock market
Another common misconception, which diminishes the potential of cryptocurrencies. Of course, many of the “Hodler” with the experience gathered at the moment is very impressive portfolios. But this does not mean that crypto rush is over.
In fact, this industry continues to grow and become more and more popular. And, most likely, as its growth, it will continue to remain attractive in the eyes of investors.
Don’t worry. The cryptocurrency bubble has not yet burst. In fact, we apparently are still in the early stage of development.
7. What good is a blockchain if it is only for the cryptocurrency?
Yes, cryptocurrencies are at the centre of public attention. But the blockchain is able to give the world a lot more than just a cryptocurrency. For example, any sphere of activity, where high reliability is essential and automation is likely to get better with the introduction of blockchain technology.
The truth is that the blockchain has opened up new opportunities for the distribution of power and influence. In fact, with it, a community can move to self-government.
The blockchain is already being used in the most different spheres of activity. For example, in smart contracts. Thanks to them you can keep not only the tokens and cryptocurrencies, and any other digital assets. Working as using the blockchain to improve the storage of medical records, logistical data, insurance claims and other information.
6. Cryptocurrencies will fail, because I’ll never be able to replace “real” money
This is particularly stupid error. Cryptocurrency does not aim to replace “real” money. In some situations they are more convenient to use than Fiat currency. And from this point of view, they may in the end will be better than Fiat. But this is not the main purpose of cryptocurrency.
In fact, some of the digital currency is designed to go hand in hand with Fiat money. Sometimes they even use the banks to improve the system transactions.
Short summary: cryptocurrency is not trying to push “real” money. They offer a new and improved way of carrying out peer-to-peer transactions. It may be monetary transaction. But not only them.
5. Cryptocurrencies are not applicable to real world problems
This is another widely held view. But it, too, is a fallacy. Cryptocurrency and blackany are generally used for solving various real-world problems.
More and more companies begin to accept payment in cryptocurrency. So it was announced that Microsoft and Starbucks entered into an agreement in which Starbucks customers can pay for coffee with bitcoin. And this is just one example.
In addition, the “real problem” to be solved by cryptocurrencies, cannot be reduced to the payment for purchase. Startups produce tokens to raise funds to Finance their projects. And the blockchain has many uses: it and smart-contracts, and warehousing of medical records and even track the food supply.
4. Cryptocurrency is used only by crooks and criminals
Indeed, cryptocurrency has opened up criminals new opportunities for conducting shady transactions, and some use it for their scams. But you can not say that only such people use the cryptocurrency.
In fact, it is not so. Cryptocurrencies use the most conventional (law-abiding) citizens. And ordinary companies. Startups using cryptocurrency attract investment. Consumers pay for purchases or make other transactions.
Criminals are only a small fraction of the total number of users of the cryptocurrency. Everything here as in any other sphere of activity. There are fraudsters and criminals that try to extract illegal benefits. This is not to say that cryptocurrencies are somehow unique in this sense.
3. Cryptocurrency is too complicated for “ordinary” investors
Cryptocurrency and the blockchain are really complicated. So some people still ask what cryptocurrency is. It really is not easy. But this does not mean that the average person not understand this. Cryptocurrency is not only a toy of the technological geniuses.
In fact, cryptocurrency and the blockchain will be an important part of our future. And it’s not just money. That is why it is so important that everyone know what is cryptocurrency and the blockchain. Read our tutorials and you will figure it out. You may not be a crypto genius, but your knowledge will be enough to freely navigate Cryptoprotected.
2. Stay away from cryptocurrency is a Scam
This belief is a distortion of reality. Specifically, it is common to hear that a cryptocurrency is a financial pyramid scheme of the new type.
Yes, the more people are addicted to cryptocurrencies, the better for investors. This is because the growth of the crypto community can increase the value of a currency. But that does not make cryptocurrency pyramids. Indeed, as mentioned above, cryptocurrency could have many uses. Yes, it can be used as money. But not only this. Cryptocurrency and blockchain often offer highly efficient solutions for a variety of real problems. This is the exact opposite financial pyramids.
1. Too late to invest in cryptocurrencies. This bubble has burst
This is probably the most popular misconception associated with cryptocurrencies. Captainvalor hear it constantly. And it is not true. Generally speaking, people mean a sharp increase in the bitcoin exchange rate and its subsequent drop. However, aside from this situation, things are very different.
Cryptocurrency and blockchain already has experienced many periods of great volatility. And has not disappeared. The truth is, we are only now beginning to understand the full potential of cryptocurrencies and the blockchain. And as will develop new and better ways of using these technologies, there will be more opportunities for investment in blockchain-based projects.
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