Hello to my friends who love life and always smile despite all kinds of negativity. In this article, I will look at you through the eyes of people who are against cryptocurrencies. Why do they think that… What are their worries, fears… ?
I researched the subject that I was curious about, and I wanted to share my research with you. At the end of my article, I will also write my own thoughts…
Are cryptocurrencies, especially Bitcoin, a great Ponzie or a real investment opportunity?
Let's start…
Theses of people against cryptocurrencies;
1 - There are enough volatility assets to make the cryptocurrency markets sleepless…
The enthusiasm of young people to invest in cryptocurrencies further worries those who are against bitcoin. They think that because young people invest without thinking, it will hurt the financial system. According to a study, people aged 45 and over show that they are cold towards cryptocurrencies.
2 - It is a system that works 24/7 without stopping…
Investors are stressed by the constant openness of the market…
3 - Since there are no legal regulations, it provides a rich hunting area for fraudsters…
According to Xangle, investors have lost more than $16 billion since 2012 due to fraud in the cryptocurrency markets. For this reason, countries and financial institutions that are against cryptocurrencies have started to warn and ban investors.
Because crypto markets are not legally regulated, investors have no one to turn to for help if they fall victim to scams. Exchanges can be fake and their founders can disappear.
4 - Not sensitive to the environment…
It is created in large computing centers that burn electricity and generate heat, where the carbon emissions associated with Bitcoin are high.
5 - Since leveraged transactions are not regulated legally, it is fraudulent…
Borrowing money in leveraged transactions increases gains, but increases losses. Because there are no official rules, trading platforms allow traders to bet multiples of their stake, inflating the stake up to 100x.
“Leverage in a crazy asset class is a recipe for disaster,” says Abhishek Sachdev, a derivatives expert and head of Vedanta Hedging.
6 - That it is of little use in the real world…
One of the biggest disadvantages of digital currency is that it is almost useless except for cryptocurrency exchange. While we have seen few high profile companies or organizations accept Bitcoin or Dogecoin, the truth is that the total number of businesses accepting both is microscopic. While nearly 1,300 businesses worldwide chose to accept Dogecoin eight years later, Fundera found that as of December 2020, 15,174 businesses accepted Bitcoin. For a context here, there are an estimated 582 million entrepreneurs worldwide.
7 - Not adopting blockchain technology…
In theory, blockchain technology sounds great. A way to speed up the approval and payment of payments. Cross-border payments can be resolved in just seconds or minutes, rather than waiting for a week or so. Blockchain technology also has non-financial applications.
What sounds great in theory doesn't always translate into real-world success. Businesses will not embrace it until the technology is widely proven, but no business will abandon its existing (and proven) infrastructure to become effectively guinea pigs. Until blockchain technology matures, big companies will keep their distance.
8 – Being open to manipulation…
Comments and social media posts by popular people that are not based on technical and fundamental analysis are manipulating the cryptocurrency markets.
they are thinking.
Finally words; I trust blockchain technology and its product cryptocurrencies. I see it as the technology of the future. It is a structure where people can participate in management regardless of their status. The system can be controlled by thousands of active users. Remember this; Think back to the early years when stocks hit the stock markets. Is everything perfectly designed? The rules that were correct in theory were corrected in practice as mistakes were made. The new version of this will take you one step ahead of learning and investing in cryptocurrencies.
As I always say, listen to everyone, decide for yourself...
Buy when everyone is selling, sell when everyone is buying...
I'm looking forward to your comments. Thanks to your comments, we can shape my next articles together. Let's stay in touch... Take care of yourself so that you and the people around you will be happy...
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