As with any other fringe product or service, there are many myths surrounding
cryptocurrencies. Cryptocurrencies aren’t just for computer geeks and drug dealers
trying to avoid the government. Relieving yourself of these myths will permit the
formulation of a more accurate opinion. It’s easier to make informed decisions when
your knowledge is sound.
Myths regarding cryptocurrencies abound:
1.Cryptocurrency is illegal. It depends on the country. It’s legal in the United
States, but there are other countries, such as Russia, that have deemed it illegal.
It’s unlikely the legal status will change anytime soon in the United States. It’s
possible that it will become regulated, however.
2.Bitcoin is the only relevant cryptocurrency. There are several other
cryptocurrencies. All have their strengths and weaknesses. Bitcoin, released in
2009, is the oldest and most well-known of them. Most of the other
cryptocurrencies are less than three years old:
Auroracoin
Blackcoin
Dash
Dogecoin
DigitalNote
Ethereum
1
Litecoin
Mastercoin
There are several others.
- Only criminals have a use for cryptocurrencies. While cryptocurrencies
continue to be used for illegal activity, cash is still king for illegal transactions.
There are reputable retailers that accept cryptocurrencies, including Microsoft and
Dell.
4.I can get rich with cryptocurrency. The potential for profits does exist. People
have gotten wealthy through increases in the value of cryptocurrencies.
However, just as many people have lost a tremendous amount of money, too. It
might happen, but you’re unlikely to retire on your cryptocurrency purchases.