Bitcoin risks and hazardous facts

in bitcoin •  7 years ago 

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Taki came to her uncle's house. She is sitting in the big uncle's private library. A large house, a table in between the house and two chairs. Taki and her uncle are sitting face to face. Taqqi now has a basic idea about Bitcoin, but he is still not sure what to do. That's why uncle came near.

Taki said, "Uncle, I started biting the bitcoin. But I'm not sure how long I should do this, how to do it or not. That's why I came to you. "

Big uncle: "The first problem of Bitcoin is that the Bank of Bangladesh has banned the use of Bitcoin."

Taki: "Why?"

Big uncle: "The biggest fear of a decentralized currency like Bitcoin is that it can be used for illegal use like militancy, money. That's why it's basically banned. "
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Taki: "So what would be the use of such a breakthrough technology like Bitcoin in Bangladesh?"

Big uncle: "Maybe in the future. Between June and June, the Bangladesh Bank will set up a committee to decide how Bitcoin will work in Bangladesh. Bitcoin is now a brand new one. So, it will take some time for everything to become normal. "

Taki: "What is the main reason for uncle, bitcoin prices so high?"

Big uncle: "I did not think of the emergence of something like Bitcoin that I could see in my lifetime! But this is not the first time that such a sudden rise in the price of any coin / product is unusual. It is called "bubble". Such "bubble" has been seen before. "

Taki: "Uncle, why is this bubble actually?"

Big uncle: "Bubble is an example of the biggest bubble in history. Before the Bitcoin Bubble, the world's largest bubble was "Tulip Mania" in the 17th century in the Netherlands.

At one time, the price of this tulip was equivalent to the ten year wages of a skilled craftsman. The main reason behind the formation of this bubble was the greed of man and the fear of being deprived. Everyone was thinking that if I do not own the ownership of the Tulip, then I will be lagging behind and would easily be deprived of the opportunity to gain quick profit. Thus, when everyone became desperate for tulip, the price of tulips increased manifold.

But when at one point everyone started selling it, the price was very low. Bubble bursts for this price decrease. Due to lower prices, many people became indebted and the economy of the Netherlands was in decline. "

Taki: "What is the same story about Bitcoin?"

Big uncle: "It can happen. There is a lot of tulip mania with the story of Bitcoin's rise. New investors are constantly joining the team due to fear of being deprived of Bitcoin. That's why Bitcoin is called the 21st Century Digital Tulip.

Critics say that the price of Bitcoin is increasing without any reason. Especially in the last year many people started buying Bitcoin. They are doing this work to keep pace. But the risky aspect is that the price of Bitcoin can be reduced at any time. "

Taki: "Will everyone be damaged if Bitcoin decreases?"

Big uncle: "Those who are bullish traders in the stock market, they are usually never harmed. They really understand their own profits. In America, when the economic recession began in 2007-08, the general population was damaged. Large traders instead of selling bad guys to the common people, they created a recession. "

Taki: "What about Bitcoin?"

Big uncle: "There is a great potential. Now everyone wants to buy Bitcoin. But it is difficult for ordinary people to understand the complexity of Bitcoin market. As long as prices rise, many people will get profits. But when the price starts to fall, everyone will be in trouble without expert expertise in the market. "

Taki: "Then will I stop mining bitcoin?"

Big uncle: "Hmm, hard question. No, do not stop now. "

Taki: "Why?"

Big uncle: "All the things in the world are good, bad two aspects. Bitcoin has many risks, there are many good aspects. I'll talk to you about those aspects tomorrow. Now you can come. It's seven o'clock in the evening, now it's time to read my books. "

Taki: "OK, uncle."

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Hey, just wanted to let you know I gave you an upvote because I appreciate your content! =D See you around