7 Cryptocurrency Myths

Time and again, people must have heard a lot about Cryptocurrency either in TV News, Online journals or from different sources. Many talks, regarding the legality, scams, and opportunities associated with the Bitcoin and other Cryptocurrency must have gone through your ears. But how many of you are well aware of the Bitcoin, Cryptocurrency and others and the facts related to them.

While, the Cryptocurrency is the term, which has been most manipulated over the recent years all over the world, the actual facts and myths are somehow gone intermixed. People and countries have their own manipulations regarding the Cryptocurrency and most importantly it’s the people’s half knowledge, which has spread out several myths about Cryptocurrency in the market.

Let’s break the shackles of the Cryptocurrency Myths in this TechnoMusk Article, and uncover the actual facts related to Cryptocurrency:

Cryptocurrency Myth 1- Bitcoin and Blockchain are same

Many people are seen as interchangeably using the terms ‘Bitcoin’ and ‘Blockchain’. However people must know the fact that Blockchain is a technology, which allows the peer to peer transactions to be recorded on the public ledger, while the Bitcoin is a Cryptocurrency coin, which is based on the root technology of Blockchain and is just like the Physical Money, which can be directly exchanged between people without needing bank intermediary.

Cryptocurrency Myth 2- Crypto assets are illegal

Time and again, this myth is the most spread out in the world and in certain countries like India that Cryptocurrencies are a myth. However, this act as a completely baseless claim, and is a result of incomplete knowledge of those people who are the roots of these rumors. In countries like India, where the Union Government states that ‘It doesn’t consider Crypto assets as a legal entity’; doesn’t mean that they are illegal. While the status of the Cryptocurrency varies from countries to countries, there are countries like USA and Brazil, where these are regulated and bear the legal status; the countries like India are still debating over the status of Cryptocurrency.

Cryptocurrency Myth 3- Crypto assets are used for Money Laundering

Whoever says this, just ask them ‘How old are the roots of the Money Laundering’. In fact, the Money Laundering has been in existence for a long time, while the Crypto assets came into the existence over the past decade. For the people, who are into the Money Laundering, they just utilize the Cryptocurrencies as a means to fulfill their task, just like they do it using the actual Physical Currency. It completely depends on the Government of the countries on how to curb money laundering and uproot it completely.

Cryptocurrency Myth 4- Cryptocurrencies are a way to the tax evasion

Cryptocurrency myths

Whoever holds this opinion that Cryptocurrencies are a way to the tax evasion will get stuck in the near future on the account of tax theft. Those having incomplete knowledge, every Cryptocurrency transaction is done through an address, which is allocated to the person and this address is in fact public. Even in Countries like India, where the Cryptocurrency is not regulated, the various Cryptocurrency exchanges offer the whole transaction records of the income tax department and the income tax department may serve any notice in case of tax theft. Even the government has put forward of levying a tax of 30% on Crypto assets profits. Default on the tax and you will know the result on your own!

Cryptocurrency Myth 5- Cryptocurrencies don’t have any real value

The only difference between Physical Money and Cryptocurrencies is that they can be seen and touched, while the Cryptocurrencies are a digital asset and cannot be seen and touched. They are equally real and over the progress of times, there are various options for the payment at various places, like Flight bookings, Mobile Recharges etc that can be done through the Cryptocurrencies. What more proof do you need over Cryptocurrencies having real value or not!

Cryptocurrency Myth 6- Cryptocurrencies transactions are anonymous

Many people are under the false assumptions that the Cryptocurrencies transactions are anonymous. Now, the Governments and several agencies have joined hands with the exchanges in order to completely map the address of the owner. Gone are the days, when the Cryptocurrencies transactions couldn’t be tracked. Now, if the exchanges support, the Cryptocurrencies tractions can be easily tracked down.

Cryptocurrency Myth 7- Cryptocurrencies are the source of getting rich instantly

To some extent, this myth holds some ground! But still, if you are looking to get rich instantly or overnight, those days are gone. In fact, it’s the volatility of the Cryptocurrency market, which has imbibed the feeling of getting richer within a short time. But, the same volatility can turn the numbers against you, too. The Cryptocurrencies are a good source of earning money instantly, but the success completely depends on how you analyze each Cryptocurrency coins movements. You just can’t buy a coin without any research and can dream of getting rich. Evaluate your entry point and exit point to gain a good profit. Getting richer with Cryptocurrencies isn’t a day’s talk anymore!

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