Bitcoins were the first cryptocurrency that was invented, and today it is popular all over the world. Cryptocurrencies aren’t a new thing; it has been in the business for a decade now. But still, it is considered as young technology. Bitcoins are like online cash, which is completely technology-based digital currencies.
However, the people who are not familiar with bitcoins highlight several false assumptions about it. They think only criminals use them because it is not managed by any government or authority. Many people are not willing to use bitcoins, despite all the profits that these digital currencies offer against the traditional currencies.
Bitcoin users receive several benefits such as low transaction fees, fast and secure transactions, easy international payments, no third parties involved during the transactions, etc.
5 false assumptions people have about bitcoins in 2020
Bitcoin is a globally dominant cryptocurrency, and it celebrates its 10th anniversary despite thousands of critiques and negative predictions. People who are new in the world of cryptocurrencies have made various false assumptions about bitcoins that you must know so that you can clear all your doubts regarding this digital currency.
- Bitcoin is For The Tech-Savvy-
This is one of the biggest misconceptions that people have regarding bitcoins, i.e.; it is only for the tech-savvy. However, the fact is, you don’t need to be a blockchain engineer to become a bitcoin investor.
You can store, receive, buy, and exchange bitcoins by several methods. Anyone can invest in bitcoins and start using it. There is no particular skill that you are required to invest in cryptocurrencies, such as bitcoins.
- Bitcoin is For Criminals-
We know that bitcoins are not managed by any government or central authorities. Bitcoin transactions eliminate the need for any third party. Only a sender and a receiver are involved in the transaction.
This is the reason why people believe in the myth that it is only used by criminals. Users store bitcoins in their digital wallet and use it to buy online goods and services. Therefore, bitcoin is for everyone!
- Bitcoin is Blockchain-
Bitcoin and blockchain are two different terms related to each other, but keep in mind both are not the same. Bitcoin is a cryptocurrency that runs on the blockchain network. The purpose of blockchain is entirely different from cryptocurrencies. To know more about bitcoin trading visit here
On the other hand, blockchain is a distributed ledger technology used in various industry fields. Blockchain technology is one of the best technologies that has been invented until now. Bitcoin uses blockchain to keep the payments safe and secure. Therefore, this misconception you have to clear before investing in bitcoins.
- Bitcoin is illegal
It is true that cryptocurrencies such as bitcoins are highly associated with illegal transactions. But using this virtual currency is not illegal at all. There are more than 2 million bitcoin users all over the world, and still, do you think that it is illegal?
Keep in mind that even the fiat currencies can be used for illegal transactions, but it does not make this currency illegal, Right? Even the popular figures are interested in investing in bitcoins, and now it is your turn!
- Gets Hacked All the Time-
‘Bitcoin gets hacked all the time’ is one of the biggest myths that some people have in their minds. If you are into blockchain technology, then you know that this statement is absolutely false. We know that bitcoins’ price is highly volatile, but it does not make any sense that your digital currencies can be hacked at any time unless you don’t lose your bitcoin’s wallet password.
By choosing the best crypto wallet to store your bitcoins, believe me, it is much safer! It is less prone to attackers if you can manage your own bitcoins safely.
The Bottom Line
Therefore, these are the top false assumptions that people have about bitcoin. If you are willing to invest in bitcoins, you must clear all your misconceptions regarding this digital currency, and then you can proceed further to invest in it.