Since cryptocurrency started, 11years ago, millions of people have been doubting the technology. But the contradiction comes when they invest in bitcoin and get profit.

People cherish the power of blockchain technology while hating its child crypto. As time goes by, some of them have changed their minds due to their peers earning good money on the business. The government and financial sectors have now loomed in the fight against the negative effects of crypto on the world, a report by entrepreneur.

Some popular banks in China and the US have cut their ties with bitcoin. Others have terminated their contracts with cryptocurrency companies. The US government has come up with strict rules to expose any private transfer of more crypto money. These tight rules come after many factors such as scamming. Millions of people have gone back to the scary world, now, how can we ease this? Let’s discuss remedies and trends that could save crypto investors and newbies.

Little understanding of cryptocurrency

10 years ago, people could not understand the digital wallet and its power to keep money virtually. That was obvious because it’s difficult to trust a business that is not supported by the government. Blockchain experts and crypto investors have set aside millions of dollars to educate people across the world. However, the tail of illiteracy is still long.

Many of the knowledge is shared in developed countries, forgetting the third-world nations. Africa and Asia are the top continents with a large gasp of uneducated people. This has made governments come up with ways to help citizens understand the technology.

Remedy:

Providing education to all nations in blockchain and crypto would have a positive advantage. This will help newbies and investors come up with the right decisions. Knowledge will drive away fear and uncertainty.

Zero Legal Tender

No central bank issues bitcoin or Ethereum. The only available thing is the smart contracts from specific cryptocurrency like celo. People doubt its legality. Other states are scared about the failure that could result in negative effects on economies. Another category of people says that crypto enhances terrorism, fraud, and money laundering. Of course, there have been many cases of scams and crimes in recent years. But they fall to those newbies with less knowledge.

Remedy

It’s very ambiguous to solve the issue, but when we disrupt financial flows to scammers it could help. Companies can come up with rules for heavy punishment on any anti-money laundering.

Volatile Nature

There is no doubt that digital money is the worst volatile investment. The fluctuation in price brings tension to people. In 2017, the price of bitcoin increased and then dropped drastically in 2018. Such occurrence leads to fear. It’s very risky investing in bitcoin.

Remedy:

As time goes by, the volatility rate gets narrow. The bitcoin market cannot fluctuate like the 2017-2018 situation because they are now owned by institutions. Also, the fluctuation is not as bad as people criticize it. But before you invest, understand the risks that can come along. Only stake the amount you are sure you can lose.

Security Threats

Everything online was created by human beings. And as popular sayings go, man is to error. There are possible loopholes. Keeping your money in a digital wallet without understanding how those databases work is risky. People are taking extra measures to ensure total security in ledgers. However, hackers are always one step ahead.

Remedy:

Some crypto companies like bitcoin are working hard to secure their ledgers. There should back up database to store the data in case of any default. Kraken, Poloniex, and Coinbase offer extra security measures that could be reliable.

Multiple crypto to choose from

As time goes by, the number of crypto versions increases. There are many cryptos that are working to compete with bitcoin and Ethereum. Many projects are being carried out. Yet many crypto versions fail during their pre-seed seasons. This brings more uncertainty.

Remedy:

Ensure you invest your time in research before investing. Compare and contrast popular crypto to get a deeper understanding of each. Observe the potential for positive results.