Cryptocurrencies operate in a market-driven system, but a closer look reveals that the market isn't exactly favorable to them. Firstly, governments express reservations about cryptocurrencies, even in countries where they are legal, leading to the implementation of stringent measures. Additionally, the substantial energy consumption associated with crypto mining raises concerns among a segment of the population.
The absence of a central authority introduces a financial risk, as some crypto projects may abscond with investors' funds. While Bitcoin is a robust form of currency due to its decentralization, its value can still fluctuate significantly. Consider the stability of the US Dollar—although it doesn't become worthless, its value can change over time. Similar principles apply to Bitcoin.
The anonymity inherent in cryptocurrencies poses a significant threat to the traditional financial system, including central and private banks. This anonymity facilitates activities such as money laundering, purchasing illegal items, and funding criminal endeavors through untraceable transactions with cryptocurrency
The absence of a central authority introduces a financial risk, as some crypto projects may abscond with investors' funds. While Bitcoin is a robust form of currency due to its decentralization, its value can still fluctuate significantly. Consider the stability of the US Dollar—although it doesn't become worthless, its value can change over time. Similar principles apply to Bitcoin.
The anonymity inherent in cryptocurrencies poses a significant threat to the traditional financial system, including central and private banks. This anonymity facilitates activities such as money laundering, purchasing illegal items, and funding criminal endeavors through untraceable transactions with cryptocurrency