Disadvantages Of Cryptocurrency

Have you ever wondered why a dollar or even a coin has any value at all? It’s just a piece of paper or metal and just as easily seashells or beads could have been given value for trade, right? Well what’s stopping other physical objects, or in this case pieces of code, from having value? Virtual currency or “cryptocurrency”, so called because it is a currency that uses a form of cryptography, is a type of currency that exists solely online. One of the most successful cryptocurrencies to emerge Bitcoin, created in 2006, is one of the newest forms of crypto currency and is slowly but surely increasing in popularity. Cryptocurrencies are increasing in popularity and should replace physical money because they allow for increased anonymity between provider and consumer, making easier foreign …show more content…
As of yet virtual currencies, namely Bitcoin, are confined to the world of the internet, as they should. When you are simply sitting in front of a computer screen making transactions you can have this feeling of security in knowing that you don’t have to come face-to-face without other human beings. This sense of security is exactly why these currencies are so popular. If you look at the nitty-gritty of it, the majority of people who use virtual currencies are people who prefer to function in a virtual world, mostly out of fear of the government, rather than the real world, although since their popularity is growing this may change in the future. A downside to this however is that you never know who you can trust. The internet is a scary place and there are plenty of shady characters who take advantage of the anonymous exchanges and might not hold up their end of a bargain, or even use a one-time transaction to hack your account. However, this is almost irrelevant unless you go looking for trouble, so unless you yourself go out in search for illegal business you should be