Cryptocurrency has been in high demand since the emergence of Bitcoin in 2009. Big investors such as Tesla Inc. have recently played a big part in increasing the value of the digitized currency because of its $1.5 billion worth of investment in buying crypto coins. Now, a lot of people are hopping on this bandwagon after seeing it produce profitable gains on their investments.
Although it is exciting to all the traders and investors, regulation terms of cryptocurrencies are still an ongoing discussion. The reason for having constant discussions on this topic is to completely eradicate the chances of scams or money laundering. The digitized concept has minimized activities of theft and fraud of money. Though there have been a few reported incidents of cyber-attack theft over crypto wallets it is still by far a more reliable platform.
Why is Cryptocurrency so Popular?
In these trying times of COVID-19, paying cashless has become mandatory however, this further adds to the popularity of digital currencies. The crypto market saw a tremendous increase in the value of Bitcoin when it reached a spectacular $19,000 in 2017. They experienced such a big increase because of all the investors and traders that joined, these new users play a vital part in upping the price of bitcoin.
A lot of people, approximately 2 billion, do not own a bank account, restricting them to make any virtual form of payments. This method is not only for the developed countries, but it is also a possibility to cater to the needs of underdeveloped countries, those who suffer from poverty and are failing to meet their basic financial needs. If you have cryptocurrency trading apps, all that is needed is a net connection and a number. Hence, cryptocurrencies play an imperative role in making the growth process faster, providing transparency of transactions, and making it possible to come out of poverty. Its independence contributes to eradicating the possible chances of fraud, theft, or scams.
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What is the Future of Virtual Currency?
Investors’ urge to invest more and more in cryptocurrency will keep increasing as they receive profitable exchanges from their investments. With the help of a bitcoin equaliser trading platform, it becomes easy to have profitable gains as it predicts the nature of the market and makes offers accordingly. The price of Bitcoin increased rapidly when Elon Musk made it possible to buy a Tesla through Bitcoin. Its volatile nature develops excitement in some people but also opens doors to other risks.
Crypto platforms are a safe haven for scammers and hackers because they do not have to disclose their identity, making them able to carry out illegal actions. In 2019, a huge amount of money, approximately $4 billion, was scammed. Fraud and theft have become even more severe in the past couple of years. To get rid of such issues, countries have introduced their own digitized currency. However, the global AML terms are still difficult to meet when the exchange is a peer to peer.