A JUST REPLY TO "ECONOMICS TIMES": 7 reasons why you should not invest in Bitcoins, cryptocurrencies

in india •  2 years ago 

Here is a link to the original article published in the Economics Times, India. I believe it is rubbish and not backed with accurate facts.

I could give a thousand reasons to invest in bitcoins and cryptocurrency but in this article I will keep my response limited not
to defile the original article but complement its facts and clear the fog of bad press which has been circulating the rounds. Let me remind you though that is one way how Trump won the elections!

RBI regulations, warnings: The RBI had warned that any user, holder, investor and trader dealing with virtual currencies would be doing so at his/her own risk.

Bitcoin and cryptocurrency are either capital gains or a stock-in-trade depending on the type of transaction. Bitcoin network is the most secure network for transactions online, it is encrypted, the POW or POS network avoids double spending... and I will not get into the technicalities. Lets talk numbers.

The number of bitcoins is limited 21 million. It is designed to be mined in a 100 years, currently, in fact, already 16.6 million have been mined, i.e. it's supply becomes increasingly scarce. The miners earn through transaction fees. There are other interesting coins such as Ethereum and Dash who are solely mined by Graphics Card Units are have a different functionality based on the block-chain designm most notably smart contracts. Because smart contracts run on the blockchain, they run exactly as programmed without any possibility of censorship, downtime, fraud or third party interference.

The writer of this article, Mr. Thanawala, has taken an example of that chose the worst of the industry. ATC coin, is one which any cryptocurrency enthusiasts will shun even at the site of it. It is not a legitimate cryptocurrency, if it has been doing the rounds in India, shame on people selling it. ATC is coin is listed only on one was exchange in the world. It is insignificant in the world of cryptocurrency. For e.g., Ripple (XRP), it is the third largest cryptocurrency in terms of market capitalization, it finds partnership is State Bank of India, Asia to innovate and develop a better global transfer of money. Stellar Lumens (STR), which has its ties with ICICI bank for the same purpose. All the other major financial institutions in the world are not only weighing its prospects but also have identified its advantages and are ahead in the incorporating stage.

Although Mr. Hiral Thanawala is misinformed about Bitcoins and cryptocurrency, he is right about it being volatile, unregulated and surrounded in doubt. According to the cryptocurrency enthusiasts or any sane economist, the democratic demand and supply system backed by secure and innovative code will bring more stability and defend the economy against instant destructive impacts of recession and economic breakdown.

This article is written on a block chain supported website steemit.com, where steem dollars and steem tokens, which are one of the famous cryptocurrencies, pays bloggers not through advertisement but an advanced appreciation system, with scheduled weekly payments.

Last but not the least, cryptocurrency has a market capitalization of 140 billion dollars,with active government interest from Japan, Russia, Australia and so on, I implore the Indians too get on board, of course, with caution but participation is important and we should not lag behind the world being afraid of change.

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