Myths On Bitcoin – Fact Or Fiction?

Bitcoin has been the new buzz word when it comes to digital currency. Well, it’s not the king of cryptocurrency for nothing. It’s indeed becoming very popular and beyond just hype as even top bankers in the United States like Ben Bernanke sees Bitcoin or other unregulated digital currencies as having long-term potential.

However, there are now misconceptions or myths involving Bitcoin that must be debunked right here and now.

Bitcoin is the Digital Currency for Cybercriminals

This became sensational in 2011 when Bitcoin was dragged into a controversy on Silk Road, which is an online black marketplace for fake IDs, illegal drugs, and other illegitimate or fake products and services. Silk Road was then shut down by the Federal Bureau of Investigation. Bitcoin process dropped momentarily after that but recovered fast. The prices even soared to incredible heights.

To debunk this misconception, there are now many legal Bitcoin startups or companies with investment funding that uses Bitcoin for payments. The funding pace is even gaining momentum as more investors are getting into the Bitcoin Revolution such as Lightspeed Venture Partners and Plug and Play Tech Center. Even the federal government is not dissuaded by issues tagging Bitcoin into the underground marketplaces or illegitimate businesses because exploitation is said to be faced by any financial services.

Bitcoin Transactions Remain Anonymous

Bitcoin is big on anonymity and privacy because you won’t need any identification or Social Security Number to make transactions. However, all transactions are recorded in a public ledger called blockchain which makes sure every transaction is legitimate.

Bitcoin transactions are also trackable or traceable because Bitcoin exchange services require personal information or identity verification for transactions which would help in tracing every user in the blockchain.

Mt. Gox Is The Top Trading Platform for Bitcoin

Well, there is some shed of truth to this as Mt. Gox has been the leading trading platform worldwide for many years. However, Mt. Gox prices have been going down for several months now because of articial inflation so it would not be a good idea to trade here.

Bitcoin has definitely challenged the status quo on money. Gone were the days when Bitcoin was just looked down as a fad or a flash-in-the-pan type of digital cash that wasn’t nearly as important as money. It was in April 2013 when the exchange value of Bitcoin skyrocketed to $200 that the mainstream media and financial experts took notice of the new digital currency and the attention remain unfazed up to this day.