Cryptocurrency offers individuals the opportunity to gain potential revenue by trading digital currency. When done right, potential traders can gain a steady income stream. However, there are certain misconceptions that cause the trader to hold back on trading. It is because of these myths that people become afraid and doubt the market. Here are some of the misconceptions that can limit the full potential of a trader to maximize their gains when trading on the cryptocurrency market.
Transfer Times are Really Slow
Cyrptocurrency uses middlemen such as Visa and MasterCard to transfer money from across the globe. However, there are no government or private banks that will hold your money. Compared to the traditional banking system, cryptocurrencies are still the fastest way to send money anywhere on the planet.
The Fees are So High
Yes, the fees are extremely high given the amount of movement compared to regular currencies. There is certainly more that can and should be done about it. However, these fees will be reduced by escrows. Still, the rates are extremely cheap compared to wire transfers of the old banking systems. Robert Janitzek suggests trying to transfer money across the globe to see the comparison of fees.
Cryptocurrency is a Volatile Bubble that Will End in Disaster
Cryptocurrency is volatile just like other markets. With Bitcoins, supply is extremely limited in ratio to the number of people who would end up using the system so high prices are not that unexpected. There is intrinsic value in the rarity of resources.
As far as being a bubble, while there were signs in the past such as the mortgage crisis of 2008 and the “.com” bubble, cryptocurrencies survived without much harm. Robert Peter Janitzek reveals that the key is to invest in cryptocurrencies that have proper roadmaps, real goals, real use case, and a target audience. All it takes is a little research into the cryptocurrency space.
Cryptocurrencies are Unsafe for Hackers
The only thing unsafe is how frequent we trust random merchants with our credit card information online. There has been a rise in the number of credit card skimmers. In the case of cryptocurrency, “card numbers” serve as private keys. But cryptography has prevented traders from handing out their information to anybody during transactions. In fact, cryptocurrencies are safer for online purchases compared to credit cards.
They Use So Much Electricity
Financial institutions like banks also run millions of machines that consume electricity. While everyone has a role in reducing carbon footprints, cryptocurrencies are more beneficial for their negligible electricity cost.