Is BITCOIN Really A Scam? Misconceptions Written by: Sheri Merrick

There are so many misconceptions about Bitcoin since it came out on the block-chain February 3, 2009. Many people believe it is a scam because of other companies trying to mine bitcoin, or because of the hacking or embezzlement that has caused exchanges to close. 

An exchange is a company that carries Bitcoin and other crypto-currency so investors can buy, sell or trade.  You should read the white papers behind any cryptocurrency, especially new ones and look for investors starting up the company to see if names are familiar.

Bitcoin is not a scam because it is on a blockchain which is ran by many financial institutions which leaves the benefit of not being ran by any single entity having power over your transactions.

There are millions and millions of dollars in cryptocurrency as it is digital form of money that can be used in making transactions online. Cryptocurrencies refer to limited entries in a database that cannot be changed unless certain conditions are fulfilled, (Cryptominortips.com, 2020).

This is what fiat currencies such as the U.S Dollar are. Cryptography has been around since World War II and it has been Incorporated with cryptocurrency to be able to generate electronic money (Wikipedia, 2020). Meaning people no longer have to trust banks with their private information as people can do transactions online electronically, (Cryptominortips.com, 2020).

Who Started Bitcoin?

Satoshi Nakamoto
is who created Bitcoin and the blockchain technology. The problem is no one knows who Satoshi Nakamoto is. Some think it is a suspects including Dai, Szabo, and Finney, (Wikipedia, 2020).

Others thought Satoshi Nakamoto was a computer collective in the European financial sector. has also been thought of as the key holder. I can see why those who are not educated in Bitcoin think it is a scam.  Not knowing who the true inventor is and the illegal activities that has appeared a few times throughout history.

Scam, Embezzlement or Hacking of Bitcoin & Other Cryptocurrencies
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Mostly other companies went out of business because of embezzlement from a top investor in the company and could not recover. There are two exchanges that you could buy Bitcoin from that actually embezzled people of their Bitcoin.

On 26 October 2013, a Hong Kong–based bitcoin trading platform owned by Global Bond Limited (GBL) vanished with 30 million yuan (US$5 million)  from 500 investors, (Wikipedia, 2020).

Mt. Gox, the Japan-based exchange that in 2013 handled 70% of all worldwide bitcoin traffic, declared bankruptcy in February 2014, with bitcoins worth about $390 million missing, for unclear reasons, (Wikipedia, 2020). The CEO was eventually arrested and charged with embezzlement.

Other exchanges were hacked into like Bitfinex which is one of the exchanges I lost Bitcoin on. In August 2016, hackers stole some $72 million in customer bitcoin from the Hong Kong–based exchange Bitfinex, (Wikipedia,  2020). There are other exchanges that were hacked into which caused exchanges to file bankruptcy.

Go to https://en.m.wikipedia.org/wiki/History_of_bitcoin#Creation to find out more on the history of hacking and embezzlement of Bitcoin.

Is Bitcoin A Scam?
Bitcoin ATM picture by google

Bitcoin is now being used across the globe for transactions to send money, to purchase products, investing, and have Bitcoin ATMs worldwide. Bitcoin is not a scam it is the way of future currency. The USA alone has 4,725 locations.  Click here to see locations across the globe.  https://coinatmradar.com/countries/

Where Can You Use Bitcoin?   
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This image has an empty alt attribute; its file name is Subway.jpg
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These are many companies accepting Bitcoin. You can purchase houses or property https://bitcoin-realestate.com/, Places that accept Bitcoin are WordPress, Subway, cheap air, WordPress, Bitcoin, travel, Bloomerang, Gap, Game Press, JCPenney, Dish Network, Stripe, Mint, Microsoft,  AT&T, Burger King,  KFC,  Norwegian Air,  Walmart,  casinos, are a few of the companies that accept Bitcoin.  

You can go here for a list of more places https://99bitcoins.com/bitcoin/who-accepts/ and https://icoholder.com/blog/places-accept-bitcoin/

Countries Who Are Adopting / Creating Their Own Crypto (ico) As Their Currency

Countries that have issued their own cryptocurrencies include Ecuador, China, Senegal, Singapore, Tunisia, though these countries will not be standing alone for long with Estonia, Japan, Palestine, Russia and Sweden looking to launch their own national cryptocurrencies, (FXEmpire.com, 2020).

New CryptoCurrencies V.S Bitcoin
Bitcoin

Bitcoin will always be the grandfather of cryptocurrency. There are a few different coins that have been out awhile I would trust as much as bitcoin. Ethereum, Ripple, Coronado, they are listed in order in exchanges.

Bitcoin is the highest price being granddaddy who will stay in the mix of it as number one. You never know what could change in the future though.

Voyager logo

Exchanges to Buy & Sell 

Voyager broker for onlinejobs4students.org
  • Voyager is my favorite because you can earn $25 in BTC if you get your friends or anyone to sign up on the platform. There is ongoing crypto news and free trading. New exchange but they are awesome!
  • Coinbase exchange is here in the USA and is a regulated exchange.
  • Binance is one of the easiest exchanges to use and is the fastest growing exchange.
  • Coin Mama lets you buy ETH and BTC instantly but is an old exchange works great.

Types of Wallets

You do not want to leave your coins on the exchange in case something goes wrong with that exchange. YOU KEEP YOUR CURRENCY IN YOUR WALLET FOR SAFE KEEPING WHEN NOT BUYING OR SELLING.

You need to get a wallet by purchasing wallets online here or you can do a warm wallet which is something you can download from the internet. I suggest using a cold
wallet (a USB looking device that you can plug into your computer) that has extensive security, nobody’s breaking through.

Warm Wallets

Warm wallets are not a Bitcoin scam. Warm wallets you can download in the play store but suggest that you go to that website to be sure you have the authentic wallet. Go through the exchanges listed above to purchase a wallet. NEVER through third parties!

Cold Wallets

Bitcoin Wallet Ledger.jpg

Cold wallets are also not a bitcoin scam as you purchase these USB looking devices to keep cryptocurrency in. Ledger is a great wallet as Ledger hardware wallets empower you to optimally secure, own and control your crypto.

BITCOIN IS NOT A SCAM

Voyager has allowed me to get my free Bitcoin $25 worth of a coin, and in a month, my $25 Bitcoin has gone up to between $30.31 and $33.75 as a whole bitcoin is $9508.01. Bitcoin is up over 3.24% showing its bearish moves as it has broken its resistance level of $8,000. BTC is predicted to hit $50,000 this summer.

You can purchase Ripple for $.24 less then a dollar a coin. Up over 5%. Ripple has seen highs of $13,000, as it climbs usually with Bitcoin.

Ethereum is $184.69 up over 7% as it goes up along with Bitcoin as well.

Bitcoin At ATMs?

There are many places to buy bitcoin from online brokers, ATMS, people themselves but has to go through an exchange. You can spend Bitcoin in many very known stores online or even at malls. There is a card you can purchase to exchange bitcoin over to USD when making purchases.

Bitcoin Credit?

Go here to get you BTC credit cards or exchange card https://www.banks.com/articles/investing/cryptocurrency/bitcoin-credit-cards/

I ADVISE YOU TO GET YOUR CRYPTOCURRENCY TODAY AS IT HAS BROKEN RESISTANCE AT $8,000. IT IS ON A UPHILL CLIMB AND PREDICTED TO REACH $50,OOO BY SUMMER.

IT IS ONLY GOING TO COST MORE AS IT CLIMBS. YOU CAN ALSO PURCHASE RIPPLE AND ETHEREUM FOR MUCH,  MUCH LESS. Ethereum as seen $17,000 while ripple only seeing $13, 000 at its highs.

Sheri Merrick signature picture
Make your investment today now you know more about Bitcoin. It is not a scam and the way of future currency like APPLE was to computers.

Thanks Everyone for learning about the wave of the future possibly unrevealing before our eyes as. Remember when people thought computers would not grow or everyone would not want one?

I wish I had stock in APPLE then. Look around and tell me you do not see the changes going on across the world. You may become blind sided as many did when computers came into existence.

The commissioner requires this for any trading for people to know it is for entertainment purposes and want you all to know I am only teaching you what I have been educated on and what I am learning. It is up to you if you want to buy, sell, or trade with Bitcoin or other currencies. I am not responsible for your losses.

If I can help you in any way, please leave me a comment in the comment box. If I do not know an answer, I will find the right answer for you.

References:

CryptoMinerTips.com

https://cryptominertips.com/what-is-cryptocurrency/

Banks.com https://www.banks.com/articles/investing/cryptocurrency/bitcoin-credit-cards/

Wikipedia.com

https://en.m.wikipedia.org/wiki/History_of_bitcoin#Creation

FXEmpire.com

https://fxempire.com/

99bitcoins.com

https://99bitcoins.com/bitcoin/who-accepts/

icoholder.com

https://icoholder.com/blog/places-accept-bitcoin/

coinatmradar.com

https://coinatmradar.com/countries/

bitcoin-realestate.com

https://bitcoin-realestate.com

9 Replies to “Is BITCOIN Really A Scam? Misconceptions Written by: Sheri Merrick”

  1. Hi! A lot of people have started to spread that Bitcoin is a scam. And most of those people don’t know what they are saying or simply their opinion is biased. Talking about people calling Bitcoin a scam and people giving biased opinions, let’s place an example: Listening to somebody in the banking system talking about bitcoins could be compared to listening a king say that democracy doesn’t work.

    1. Thank you for responding. I agree that people are making some stories based on what they hear from other people not from doing their research. There has not been any embezzlement in a couple years but if you think about it there’s embezzlement in Fiat money in banks all the time. There have been big scams or emblezement from banks including faulty loans. More dammage has been in Fiat money and loans for homes then in Bitcoin. Many people lost their homes from Banks, causing a recession. With Bitcoin, you can send 1 million or 500 and get it at the same time and not have to wait for days. Cuz the banks do not have our money. They invest our money to build the economy, or what ever they say. Pay off their debts? With Bitcoin it is decentralized so it is at our access 24/7.

    2. I agree with you. People are not educated enough. Countries are starting to make their own Bitcoin. Kind of sounds like how countries have their own fiat currency. Reminds me of when computers came out. I do not think they’re would be bitcoin ATMs everywhere.

  2. Hello Sherim, nice to see you share this informative article confirming whether Bitcoin is really a scam or not. I have heard so many persons saying Bitcoin is a scam. I think this is because most of them have lost their money invested in Bitcoin or they probably must have been scammed by people like them (fraudsters). But the truth remains just as you have shown in this article that Bitcoin is not a scam. If it were to be a scam, major companies will not accept it as a payment method, most countries would have banned Bitcoin but the reverse is the case as most countries are now working towards developing their own cryptocurrencies.

    1. Thank you for replying. I believe this is the way that new money is going to be and that’s why a lot of countries are developing cryptocurrency and they’re going to be making their own cryptocurrency for their country. Kind of like how everybody has fiat currency for their own country but it’s going to exchange over the cryptocurrency. Just like when computers first came out people did not think they would last or be around for a long time and now they’re in everything we do.

  3. Thank you for the information you provided on bitcoins.  It has provided some clarifications for me on the subject.  For many people, however, bitcoin is still a mystery.  It appears to be an intangible source of money since it was generated by a computer.  Bitcoins by themselves may not be a scam but there are existing scams that involve bitcoins.  It is hard to tell the difference at times for some people with such a new concept of currency.  The backing up of bitcoin by major banks does help legitimize this electronic money somewhat.

    1. Thank you for responding. I have to say in regular money there are scams to. People are embezzling money people are making counterfeit money. At least with Bitcoin you can send $100 or $1000000 and you don’t have any problems and it gets there and seconds to the other person or within minutes. It doesn’t give you a hard time like the bank does intake days. the reason why it’s decentralized and not going through the bank it’s so people can get their money much quicker. If you go to the bank and even try to take out 10,000 they might wake you make you wait 4 days as in Bitcoin you can have your money right away.

  4. Thank you for sharing this information and tips on Bitcoin. I’ve been interested in purchasing myself, but don’t have enough of an understanding to do so, and hear so many bad stories, some as you have outlined above. 

    Do you need to be an expert in the stock exchange in order to make money with bitcoin? Also, I thought it was a digital currency, so what is it you’re drawing out from the ATMs? 

    Thanks, Wendy

    1. No you don’t have to be an expert but you should understand candle sticks as I have studied them for FOREX trading and bitcoin. You do not want to leave your money in The Exchange when you’re done you want to put it in your wallet. When you see that dip and it starts to climb can you put your money in and I take mine at the median point-of the peak. Try to get a little bit of understanding about the stock-exchange, or learn to read candle sticks cuz it will help you exchanging with Bitcoin. Also the ATMs you can buy Bitcoin through the ATM or you can exchange your Bitcoin for cash.

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