Home Bitcoin News Bitcoin Craze Banks Adopting BTC Is it the Wild West Ponzi Scheme? Crypto Jacking!

Bitcoin Craze Banks Adopting BTC Is it the Wild West Ponzi Scheme? Crypto Jacking!

bitcoin crypto jacking

Bitcoin led to the creation of an entire industry of apps, exchanges, and wallets. Different classes of People, institutions and regulators have differing views about Bitcoin.

Those who believe in the Bitcoin call it the future of currency. BTC works in a peer-to-peer form.  They are digital currencies available only online in the decentralized space. There are no banks, notes or coins, which represent Bitcoin. Also, governments and banks have nothing to do with their supply.

BTC is mined using the processing power of the computers. Every block in Bitcoin is created when the nodes solve a complex mathematical puzzle. In the beginning laptops and desktop computers were used to mine BTC. These days exclusive units dedicated to mine Bitcoin exist. There are many of such units in China.  The electricity consumption is equivalent to that which would be in some large developed countries.

To deal with the high energy consumption issue miners choose places like Ireland and Norway where there is lot of renewable energy. There are mining units which get powered by the nearby hydroelectric plant.

Skeptics say this is nothing more than a Giant Ponzi Scheme. They also feel Bitcoin has a very sickening tendency to fail.

About spending Bitcoin:  Companies like Expedia, Microsoft and Subway have digital facilitates to accept crypto.  Also, cafes and retailors and in major cities accept BTCs. There are those who accept even Ethereum, Litecoin and Dash. This is just proof that real-time business is prepared to accept cryptos and BTC.  However, it is not yet mainstream.

The hesitation among businesses and merchants to accept crypto is related to price volatility. And, the value is varying wildly from one day to the next.  Even in places that accept cryptocurrency price, the products and services are in traditional fiat costs.  They do not tag the price using crypto values. The volatility factor has kept the crypto in the list of speculative investment than looking at it as a currency.

The attention to the overall cryptocurrency improved with the major gains it showed in 2017 and the crash that followed in 2018. This is a nascent technology gaining mass attention, particularly more after the CoVID pandemic.

Those attracted cryptocurrency are futurists, criminals and prospective investors looking to diversify their investment portfolio. Scammers continue exploiting the willingness of people’s interest to jump in to buying cryptocurrency. Those who take to cryptocurrencies and schemes like airdrops get in to the prey of scammers when they do not do the due diligence check.

There are hackers who hijack the browsers of cryptocurrency users using cryptojacking. This is a major cyber threat to the security of cryptocurrency holders. All of these problems are attributed to the lack of federal regulations and it continues to be the Wild West. Dot Com Bubble Burst of 2000 aka Bitcoin Bubble Burst is the expectation of the skeptics.

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James

James T, a passionate crypto journalist from South Africa, explores Litecoin, Dash, & Bitcoin intricacies. Loves sharing insights. Enjoy his work? Donate to support! Dash: XrD3ZdZAebm988BfHr1vqZZu6amSGuKR5F

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