Since you have clicked on the link to this article, I am going to assume that you are a new Bitcoin investor. Since you are new to this playfield, you may not know all the details of Bitcoins.
However, if you have been following the crypto industry closely, in that case, you must know a lot of illegal stuff like terrorism, child pornography, and the trade of illegal drugs are made using Bitcoins.
The stance of the Governments in western countries is very clear. Germany went a step further and legalized Bitcoins as a suitable payment method in their country, whereas the IRS has officially declared Bitcoins as a property so that the US Government can earn property taxes out of them.
But it has been made legal nonetheless. But some nations are not willing to turn a blind eye to the fact that Bitcoins do indeed fuel illegal trade. Let us take a look at some of the illegal activities done by using Bitcoins.
How Is Bitcoin Used to Fuel Illegal Trade?
The characteristics of Bitcoin is such that it makes it very easy for criminals to get away with crime using Bitcoins. This makes Bitcoins untraceable, and since any regulatory body does not back it, it means that no one can intervene while a transaction is taking place. Some of the illegal stuff done using Bitcoins are
- Child Pornography
- Child Abduction
- Malicious Hacking
- Bank Frauds
- Buying of illegal weapons
All the above illegal activities are done on the Internet. Cryptocurrencies facilitate the use of digital payments. All you need for transacting in Bitcoins are a crypto wallet, a trading account, and of course, Bitcoins. As Bitcoins are decentralized, a person is not obligated to share the account of his spendings with anyone. All these factors make Bitcoins the perfect currency for illegal trade.
Why Should You Not Stop Investing In Bitcoins?
Even money is used for financing all sorts of dodgy activities, does that mean you should stop transacting money? Lets us take a look at the reasons why you should never stop investing in Bitcoins.
The concept of inflation does not work on cryptocurrencies as there will only be a limited number in the world, unlike fiat currencies. Ever since the COVId-19 pandemic, the US Government has constantly been releasing Stimulus Packages to help the people affected the most during the pandemic.
While this is a good gesture from the Government, it also means they will have to print a lot more fiat currencies to fill up the deficit made by the stimulus packages in the US Economy.
This has given rise to inflation. Inflation means a hike in the prices of goods and services. Financial experts have already predicted that the value of dollars is going to go further down. And as a result, people are turning more towards cryptocurrencies, especially Bitcoins.
When Bitcoins first came into the scene, the price of one Bitcoin was equal to $0.0008, and now as I am writing this blog, the value of Bitcoins has reached $35,000. Last week the value of Bitcoins reached its all-time high of a staggering 42,000. Bitcoin is expected to hit 100K by the end of 2021. To start trading, visit https://pattern-trader.app to open your account.
Facilitates Digital Payments
Bitcoin is widely accepted as a digital payment method. Even though it will not replace fiat currencies anytime soon, it will certainly serve as an alternative. Having a cryptocurrency will make the conventional banking system competitive and even better. These are some of the uses of Bitcoins:-
- Bitcoin is accepted for booking flight tickets.
- It is accepted for payment of certain school and university fees.
- Widely accepted by Paypal and Venmo.
Bitcoin is quite like a double-edged sword. But you must note that the pros of Bitcoins outweigh its cons. I am a crypto investor myself, and I have been investing very heavily in all sorts of cryptos for the last five years.
After hearing about the illegal activities that are done using Bitcoins, it is natural for a normal person to be a little scared and think twice before investing further. I suggest you invest.
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