Why do so many frauds appear in the crypto world?

The truth is that in no field of investment are there as many wrong opinions as there are about cryptocurrencies.

And in the online environment there are not only erroneous ideas, but also numerous misinformation and outright frauds.

There are several reasons why this happens:

1. The cryptocurrency field is very, very young

Blockchain technology and the first cryptocurrency, Bitcoin, were born in 2009, so only 13 years ago.

On the scale of history, this literally means YESTERDAY!

It is no exaggeration, if you consider the fact that classic instruments such as shares or bonds have been traded for several hundred years.

Not to mention real estate or precious metals, which have been known for several thousand years…

Therefore, being a field that is JUST at the beginning, it is normal that it is very little known.

Not only is the number of specialists reduced, but also the ideas that reach ordinary people are often distorted, because they come from people who really don’t know what they are talking about.

2. The field of cryptocurrencies is very innovative

Here we are dealing with some ideas that have the ability to change completely, to revolutionize many other fields.

E.g:

• the way we transfer money from one to another and the way we make payments;
• the way we store the value;
• the way we lend money, or make other types of contracts between us;
• the decentralized way of approach, in which the center is no longer the “system” or any authority, but even the consumer, i.e. the common man.

Being such an innovative field, cryptocurrency technology will bring many changes.

That’s why the old financial institutions (including banks) are scared by these changes and are doing everything possible to “put rust on the blade” of these innovations.

Including through intentional misinformation.

3. The field of cryptocurrencies brings a lot of money

There is a real connection between the field of cryptocurrencies and the idea of making money. Sometimes a lot of money.

Because this was possible in the past, under certain conditions, and it is likely to be possible in the future (also, under certain conditions).

And every time the idea of a lot of money comes up – as it happened in the past with every “gold rush” – 2 things happen:

• on the one hand, many ordinary people let their imagination run wild and end up making extremely wrong decisions, which bring them great losses;
• on the other hand, there are fraudsters and thieves, who push people to make extremely wrong decisions.