Some people who do not have corrective knowledge about Cryptocurrency label it as an enigmatic industry. But with the passage of time, people have developed a thing for Crypto. They have started conducting research about the same and are very keen to know about facts related to it. However, we bet there are numerous things you have yet to find about Cryptocurrency.
Also, if you are looking for steady ways to buy Cryptocurrency in UAE, make sure to read some amazing facts provided below.
Some Amazing Crypto Facts You Should Know
1. The Creator Of Bitcoin Remains Unknown
The most intriguing fact about Crypto is that no one has any idea who developed this digital currency market. People have no clue about who actually created Bitcoin. Despite this, some consider Satoshi Nakamoto to be the founder of this Crypto.
2. Physical Ban On Crypto Is Impossible
Though many countries have considered banning Cryptocurrency in their respective nations, it has always been impossible to do so. The sole reason for such a fact is that anyone can have access to a Crypto wallet. Though the countries can set rules forcing the ban of Crypto, the virtual market cannot be prohibited.
3. Cryptocurrencies Are Taxable
Depending upon the country you reside in, you will find that Cryptocurrencies are taxable. Since this virtual currency has been introduced worldwide, the taxation agencies are keen on getting their portion of the amount. Many countries have made it liable to pay taxes on the profits earned from Cryptocurrencies.
4. China Is The Largest Miner Of Crypto
Crypto mining aims at processing or verifying the various types of transactions before they appear on the blockchain’s distributed ledger. Currently, China exercises about 75% of the total control over this mining network of Crypto.
5. Limited Amount Of Bitcoin
If you were under the belief that one can purchase unlimited numbers of Bitcoin, you were completely wrong. Just like any natural resource, Crypto is also limited. This is the reason why the value of Bitcoins increases whenever there is a shortage of supply.
Some Risks Associated With Cryptocurrency
1. No Proper Of Regulation
Action has been lacking against the lack of proper regulations while trading Cryptocurrency. One must not be surprised to find that Cryptocurrencies are being used by criminals and smugglers too. So, an adequate set of regulations is key to ensuring better protection and safety.
2. Cyber Risks
Cryptocurrencies may also pave the way for cybercrime. Cyber attacks and hacking have been some major threats to such a market lately. It is essential to be aware of the dangers caused by this.
3. High Volatility
High volatility refers to a sudden shift in the market positions that can cause immediate fluctuations in the price. This is one of the major risks faced by not only the virtual markets but also by the other financial sectors.
The Bottom Line
One needs to learn so much about Cryptocurrency before making the right choice and opting for one. So, proper knowledge and skills are the need of the hour before investing in such virtual currencies.