Since they arrived in the global economic arena, cryptocurrencies have received a wide variety of responses. While some have hailed this financial tool as the future of the economic system, others have remained opposed to it. Bitcoin, the largest cryptocurrency at present, has undoubtedly garnered the most unique of responses.
Shrouded in mystery and uncertainty, bitcoin has been an object of curiosity for many. Even those who otherwise stay away from the finances have shown a profound interest in bitcoins. As such, this cryptocurrency has been a target of numerous conspiracy theories. Such theories make diverse and often preposterous claims regarding the origins and nature of bitcoin and its outcome. Many such ideas have been doing rounds worldwide, each positing its version of what bitcoin actually is.
Most of us have enjoyed reading a conspiracy theory or two regarding something at some point in our lives. After all, who does not love a little drama? Bitcoin conspiracy theories are no different. From a possibility of global financial fraud and underlying propaganda of Chinese world domination to a predestined collapse, these conspiracy theories have it all. These have become so popular that they have been successful in influencing the market value of these cryptocurrencies.
These theories are very quick to take seed in the minds of the masses because of the popularity of bitcoin itself. After their inception in 2009, bitcoins soared to great heights of popularity within no time. In just a little over a decade, this cryptocurrency has not only become the most prominent cryptocurrency but has also acquired worldwide acclaim for having the potential of revolutionizing the economic system. This quick popularity came with a lot of distrust and suspicion by many.
Another fact that allows bitcoin conspiracy theories to take seed in the minds of people easily is that it has remained shrouded in mystery since the very beginning. With the creators believed to be anonymous and lacking a central agency in the generation and regulation of this cryptocurrency, it has become easier for most people to doubt and suspect its nature, origins, and ultimate goal.
The price volatility of this digital currency further adds to this. Although bitcoin comes with the potential of exponential gains, it comes with a lot of uncertainty and volatility. Without a central agency, the value of bitcoin keeps rising and falling depending on the market scenario. This uncertain and entirely unpredictable price change leads people to distrust the currency on the whole. However, the arrival of platforms that have a successful bitcoin campaign where experts predict the upcoming changes in bitcoin prices, has solved this problem to a large extent.
Some of the most popular conspiracy theories around bitcoin involve the following:
- The US National Security Agency has designed Bitcoin for tracking the day to day online activities of the citizens.
- China has designed Bitcoin to dominate the global economy.
- Bitcoin’s purpose is to help criminals in nefarious activities. It is used only for money laundering, fraudulent activities, and human trafficking.
However meaningless and untrue, these conspiracy theories have had some impact on the market value of bitcoin. Some of these impacts are:
- These theories have become successful in preventing people from investing in and using bitcoin. These have given rise to fear and distrust in people’s minds, which makes it harder for them to accept it.
- Conspiracy theories are one of the major impediments to the spread of bitcoin. They are also responsible for reducing the market value of the currency.
- Apart from the negative impacts, conspiracy theories have also had a role in spreading awareness about this digital currency by engaging in negative publicity.
The conspiracy theories that have developed around bitcoin result from the mystery and uncertainty that surrounds it at all times. Although they have not been able to cause any severe damage, they have indeed affected its reputation and acceptability. However, experts believe that as people become more aware of cryptocurrencies, these will lose ground.