Common Misconceptions About Cryptocurrencies

Common Misconceptions About Cryptocurrencies

We have prepared for you the 3 most common misconceptions about cryptocurrencies, which have recently become a trend.

FALSE: Cryptocurrency transactions are anonymous and very difficult to track.

TRUE: The perception that cryptocurrency transactions are completely anonymous is one of the main mistakes known to be true. In cryptocurrency transactions, your identity information is anonymous, but your wallet address and transactions are recorded on the blockchain and can be viewed by anyone. Transactions recorded on the blockchain and the movements of wallet addresses can be easily tracked.

FALSE: Cryptocurrencies are not secure.

TRUE: One of the most prominent features of cryptocurrencies is privacy and security. Cryptocurrencies are recognised as the world's reliable digital investment tool. Thanks to the technological infrastructure of the blockchain, your cryptocurrency transactions are carried out safely. However, the protection of crypto assets is the responsibility of the person himself. In order to protect your money, you should take your own security measures first and foremost. Wallet selection and security are very important for safe storage of cryptocurrencies. The most reliable way to protect your investments is cold wallets. You can carry your cold wallets, which you can also use offline, with you or store them in the safe. Cold wallets are easily controlled by users. It is more preferred by users because there is no need for a third party. We recommend that you follow the steps below to take your own security measures:

  • Back up your wallet at regular intervals. 
  • Encrypt your wallet. 
  • Update your software. 
  • Use multiple signing options. 
  • Keep your computer secure. 

FALSE: Cryptocurrencies can make you millions in a short period of time.

TRUE: We should not forget that cryptocurrencies are traded in the same way as assets such as foreign exchange, stocks, real estate. Only because price movements are more than those mentioned above, gains and losses may be higher in the short term. In order to be cautious against such profit promises, we recommend that those who will invest should follow the cryptocurrency projects, infrastructure, transaction volume and price-ratio graph.

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