Finding the correct information online is always challenging. When it comes to cryptocurrency, it appears there is plenty of misinformation to be wary of. Surprisingly, most of this misinformation is distributed by financial experts and firms.
Misinformation Affects Cryptocurrency
Given the complex nature of cryptocurrencies, doing one’s own research is more than warranted. As appealing as this industry may be, there is a very steep learning curve to contend with. Conducting research into cryptocurrency requires finding the correct information pertaining to specific aspects. In this day and age, that has become a lot more challenging, mainly due to misinformation.
One recent incident was caused by the China Electronic Information Industry Development. This entity has published several blockchain reports, which is a positive step. Unfortunately, there is a fair amount of misinformation in their second report. Some of their findings seemingly ignored critical information. As such, one can argue readers of the report are being deceived, although not necessarily on purpose.
The CCID’s take on EOS has rubbed many people the wrong way. In their report, it is mentioned how this project is considered to be blockchain 3.0. While that may still come true, the report never mentions the recent setbacks the project has faced. Nor did they outline how the project’s mainnet only launched a few weeks ago. The CCID even listed EOS as their top cryptocurrency with no real research at all to back the claim up.
The Rise of Memes and Bias
Misinformation in the cryptocurrency world can come in many different forms. The growing number of cryptocurrency-related memes has also been a contributing factor. Some of these creations look almost genuine and tend to confuse financial experts around the world. It can even lead to one-sided research papers pertaining to specific aspects of cryptocurrency.
Perhaps the biggest contributing factor to misinformation is the perceived bias by financial institutions. More specifically, banks have a habit of discrediting Bitcoin whenever they can. This has resulted in negative comments regarding cryptocurrency mining which isn’t entirely accurate. Biased research will lead to more misinformation and only compounds the existing problems in this regard.
One has to wonder how all of this will affect future regulation of Bitcoin. Government officials need to make a well-weighted decision in this regard. Unfortunately, it seems there is no “middle ground” in this area. India leans toward banning cryptocurrency altogether, whereas the IMF sees no reason to regulate Bitcoin. Without a consensus based on accurate data, cryptocurrency will remain at the mercy of fickle institutions that have no real understanding of the ecosystem.
Do you think that banks and other financial institutions are pushing misinformation on purpose or by accident? Let us know in the comments below.
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