*Why you might want to think twice before buying crypto!* Today is the last edition of Finshots Cracks Crypto! We know we promised nine weeks, but along the way, we realized some stories flowed better together than stretched apart. Over the past six weeks, you might've thought we focused only on the bright side of crypto. But is it really all sunshine and rainbows? Well, everything has its pros and cons, and we saved the hard part for the final chapter! First up—security risks. Crypto itself isn’t hackable, but scams thrive on misinformation and poor security. From Ponzi schemes like Bitconnect and OneCoin to phishing scams and rugpulls, most crypto disasters happen because people don’t fully understand what they’re investing in. And scammers love that. They play on FOMO, hype, and get-rich-quick dreams. Then there’s the issue of valuation. Unlike stocks that generate profits or gold that has industrial use, Bitcoin doesn’t produce anything. Its value exists because people believe in it. That’s a risk worth thinking about. Even Bitcoin’s security isn’t foolproof. If a single entity ever controls over 51% of a network, they could manipulate transactions. While this is highly unlikely today, the possibility still exists. And what about sustainability? An insane amount of energy is required to mine digital coins. While altcoins like Ethereum have shifted to energy-efficient models, crypto still has a long way to go before becoming entirely green. Plus, Governments worldwide remain divided—some embrace crypto, while others impose strict laws or heavy taxes. But despite its flaws, crypto isn’t just about making money. The technology behind it has the potential to transform banking with instant transactions, power decentralized AI, and cut out middlemen in finance. But if its value is built purely on belief, can it ever become something bigger? Well, this is a long discussion, and since we can’t cover everything here, head onto today’s newsletter! https://finshots.in/archive/finshots-cracks-crypto-7-the-harsh-truth-about-cryptos-and-where-theyre-headed/?utm_source=Summary&utm_medium=WhatsApp&utm_campaign=28-02-2025