In fact, the first BINANCE study, called the Global CryptUser Index, as of the third quarter of 2020, indicated that there were 101 million Binance users in the world.

Recently, Bryan Benson, CEO of Binance, said that the digital acceleration we are experiencing has transformed several industries. People are more accustomed to working remotely and transacting internationally, which helps the adoption of cryptocurrency. That is why they believe that 2021 will close in a very positive way around cryptocurrency education, operation and regulation.

Analysts in the field believe that the levels of adoption of virtual assets such as cryptocurrencies will continue to increase due to factors such as: access to information about the cryptocurrency industry, as well as the advances and benefits of the sector. Along with other challenges that so far have not prevented growth in general terms, such as: regulations and lack of access to essential resources such as: Internet access, electricity and education.

But today most people are afraid to use this type of digital currencies, because there are many myths.

Most recurrent myths

With the adoption comes the implicit fear that is generated when exchanging virtual assets, either in centralized exchanges such as binance or in decentralized protocols such as Uniswap. This has generated a series of myths around cryptocurrencies, which has prevented some countries and their citizens from using them for fear of losing money or being investigated by law enforcement authorities.

BINANCE is releasing this guide to demystify these fears, and to make you aware of the current reality of cryptocurrencies:

Myth: They are not safe because they are not regulated

Reality: Today there are more than 70 countries where cryptocurrencies are already regulated and at least 100 more are developing projects or studying the possibilities of doing so.

Myth: "You become a millionaire overnight".

Reality: Buying and selling cryptocurrencies is an investment that, like any other, may represent a risk depending on the investor's profile. It is an investment that, in order to obtain profitability, a diversification strategy should be considered and a deep research on the main currencies that exist and the projects that support it should be carried out.

Myth: You can lose all the money invested

Reality: Cryptocurrencies can be used as an investment and keep them (holder) or buy and sell at strategic times (trader) in both cases you will never lose more than what you could invest, it all depends on the time you decide to sell / buy, because you can lose or gain the remainder of the price at which you bought and sold or vice versa.

Myth: There are many cryptocurrency scams and thefts

Reality: Scams exist mainly when people give their money to third parties to generate unreal returns or when you give strangers your private keys to access your digital wallet. That is why it is very important to select a platform that has a rigorous identity verification process and is reliable.

For example, binance, where the security verification levels comply with the best international risk prevention protocols. In addition to this, it is important to remember that blockchain technology allows real-time monitoring of all transactions made, in a secure and immutable way, which means that NOBODY can erase the data recorded in it. Therefore, it is not attractive to scam or steal cryptos on platforms that use blockchain technology.

Myth: Bitcoin and cryptocurrencies will cease to exist.

Reality: The sector is growing and during the more than 13 years historical price highs have been identified ($64,804), due to the supply and demand that exists. Institutional investments in cryptocurrencies (companies, investment funds, etc.) increase the adoption of cryptocurrencies the ecosystem and allow to increase prices and go to new levels.

Myth: It is easy for cryptocurrencies to be hacked and lost

Reality: The verification of the accounts in the exchanges is essential to have greater security, this is done through data and requirements of each platform. Remembering your password or private key is essential for you to have access to your investment, historically the loss of cryptocurrencies occurs because people do not remember their passwords, not because of hacking. However, there are documented incidents of hacks to DeFi protocols, in greater proportion if compared to any attack perpetrated to exchanges such as binance.

Myth: Cryptocurrencies are used to launder money or finance criminals

Reality: False, according to the latest GAFI report (Grupo de acción financiera internacional) The value of virtual assets involved in most BC/FT cases detected to date remains relatively small compared to cases using more traditional financial services and products.