In today's digital age, Bitcoin, as a virtual currency, has attracted much attention. However, many people question why Bitcoin is questioned. What exactly causes this doubt? Let's explore it in depth and uncover the fog behind Bitcoin.

As a decentralized, encrypted digital currency, the technology behind Bitcoin, blockchain technology, is considered a revolutionary innovation. However, despite its wide recognition and application in recent years, Bitcoin still faces some doubts and challenges.

First, the volatility of Bitcoin has always been a focus of attention. Due to the instability of the Bitcoin market, its price fluctuates greatly, which brings greater risks to investors and holders. For example, from the end of 2017 to the beginning of 2018, the price of Bitcoin soared and then fell rapidly, and many investors suffered huge losses. This extreme price volatility has caused people to question the true value of Bitcoin, believing that it lacks stability and reliability.

Secondly, the anonymity and regulatory issues of Bitcoin are also one of the reasons why people are skeptical about it. Due to the anonymity of Bitcoin transactions, some criminals may use Bitcoin for illegal transactions, such as money laundering and smuggling. This has caused regulators to worry about Bitcoin, fearing that it may be used for criminal activities. For example, there have been reports that Bitcoin was used to pay for ransomware, which further exacerbated public doubts about the security of Bitcoin.

In addition, the fungibility and practicality of Bitcoin are also the focus of controversy. Although Bitcoin is considered a digital gold with anti-inflation and value storage characteristics, its application in real life is still limited. Currently, there are few merchants that accept Bitcoin payments, and the speed and cost of Bitcoin transactions are not satisfactory. This makes some people doubt whether Bitcoin really has practical use value, rather than just a speculative tool.

However, despite the many doubts faced by Bitcoin, it still has great potential as an innovative financial tool. With the continuous development and improvement of blockchain technology, Bitcoin may gradually solve the problems it faces and win the trust and recognition of more people. At the same time, regulators are also increasing their supervision of the Bitcoin market to make it more standardized and transparent. These measures are expected to enhance the legitimacy and sustainability of Bitcoin and lay a solid foundation for its future development.

In summary, the reason why Bitcoin is questioned is mainly because of its high price volatility, strong anonymity, and limited practicality. However, with the continuous advancement of technology and regulation, it is believed that Bitcoin will gradually mature and become a more reliable and widely accepted digital asset. Let us wait and see the future development of Bitcoin.

The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

Many people question Bitcoin. Why is Bitcoin questioned? Blockchain is the hottest topic and field nowadays. While attracting technology pioneers, it has also become a topic of conversation for everyone. As for Bitcoin, which is the representative of blockchain, there are always some people who do not understand Bitcoin and slander and criticize Bitcoin. Let us analyze this issue from three chapters.

Mindset

Mindset 1
: These grapes must be sour. People who have no money and energy to invest in Bitcoin find that, wow, it has risen so fiercely, I must find a reason to convince myself to deny Bitcoin. People who failed to get on the bus thought, oh, it has risen so many times, it will become a bubble one day. The mentality of saying that grapes are sour because they can't eat them is the most common. They don't want to admit their missed opportunities, so they comfort themselves in this way.

Mindset 2
: Instinctively resist new things. Bitcoin is a new thing, I don't understand it. People's instinctive reaction to things they don't understand is to reject and deny, and avoid possible dangers to themselves. The more subversive the technology, the greater the criticism. Before bicycles were widely used by everyone, if you were given a drawing of a bicycle, would you doubt that such a structure could maintain balance?

Mentality 3
: A mixed mentality. I am unwilling to cut my losses after losing money. I just want to discredit it on purpose. I don’t know what Bitcoin is, and it has nothing to do with me. I am unreliable and I just want to criticize it. There is no specific reason. I just want to join in the fun.

Tulip speculation

The tulip speculation in the Netherlands is a famous example of speculation in history. When tulips first entered the Netherlands, they were just ornamental flowers for the aristocracy. Later, tulips gradually became a symbol of social status. The unique characteristics of tulips made it an object of speculation. The price of tulips increased day by day, and people flocked to buy tulips. The price of the most expensive tulips was even equivalent to a house in the city at that time. When someone realized that such speculation could not create value, a large number of people sold tulips, and the tulip bubble should have burst.

Characteristics of tulip speculation: tulips have no practical value, tulip speculation is a small-scale phenomenon, and tulip production can be unlimited.

Then let's take a look at whether Bitcoin has such characteristics.

As the first product of blockchain, Bitcoin can obviously be used for convenient cross-border payments. The circulation of digital currency is not limited by national boundaries and does not need to go through any intermediary institutions, making value transfer extremely convenient.

Bitcoin is not circulated in a small range. Bitcoin has become popular all over the world.

The total amount of Bitcoin is not unlimited. Bitcoin does not have a centralized issuer, but is generated by the calculation of network nodes. Anyone can participate in the production of Bitcoin. But Bitcoin is not issued in unlimited quantities. Its issuance is controlled by software algorithms. The total amount is constant at 21 million. As more and more coins are mined, the reward will be halved.

It can be seen that the characteristics of Bitcoin are completely different from tulip speculation.

Locusts in the currency circle

Some locusts in the currency circle illegally use Bitcoin to launder money or use Bitcoin to make money through pyramid schemes, causing people's prejudice and misunderstanding of Bitcoin.

First, due to some characteristics of Bitcoin, it is used by some criminals as a good helper for money laundering and bribery. Some black money in China can be exchanged by buying Bitcoin and then going abroad. Unlike any country's currency, every transfer is regulated. Bitcoin is not issued by any country, nor is it regulated. It is impossible to trace its source and has become a tool for criminals to launder money.

Second, some scammers use the emerging concept of blockchain to register shell companies without any blockchain technology support and create fake websites to fool the public. Under the banner of virtual currency, they collect membership fees by constantly attracting members. MLM coins themselves have no value and are not supported by real projects. Therefore, once the project operator absconds with the money, no matter how many times the glorious history of the MLM coin has increased, the value of the MLM coin can only collapse in an instant and return to zero. People's hard-earned money is like a moth to a flame, and the stone sinks into the sea.

Bitcoin's underlying technology blockchain does face some technical challenges. First, the theoretical maximum value of the Bitcoin network information throughput is only 7
tps. Second, a long delay time is required to ensure security during Bitcoin transactions. Third, there is a possibility of 51%. Finally, there are energy consumption and privacy issues. But these cannot affect the accelerated implementation of blockchain technology.

We should not slander or attack Bitcoin or blockchain technology out of jealousy, resistance or because of the smears of some lawless elements. It still has huge potential application value that can improve our lives waiting for us to explore.