Why You Should Not Store Up Wealth in Bitcoins or other Cryptocurrencies

bitcoinWatever coin you call it, I am not interested.

This does not mean I can't or won't receive payment via my bitcoin wallet, but to store up my money in online currency just because a lot of people think that its appreciation will make them rich or perhaps make them become instant millionaires/billionaires in a couple of years, to me is pure madness and laziness in disguise, there are far more better ways and less risky methods to multiply wealth.

Nothing online is sure, I'll prefer buying a plot of land from a reputable real estate firm to storing up my hard earned income in bitcoins or other crypto-currencies.

Three (3) Flaws of Bitcoin and Other Crypto Currencies

You Permanently Lose Money without Any form of Compensation or Insurance:

Traditional financial products have strong consumer protections. If someone makes a fraudulent transaction with your credit card or your bank goes bankrupt, there are laws in place to limit consumer losses. Bitcoin or other Crypto currencies has no such safety net. If you lose your money storing up bitcoin, your money is gone forever.

Return on Investment Diminishes with the Introduction of a New Coin:

The introduction of a new coin into the market, ensures that we spread our investments across all platforms (blockchain) thereby panning for whatever interest that may accrue on all of them. The introduction of a new coin into the crypto-currency market also diminishes the return on investment on all coins over time. Also See: How Forex Trading Is Going To Be Affected By Cryptocurrency

Of course, the Bitcoin economy may grow rapidly in the next few years, and perhaps investors have bought Bitcoins in anticipation of that future growth. But even if they're right, there's likely to be limited upside. Usage of Bitcoin probably needs to grow rapidly just to justify the current valuation. If its growth fails to match speculators' high expectations, the currency's value is likely to fall even as the "real" Bitcoin economy continues to grow.

Cryptocurrencies will adversely Increase the rate of Money Laundering, Drug Dealing & Gambling Worldwide:

Bitcoin is extremely resistent to government regulation, a factor boosters cite as an argument in its favor. For this reason, Bitcoin has gained a loyal following among those who engage in legally dubious activities such as drug dealing and gambling. As the technology matures and becomes more widely known, more and more people who want to avoid government scrutiny are likely to adopt it.

At some point, federal law enforcement agencies may conclude that Bitcoin is a giant money-laundering machine and look for ways to shut it down. Completely shuttering Bitcoin would be a challenge, but determined federal regulators could at least push it underground. That would greatly diminish its value for legitimate commerce, and so the currency's value would likely plunge the day the feds announce new regulatory restrictions for cryptocurrencies like bitcoins and others.