Being assets but not equity, nor money, they need regulations as such. The usual fear is they could be used for money laundering or to finance terrorism or as black money.
But the technology of issuing these currencies using blockchain makes these assets different from cash in one respect. Cash is anonymous.
If someone picked my wallet I could not claim that the currency belonged to me. But bitcoin and other cryptocurrencies are not anonymous.
If someone hacks into my wallet and tries to resell, the blockchain would be alerted. A string of computers store the information that I bought the bitcoin.
They know my password. Thus, fraud in bitcoin is traceable and we have examples of this already. Read more from financialexpress.com…
thumbnail courtesy of financialexpress.com