The idea of becoming a millionaire quickly by buying or selling private crypto currencies like Bitcoin has been buzzing around social media lately. The reality is that creators of private crypto currencies are becoming mega-millionaires. Millions of people who trust it and invest are cheated.

A man in Kerala, Thomas, lost all his life savings to a gang who claimed to double his money in the name of 'Morris Coin Crypto currency'. 900 people like him Rs. 1,265 crores fraud has been committed by this gang.

Tens of thousands who invested in the crypto currency Gain Bitcoin, created by an Indian developer, were defrauded. 33 FIRs were registered in India alone. Crypto currency scams including “GainBitcoin”, “Bitconnect”, “Morris Coin”, “Ether Trade Asia” in India alone cost more than Rs.72,000 crores of money have been cheated as per the reports.

Crypto currency is digital money. It is an electronic money created in a computer technology called “blockchain”. It is said that money and goods of any country can be bought using this. Crypto currency cannot be seen with your eyes. Private crypto currencies cannot be regulated by any country's government. Bitcoin currently holds the numero uno position in the world digita currency. Currently one Bitcoin is worth Rs. 15,84,288.89. No one can predict when its price will rise and when it will fall. There are tens of thousands of crypto currencies such as “Ethereum”, “Cardano”, “Solana”, “Tron”, “Sushi”, “bake”, “cake”, “banana”, “shibu”, “chia”, “safemoon”.

India is the 2nd largest Bitcoin user in Asia. China is number one in Asia. India ranks 6th in the world after USA, Nigeria, China, Canada and Britain.

Many economists warn that private crypto currencies like Bitcoin are all illusions. However, a few like Elon Musk, one of the richest people in the world, have started investing in Bitcoin. As far as the mega-millionaires are concerned, even multi-billion losses can be sustained. As far as the concerned poor and middle class people, don't copy the mega millionaires and shoot yourself in the foot.

Warren Buffett, considered the epitome of stock market investors, said, “I wouldn't buy all the bitcoins in the world even at the least price. We should all remember that comment made at an investors meeting that it is important not to be deceived by scams, just as it is important to see profit in investment.

Being an out and out 'online' currency makes it easy for "cyber" criminals to misuse crypto currencies for fraud. That is why the RBI issued a circular on April 16, 2018 banning crypto currency trading in India. However, the Supreme Court lifted the ban on March 4, 2020, and allowed crypto currencies again. The Indian government has announced that 30 percent of the profits earned from crypto currency trading will be taxed.

It has been announced that in early 2023 the Indian government will issue a digital currency with the name “Digital Rupee” and after that all private crypto currencies will be banned again in India. Otherwise, don't be fooled by advertisements in the name of private crypto currencies.

.    .    .

  • Note: Names appearing in the article described in the series have been changed.