As a cryptocurrency investor, you would have noticed the plethora of fake news flooding the industry and its impact. And it’s very disappointing to see that many reliable cryptocurrency news websites and experts are also guilty of spreading some fake and unverified news.
Whether it’s just a trick to keep readers glued to the website or lack of reliable news source or a strategy to make sales, these major players in the cryptocurrency news niche have repeatedly misled the public with their fallacious content.
We have listed three of most ridiculous fake news, their effects, and how to play safe in this game.
One of the fake news that got the cryptocurrency community talking was the report of the death of Vitalik Buterin, co-founder of Ethereum. The story purported that he was involved in a ghastly motor accident and didn’t survive.
ETH lost $4 billion in less than 24 hours after this heinous news, which shows the kind of effect fake news can have on cryptocurrency. The following day, Vitalik made a tweet on his official Twitter page to inform users that he is okay and healthy.
Nonetheless, Ethereum remains the second most valuable cryptocurrency in the industry.
December 2017, while bitcoin soared to the moon, another fake news hit the Cryptoverse. A New Zealand Herald, a fake website, shared a post on Facebook that the Prime Minister has invested in Bitcoin. The webpage included a quote attributed to the Prime Minister which reads:
“I have invested in Bitcoin because i believe in its potential, the capacity it has to transform global payment is very exciting,” John Key, 38th Prime Minister of New Zealand.
The news was really captivating and encouraged FOMO users to purchase some Bitcoins. People who trust John Key for his word may have also invested after reading the news.
Although the news helped some sellers to make gains within a short period, the Prime Minister later denied being involved, and that he has never invested in Bitcoin. He told newspaper:
“This is outrageous. People are at risk here, and you’d think Facebook would take their responsibilities seriously.”
The post, however, has been removed.
This news set the Internet ablaze as it was reported that one of the largest online shops, Amazon, is planning to add bitcoin to its list of payment options.
However, it was found out that the fake news is from a newsletter written by James Altucher, a major figure in the cryptocurrency industry, speculating that Amazon may soon adopt Bitcoin. This speculation was made based on the fact that Overstock, Amazon’s main rival has already adopted Bitcoin as a means of payment. Amazon has not released any information concerning the use of Bitcoin for payment.
The cryptocurrency Industry may continue to produce fake news but with these tips below you can avoid falling for some fake content.
This article was first published on: May 1, 2018