Needless to say, it hasn't been a great day for #bitcoin and the rest of the #cryptocurrency market -- rumors that Binance was hacked is sending shivers throughtout the #investing sphere, which is understandable.
#Crypto coins have suffered from exchange hacks before. This is not the first time, nor will it be the last. However, this too shall pass, as it always has.
However, what drives me insane is the FUD that is artificially generated, and my target for today is the mainstream media.
Difference between Regulation and Crackdown
Apparently, some writers and journalists have a tough time distinguishing the difference between "regulation" and "crackdown." Regulations are necessary to keep order -- pure decentralization is amoral and therefore, chaotic.
And Japanese financial regulators do have a right to maintain order in their nation's cryptocurrency exchanges. After the NEM hack, it's honestly the expected reaction.
It is NOT, however, a crackdown. That's a strong term to implying the cessation of an illegal activity. For instance, our government cracking down on BitConnect should not be conflated with cracking down on Bitcoin, or any other crypto or #altcoin.
The media uses these terms to sensationalize their stories, which they know attracts eyeballs. Worse yet, they fail to back up their usage of the term "crackdown," leaving uneducated or ignorant investors in a cloud of fear and confusion.
A Grain of Salt
I'm not suggesting that you should ignore the news altogether. However, you should take their headlines with a huge grain of salt.
The media, like any organization, is paid for click-thrus and advertisements. They live or die based on traffic, so they are forced to publish sensational headlines, or click-baity tags. And yes, I admit that we all play a part in this. We as a society have been dumbed down, and the vast majority of us let it happen.
Thus, click-bait and sensationalism reigns supreme!
But my advice is to look into the broader context. The media does list facts and real news on occasion.
Great post. Totally agree with you about the media. You have to contrast every news you read. We have to be grateful that we have internet which gives us a lot of source of information to compare and contrast between them.
Good post, I notice that large amounts of FUDD seem to come out right around the time bitcoin takes dips. I hope people eventually learn not to believe everything they read...
False interpretation of the information and this creates a spiral of fake news.