If you are interested in trading in crypto currency, you must know certain facts before you start investing. These XTRgate Crypto facts will help you to get a clear idea of the happenings in the crypto market and assist to take your decisions accordingly.
a. One of the biggest problems of blockchains is that they are too much centralized. The basic objective of their operations is fooling the investors with their money. They speak a lot about freedom and decentralization and in reality work just the opposite back-stabbing the investors. Problem is very much rampant among the new entrants. They raise millions of dollars of investor money without being aware of the fact that the process of decentralization is very costly and many new players are not in a position to afford that process.
b. It is a fact that most of the CEOs and CTOs who control the huge crypto currency firms remain clueless when it comes to the word decentralization. They try to convince the investors about it that they are decentralized. But the fact is that they do not have the proper means and tools to understand and implement that technology.
Just take this example. In the year 2017, the number of crypto currencies stood at 902. It has been observed that out of them 142 failed even before they started raising funds from the market. A large number, i.e. 276 of them failed and closed down after raising the funds. Around 59% of them failed draining out around investor’s money worth $104 million.
c. Just have a look at the entire picture. It was seen that only 50 out of 900 of them was able to made return of 5 times. 800 out of 1600, i.e. around 50% of them downed their shutters during the last 2 years. It can be surely predicted that 7 of the 10 new coins will not be able to survive and still they will continue to lure the investors that they are putting their money in the right place. It can be surely said most of the ICO’s are going to be inoperative in the next few years eating out investor’s money.
d. The main reason for their failure is that the entire market is owned and operated by the big whales eating up everything. These people hold around 40% of the total bitcoins in the market and control everything. The market is also influenced by a lot of tribalism and any criticism is shut down and banned and shamed down with.