Part 07: Common Blockchain Misconceptions

Myth vs. Reality

Myth: Cryptocurrency is completely anonymous
Reality: Most cryptocurrencies are pseudonymous.
Transactions are public, and with enough investigation, identities can potentially be traced.
Some cryptocurrencies (like Monero) offer enhanced privacy, but even these aren't 100% anonymous.

Myth: Blockchain is only for cryptocurrency
Reality: Blockchain has potential applications in supply chain management, healthcare records, voting systems, real estate, and more.
Cryptocurrency is just the first major application.

Myth: Cryptocurrency has no real value
Reality: Like any currency, cryptocurrency has value because people agree it does.
The same is true for traditional currency—a dollar bill is just paper, but we collectively agree it's worth something.

Myth: Blockchain is too complicated for regular people
Reality: Using cryptocurrency can be as simple as using a mobile app.
The underlying technology is complex, but you don't need to understand the internet's technical workings to send an email.

Myth: Cryptocurrency is only for criminals
Reality: While cryptocurrency has been used for illicit purposes, so has cash.
The vast majority of cryptocurrency transactions are legitimate.
In fact, blockchain's transparency can make it harder to hide illegal activity than using cash.