Top Bitcoin Scams and Failures

By Ehsanul Hoq

“We detected what we believe to be a coordinated social engineering attack by people who successfully targeted some of our employees with access to internal systems and tools.”


Sir Isaac Newton was known to the world for his scientific discoveries. But do you know that he was appointed as a MASTER OF THE BRITISH ROYAL MINT in 1699?

During that time, Newton faced the biggest challenge of the 17th and 18th century: COIN COUNTERFEITS. Newton successfully used his experience in methodological and pragmatic approaches to stop the counterfeit issue. He used techniques to make the coin engraving more difficult to replicate by the scammers. Newton was successful.

Now after 300 years, the coin counterfeits and scammers are again one of the most discussed issues in our society. The only difference is that Newton’s GOLD COINS are now replaced by DIGITAL COINS.

From the title, you should have an understanding that today we will talk about the BITCOIN SCAMS. Before we start I would like to go through a basic introduction of the Bitcoin. Then you will get a quick overview of some Bitcoin Failures. If you like the discussion we expect you to read the other parts where we will discuss some of the greatest Bitcoin scams from 2010 to 2020.

Bitcoin: The Future of Currency

“Bitcoin is a remarkable cryptographic achievement and the ability to create something that is not duplicable in the digital world has enormous value.”

Eric Schmidt (Google CEO)

In late 2008, a mysterious paper was distributed to the finance world. The paper caught the eyes of the people who wanted to use digital power to disrupt the current financial infrastructure. The domain was booked as BITCOIN.COM and the paper had a title Bitcoin: A Peer-to-Peer Electronic Cash System.

Suddenly, a group of people found new ways to use currency online. They started implementing more and more features to bypass the traditional central bank currencies. This is how Bitcoin went to the history pages.

But Bitcoin was still a new and growing thing. People started to Google- Is bitcoin safe? Those days even Google had no answer to this question. And this is how the Bitcoin scams became an easier way to steal millions since people thought Bitcoin will be a safe investment tool.

Bitcoin also had another vision- replacing the conventional payment systems. But in 10 years, Bitcoin as a medium of exchange remained very small compared to the overall trading volume. Furthermore, Bitcoin was slower than the credit card, debit card, and other fiat alternatives.

But what made Bitcoin so popular was the EXTREME PRICE VOLATILITY. Investors found a new tool to make themselves rich. At the same time, the chances of getting scammed by Bitcoin hackers remained a threat. On the other hand, too much Bitcoin price volatility discouraged the merchants from involving in the new digital currency.

Although constant failure by the Bitcoin developers provided a good opportunity for the Bitcoin news hunters, investors never understood that Bitcoin can be traced back by real people. The power of Blockchain as a ledger of Bitcoin can make the overall system more transparent. However, the lack of knowledge on how to get Bitcoin back from the scammer is the main reason BITCOIN FAILURES can’t be stopped.

Bitcoin Failures

Some of the known failures of Bitcoin are-

  • Scaling and latency failures;
  • Visa handles thousands of transactions each second unlike Bitcoin which has a scale problem;
  • Miners need to pay extra fees to solve the latency problem;
  • Bitcoin Core version 0.8 released in March 2013 had a major compatibility issue and could’ve been a great disaster;

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Top Bitcoin Scams

1. August 2010

Hackers took control of the Bitcoin network and used a coding error to create 92 billion Bitcoins. This was one of the major hacks in the initial days of Bitcoin, reported by CoinDesk.

Some talented hackers found a way to flood the code and get the vulnerable point.

Bitcoin’s lead developer Wladimir Van Der Laan said, “It was the worst problem ever.”

2. July 2011

With 79,000 BTC, MyBitcoin wallet shut down taking 51% of the investor’s money. MyBitcoin was one of the earliest wallets in the market. It is considered the biggest digital currency heist in 2011.

However, the actual story of the heist is still unknown. It has been considered that investors had to bear $49 million in damage.

3. May 2012

Bitcoinica was hacked in 2012. It was an online service provider powered by Bitcoin. Digital currency experts believe that around 59,000 BTC was lost during the scam which worth $36 million in today’s currency.

The scam happened between March and May of 2012.

4. February 2013

The most shocking heist in the history of Bitcoin was the Mt. Gox fraud. The incident happened in 2013 where the largest Bitcoin exchange failed due to a massive hack. Experts believe that 650,000 BTC was take away from the users.

The total damage was estimated $402 million. The company filed bankruptcy and was liquidated by Kraken, another large volume crypto exchange in the modern days.

This large Bitcoin scam took the media with storm. As a consequence, many regulators started to think about the safety of the investors money in the Bitcoin domain.

5. July 2013

Another massive scam took place by the Ponzi Schemers in 2013. They took 700,000 BTC. As a result, Bitcoin Savings and Trust (BST) got exposed.

The Ponzi Scheme took around $154-$433 million of the investor’s money. The BST founder was found guilty for the scam.

6. December 2013

The final 2013 scam happened when a bug stole 5,400 BTC. In the digital asset terms, a Sheep Marketplace is a silk road-type of the black market. The bug used the Sheep Marketplace for the heist.

The total damage was $59 million and thieves cashed out all the money.

7. Spring 2014

In 2014, Bitcoin lovers faced a massive fraud called the Neo & Bee. The startup took away thousands of Bitcoin from the customers.

Unfortunately, the CEO of the startup Danny Brewster used his employees to make the heist without their knowledge. This gave Danny an opportunity to hide somewhere with the Bitcoins without getting caught for years.

Depositors confirmed around $5.8 million damage to their investment portfolio.

8. July 2015

This time a Mexican Bitcoin exchange was alleged for scamming. The name of the exchange was Unlike the Neo & Bee, this exchange operator was found guilty and sentenced for 5.5 years.

9. November 2016

Unlike exchange scams and hacking the networks, the biggest scam in 2016 saw the kidnapping of an Indian property dealer by the policemen asking for Bitcoins. They demanded $1.8 million as ransom.

Since Bitcoin is undetectable by government agencies they can virtually take the Bitcoin and disappear without getting caught.

10. 2017

A fake exchange called BitKRX made a stealthy hacking of Bitcoins from the users. The fake exchange presented itself as a real exchange and took away investors’ money.

Most of the investors and traders failed to detect the scam. However, South Korean financial authorities and local Bitcoin communities found out the real story behind BitKRX. They immediately exposed the scam to save future investors.

11. September 2018

Hackers allegedly hacked sites filled with Bitcoin. They have stolen the code and took over the control of the sites. Mainly the Bitcoin traders were targeted inside the smaller crypto exchanges. was the main target for the hackers.

12. 2019

This year traders saw a $722 million cryptocurrency fraud scheme. It was another modern Ponzi Scheme. The scheme attracted investors by saying, ‘invite others for rewards.’

However, no investor got the rewards in the end.

13. July 2020

The latest scam that got the attention of the mass media. Since the world is facing a pandemic situation in 2020 hackers wanted to utilize the emotion for a scam. The hackers’ top Twitter accounts like Bill Gates, Elon Musk, Kanye West, and Joe Biden and asked the followers to send Bitcoins.

The tweet also carried the message like, “get double Bitcoins.” Once the hackers got enough Bitcoins in their account they immediately encashed and dissapeared.

Twitter says it was a social engineering attack coordinated by top hackers in the industry.

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Bottom Line

In a few months, Bitcoin will be 11 years old. What started as a way to disrupt the traditional banking system is now well-organized currency for traders and investors.

But like the predecessor fiat system, Bitcoin has been criticized for massive attacks over the years. Experts say, 51% Bitcoin scam happens due to network failures. This creates distrust among users.

The association of Bitcoin with the criminal organization has been an important factor for law enforcement agencies around the world. Studies show that scamming, hacking, and stealing Bitcoins made it impossible to become a world-recognized alternative for paper-backed currencies.

However, it is also true that the modern world need a modern payment solution. So knowing the historical mistakes made by the investors and exchanges can allow the future generation to make Bitcoin the best digital asset in the world.

Please follow our blog to learn more about digital currencies as we will publish more content in the next few weeks. If you agree or don’t agree with our thoughts please leave a comment below.

Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger 

Why China will Lead the Cryptocurrency Race in 2021?

By Ehsanul Hoq

“China’s goal is not to make payments more convenient but to replace cash, so it can keep closer tabs on people than it already does”

Aaron Brown

In the history of mankind, China has always kept itself isolated. Until, the rise of the Mongols in the 13th century, China was known as a great land of mystery to the west.

Marco Polo’s journey in China and meeting the GREAT KUBLAI KHAN was one of the most famous travel story’s till now. But now in the 21st century, China is still a land of wonders.

China has been blamed for initiating one of the most devastating pandemics of the modern age- SARS-CoV-2, a.k.a, the coronavirus pandemic. But behind the scene, China is equipping itself to become a nation that will be followed by many others.

For instance, China created the BELT AND ROAD INITIATIVE (BRI) to connect China with other countries in the west. When the BRI project will be completed, we will get a single superpower dominating ASIA AND AFRICA bypassing every other possible ASIAN competitor like INDIA, JAPAN, AND INDONESIA.

But do you think only a project with roads and ports will be enough for China? The COMMUNIST PARTY of CHINA is trying to replace every possible sector with Chinese products from tech to currency. This is where the CHINA CRYPTOCURRENCY is coming into play.

China Cryptocurrency: Traditional vs Digital

We saw how cryptocurrency and blockchain became top news in the world when BITCOIN prices spiked in 2017. But the technology was dated back years ago by a mysterious person called Satoshi Nakamoto.

Now in 2020, after years of experiments by many countries like Japan, the U.S, and U.K Satoshi’s crypto technology has been centered in the old and mysterious land of China.

Even before China becoming the capital of cryptocurrency, people used mobile payments like ALIPAY AND WECHATPAY instead of paper currencies.

“In order to implement the FinTech Development Plan (2019-2021), the People’s Bank of China has explored approaches to designing an inclusive, prudent and flexible trial-and-error mechanism.”


China Cryptocurrency Race 2021

Discussion Guide

  • A Pilot Program
  • Unwelcoming Reception of Crypto in the Past
  • Bitcoin and China
  • Why China Wants CBDC
  • A Two-Tier CBDC Model

1. A Pilot Program

China Cryptocurrency Race-Pilot Program
Source: Pixabay

China reported $20.5 billion in investments in the growing Cryptocurrency sector in Q1’2018. But all of the efforts started with a pilot program in 2014. The program was initiated by the Chinese Central Bank to create Central Bank Digital Currency (CBDC).

So we can trace the interest of China on Blockchain and Crypto technologies back in 2014 when China was facing constant economical pressure. China had to devalue the currency-Renminbi, 2% to stay in track.

So 4 cities have been chosen as a part of the pilot program – Shenzhen, Suzhou, Chengdu, and Xiong’an. These will be the brand new smart cities with smart digital currencies for the citizens.

Already the spread of Covid-19 allowed China to test the intent of people to use a digital version of the traditional currency system. They just don’t want to carry physical money and wallet that might increase the risk of virus contamination.

But we found a few factors that might force the CHINESE GOVERNMENT to launch the digital currency as soon as 2022. Our findings are listed here below-

Fintech Domination

The domination of ALIPAY and WECHATPAY in the Chinese financial markets is a bigger concern for the China Central Bank. They want to curb out the 90% market share of the two giants using the power of the government-backed digital currency.

U.S Hegemony

China has been trying hard to reduce the U.S presence in global politics for years. Although at first things looked quite normal in China recent activities are not favorable for the United States.

China at first separated itself from others using custom-made apps and software for the citizens. Then they showed the world how to make a strong stand against the U.S hegemony in the trade war. Even Chinese companies started competing with the top U.S companies like Facebook and Google.

Winter Olympics 2022

The biggest opportunity for China to test the newly developed government-backed digital currency at the Winter Olympics 2022. I think Beijing will do anything to prove the world that they are capable of transforming an idea into action within a short time.

2. Unwelcoming Reception of Crypto in the Past

China Cryptocurrency Race-Past
Source: Alexas_Fotos/Pixabay

The journey of Cryptocurrency hasn’t been smooth. The central banks and governments around the world mocked it for being a money-laundering mechanism. The tether crypto which was created to imitate the U.S Dollar had a roller coaster ride in the past.

Even the most popular digital asset, Bitcoin had been negatively represented by many law-makers. So long before China showed their interest, the world never saw the technology very positively.

But China is looking at it as an opportunity to make a strong digital version of their regular banknote. The wallets Chinese people hold in their pockets will be replaced by smartphone wallets. Moreover, they can perform every financial activity without any BANK ACCOUNT.

It can be good news for the global change-makers who wanted to include millions of third-world poor people on the financial highway. How China will benefit from the inclusion? The study estimates that 225 million Chinese citizens will be a part of the financial inclusion if the national digital currency launches in the new decade.

So we can say that Chinese digital currency will surely challenge the dominating U.S Dollar and Bitcoin. Once China develop a state-owned digital currency it will enjoy three benefits-

  • The digital currency will be pegged with the fiat making it more stable than the other digital alternatives.
  • China can help Iran to arm itself and avoid U.S sanctions.
  • China can finance Asia, Africa, and Middle-East to complete the Belt and Road Initiative and other projects without triggering an alarm at the White house.

Hence, we can say that China walked on a different road where they joined the craze of digital assets rather than beating them.

3. Bitcoin and China

Bitcoin and China
Source: AaronJOlson/Pixabay

China is indeed seeking a central bank approved digital currency but Bitcoin is also popular in the country. Researches proved that 66% of the BITCOIN MINING operation happens in China. Since China has a massive technological advantage the miners can use the power to mine Bitcoin at a mass level.

Moreover, Bitcoin trading is also popular in China. Some Sources tracked 90% Bitcoin trading in China at different times. The stories of Bitcoin traders becoming millionaires are not rare in both U.S.A and China.

Bitcoin rollar coaster

On the other hand, the mobile app companies are 16% of the Chinese GDP comparing to 1%-2% in the U.S.A and the U.K. This gives a huge boost of Bitcoin trading in China for the last few years.

There are reports of making Bitcoin an alternative asset class by the Chinese investors during the 2015-16 stock market bearish stance.

4. Why China Wants CBDC

China Central Bank
Source: Alexander Mils/Pexels

We will talk in details about Central Bank Digital Currency (CBDC) in the future episodes but for today’s discussion just knowing the following definition is good enough for you-

CBDC is potentially a new form of digital central bank money that can be distinguished from reserves or settlement balances held by commercial banks at central banks.Bank for International Settlements 2018

One study showed that to issue CBDC 25% of the central banks need authority. So it is difficult for any central bank to come up with a CBDC without having the independence to study and implement.

The money flower
Proceeding with caution –a survey on central bank digital currency; Source:

Although the development of CBDC is not possible for many countries it is quite cheaper for the economy. Why is that? Traditional paper-backed currencies eat up our 1%-2% GDP every year for handling charges. The numbers are quite high where a 1% change in GDP can drop you from the rat race of the economies.

As China has been competing with India, Japan, Indonesia, and other growing nations it is safe for them to start working on the CBDC now in the time of the pandemic. What China will get in return?

Firstly, China will boost tax revenue using the CBDC. Digital Currencies are known as an antidote for tax evasion, money laundering, and terrorist financing. Cross-border payment and money laundering issues will be solved.

Secondly, the ability of China to spy all its citizens will improve. If you watch the Documentaries on China you should know how China dominates the minds of the citizens by using surveillance in different forms. But digital currency will ensure China’s financial surveillance in the future. China thinks this will improve national security.

Finally, China will get power analytics on how the citizens from Beijing to Xinjiang use currencies to purchase products and services. This data will be stored in the Central Bank database ready for analysis instantly.

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5. A Two-Tier CBDC Model

A Two-Tier CBDC Model
Source: Pexels

So far our discussion proves that China is up to something that might change the balance of the world in upcoming days. But our discussion will be incomplete without introducing you to the Two-tier CBDC model.

The previous digital currencies that came to the market were one-tier assets. That means the contact point of the currency was between the buyer and seller. For instance, if you want to buy Bitcoin you just go to the exchange online and transfer the coins in your digital wallets.

China cryptocurrency geopolitical survey
China cryptocurrency geopolitical survey

However, the central banks even in the advanced economies had no interest to implement a central bank touchpoint of the digital version. The survey showed central banks are researching but have no intention to implement a CBDC within this decade.

So Chinese scholars came up with a new way to be ahead in the race. They are implementing the two-tier model for CBDC’s where the first contact will be between the central bank and the financial institutions and the second contact will be between the financial institutions and the general public.

This way China will create a strong presence in the digital currency world without devaluing its current economy.

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What to expect in the future

We are almost at the end of our discussion. After going through tons of studies, I can ensure you that China will become a global frontier in the future of our currency. This will not only empower China but also challenge all the nations out there to adopt the new technology within this decade.

There are reports of intentions of the U.S senators to use digital dollars during the distribution of Covid-19 stimulus bills. So we can say that the U.S will response to the situation with strong hands soon when they will see China successfully dominating the digital currency race.

So get ready to see a digital currency war in 2021 when Allies will face China to stop the run before it gets out of control and rebalance the global economy.

Please follow our blog to learn more about digital currencies as we will publish more content in the next few weeks. If you agree or don’t agree with our thoughts please leave a comment below.

Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger 

10 Hottest digital currencies in the world

By Ehsanul Hoq

The journey of digital currencies started with the Bitcoin in 2009 now numbering around 5,392 after 11 years.

But how many currencies are out there providing us the actual services we need to perform our regular day-to-day transactions?

The answer is very few.

This is Why Digital currencies are becoming a reality from a mystery.

Not many digital currencies or cryptocurrencies have the capacity to replace traditional coins we used for centuries. However, the good news is that a handful of virtual currencies can outperform all the outdated payment systems.

They are considered cheaper and faster channels to send money anywhere. Yes, you are thinking right. You can send money to India sitting back in the US with a little charge whereas the payment will be done instantly.

So why can’t we use such great a technology now? Why are we using credit cards or cash to pay for anything while we can easily adopt digital ways?

Digital Currencies: Myth or Reality

For many years digital currencies have been a myth like one popular till now – “ancients believed in a flat earth.”

In the 1980s, some people might’ve thought that with the help of the internet they can perform transactions with a push of a button in the future while others never believed in it.

Nevertheless, with the introduction of mobile payments, the mythical digital transaction dream is now a reality. The mobile payments are faster and safer than carrying a lot of cash in your wallet. Even mobile transactions outperformed credit cards in many instances.

But mobile payment is not the future we are talking about. Mobile financial solutions can convert your cash into an easy to transfer virtual currency yet it lacks the real digital features like smart wallets, cheaper transaction costs, and a strong community.

So, those who are thinking that mobile payment is our digital currency, they are not accepting the reality like the ancients who never accepted that earth is round.

According to the stats, the mobile payment market hit the market value of $1,139.43 billion with an indication to rise at 26.93% in the next five years. So it is obvious that you are getting used to transfer money or do shopping using mobile devices.

But, in terms of cost, it is not the best way. For instance, if banks want to transfer large loan money they might feel that mobile payment fees are coming in their ways. So for smaller payments, it is Okay to use mobile transfers. But what to do when you have the issue of paying large sums of money to another country?

This is why digital currencies are becoming a reality from a mystery.

Now you might ask me what features the new digital currencies can offer for making your payment experiences better? The answer is blockchain and digital wallet.

When you deposit cash to your favorite mobile financial system you don’t have the authority to save your cash from thieves. Thieves might come in different forms but no one can track where the money is going.

Bitcoin is the most popular digital currency in the world. It is known as the first global cryptocurrency which uses cryptography to record transactions in a digital ledger.

But with the introduction of the blockchain ledger, such problems can be solved in a better way. Hence, whenever a transaction happens blockchain miners will use their mining powers to record the transaction in a digital currency ledger. Using such open-sourced information we can easily trace and safeguard our hard-earned funds from the thieves.

In one sentence, digital currency is a reality now and you should start investing before it becomes a part of our everyday lives.

10 Most Popular Digital Currencies

1. Bitcoin (BTC)

Bitcoin; Source: Pexels

Bitcoin is the most popular digital currency in the world and our first choice for the review. It is known as the first global cryptocurrency which uses cryptography to record transactions in a digital ledger.

You can easily hold Bitcoin inside your digital wallet using fiat currencies or mining the blockchain. Once a Bitcoin transaction is complete it is recorded in the public blockchain where miners verify the transactions to get more Bitcoins.

The advantage of Bitcoin is that it is an extremely volatile currency. If you know when to buy or sell you can anticipate a higher return. The return on investing in Bitcoin is higher than most of the traditional markets like stocks and bonds.

Another advantage is that many businesses (including-retailers) now accepts Bitcoin as payment methods. So you can get both values and security if you invest in Bitcoin.

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2. Litecoin (LTC)

Litecoin; Source: shutterstock

Litecoin is a faster digital currency including many Bitcoin-like features- blockchain, mining, digital wallets, etc.

The transaction processing is really fast, in fact, Litecoin takes only 2.5 minutes to process transactions compared to the 10 minute processing time of Bitcoin.

Similar to many other top digital currencies, Litecoin has a large supply of coins in the market. According to the data, the total Litecoin supply is 84 million making it one of the highest supplied digital assets in the world.

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3. Binance Coin (BNB)

Binance COin
Binance Coin

Binance Coin is the new digital toy for the popular Binance exchange. Initially, the currency was issued on the Ethereum platform with a desire to shift to a Binance Chain ecosystem.

Binance Coin is targeting the traders and travelers to provide regular discounts using their currency. Users can get better shopping experiences, book flights, and hotels with reduced trading fees making it a suitable currency for everyone.

Binance Exchange announced a 50% discount for using BNB during trades making an instant demand for the digital currency in 2017. On the other hand, other exchanges and ICO’s also accept Binance Coin as a transaction tool.

Already BNB was listed as a payment partner of Uplive which is a leading Asian video streaming platform.

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4. Ethereum (ETH)

Ethereum; Source: Unsplash

Ethereum also made it to the list of the most popular digital currencies in the world thanks to its recent growth.

The coin it uses is called the Ether which serves as a fuel for the Ethereum platform. When the miners mine Ethereum they verify the computation using Ether.

The biggest advantage of Ethereum is the smart contract feature. This feature ensures safety and speed during transactions making it a desirable feature for the digital currency users.

The smart contract is really fast. Generally, when we make any transaction it needs some paperwork to check the validity of the event. Using smart contracts Ethereum users can easily transfer large sums of money using digital power without waiting for any paperwork.

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5. Tether (USDT)

Tether coin
Tether coin

Among all the digital currencies we covered in this blog, only a few have controversies. Tether is one of the currencies which has an allegation of covering up missing funds.

Despite such allegations, Tether has a market reputation for being a “StableCoin.” Tether uses a $1.00 reserve for each of the coins they issue making it more stable than other digital asset alternatives. Tether also claimed that the USDT coin is the fiat currency on the Bitcoin blockchain.

On the contrary, Tether is really fast and safe. The blockchain-backed asset is less volatile than the competitors and more accountable. The stability and simpler exchange rates of USDT/fiat have been complemented by many individuals, merchants, and businesses. The future incorporation of smart contracts might allow Tether to dominate the market for being a digital alternative of fiat currencies.

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6. Ripple (XRP)

xrp (ripple)
Ripple; Source: Pixabay

Ripple with the coin XRP is making an impact as a digital currency. It has a desire to become a go-to cryptocurrency for any kind of payment transfer with a supply of 99 billion XRP’s in the market.

The core strength of Ripple is that it supports fast transactions. The transaction processing can be reduced to four seconds which is faster than any other digital assets out there. Comparing to the multiple-day processing period of credit cards, the processing speed of Ripple can surely bring a change in the payment system industry.

Some of the strong appearances that you should check out are-

  • The currency has higher scalability.
  • Supported by investors like Accenture and Google Venture.
  • Borderless transactions are faster and cheaper than ever with XRP coin.

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7. Bitcoin Cash (BCH)

Bitcoin Cash
Bitcoin Cash

Since Bitcoin is the most desired digital currency in the world, some new versions of coins were introduced later to improve the existing problems of the Bitcoin. The Bitcoin Cash was introduced with a vision to improve the scalability issue of Bitcoin.

The transaction speed of Bitcoin is quite low which many competitors like Litecoin or Ethereum improved in recent years. So by outperforming the scalability issue Bitcoin Cash gained a lot of attention in the digital currency industry.

Bitcoin Cash transactions are always lightning fast and have super cheap transaction fees

The block size of Bitcoin Cash was decreased to between 8 MB and 32 MB in contrast to the 1MB block size of Bitcoin.

The interesting thing about Bitcoin Cash is that it was launched in 2017 Amidst a war of words between the digital currency stakeholders. Most of the major crypto exchanges supported the launch making a instant price hike like its sister coin (Bitcoin).

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8. Libra

Libra Cryptocurrency
Libra Currency

Libra is the most desired digital currency in 2019 that created a strong media buzz that year. Libra was a digital currency announced by the Facebook developers making it an instant hit.

The goal of Libra was to empower the 2.6 billion Facebook users with a payment system that can be used inside the ecosystem. Libra will develop a digital financial infrastructure that will be cheaper, stable, and faster.

Such financial infrastructure might make the currency stronger since many digital businesses on Facebook can easily buy and sell products with Libra as a native currency.

However, regulators had a fear that Libra can become a threat to the fiat currencies and forced Facebook to stop launching the project. Mark Zuckerberg, the CEO of Facebook announced that he will hold the launching until they get approval from the authority. So we can expect that when Libra will be launched in the near future it might increase the acceptability of digital currencies among the billions of Facebook users.

To learn more check out this Whitepaper-

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9. EOS

EOS coin
EOS coin

EOS is a powerful digital currency with the possibility of making millions of transactions in seconds. You might never hear of a currency with user-friendly features. But EOS is promoting that they have a user-friendly currency for its users.

So how can be a currency user-friendly? First of all digital currencies need a network that is responsible for all the digital transactions. Previous digital currencies had networks that were slow and weak. So users had complaints about the usability of the network platforms which EOS is trying to change and give a better experience for every transaction users make using their coin.

EOS is built to be used by the mass. For insteance, businesses can use EOS to built applications whereas cross border settlement will be made easier in the upcoming days.

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10. Bitcoin SV (BSV)

Bitcoin SV
Source: aithority

The emergence of Bitcoin Cash from the core Bitcoin made it possible for the fans to get a coin that has a better block size.

But, some developers wanted to keep the original vision of Bitcoin in another scalable currency. So they developed Bitcoin SV.

According to the Bitcoin SV developers, they have created a new massively scaled Bitcoin called “Satoshi Vision” with a request from the top enterprise miners like CoinGeek.

Bitcoin SV is the last but not the least digital currency we are covering today. Bitcoin SV can be a good choice for businesses to create applications on top of the digital currency. The currency is known as more reliable than other digital alternatives. Subsequently, BSV has the vision to replace all the current payment systems and improve merchant business transactions by making it safer and cheaper.

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Further Reading:

Why we take poor Personal Financial choices in Life?

How Bkash can change the personal finance domain in South Asia?

Financial effects of global warming

5 financial developments of Ancient Persian Empire

World’s 5 Youngest Billionaire

End Note

Each year, developers are trying to create new digital currencies providing more solutions to different industries. Since the 21st century has seen the uprising of people who need faster and cheaper exchange services sitting in their bedrooms, digital currencies are more desirable than ever.

We talked about the hottest digital currencies that have more media coverage due to their overall performance. But many better-performing currencies might be left out due to their interest in single features like serving the cannabis industries or local businesses.

On the other hand, most of the Western nations are slow about adopting the change in the form of the currency from fiat to digital. They are trying to take time before making the digital currency a popular alternative to credit cards and mobile financing.

But China has already taken steps to make a stronger digital form that might fight the global currencies.

So we will talk about Chinese plan to adopt digital currencies in the future.

Please follow our blog to learn more about digital currencies as we will publish more content in the next few weeks. If you agree or don’t agree with our thoughts please leave a comment below.

Next Episode: Why China will lead the digital currency race in 2021?

Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger 

5 ways digital currency is going to change the business transactions

By Ehsanul Hoq

Something surprising happened in 1950 when Ralph Schneider and Frank McNamara found a popular payment method called Charge Card, father of the Credit Card. To use a charge card users must pay the entire balance off each month.

70 years passed since then and now we have sophisticated technologies like magnetic strips and EMV chips dominating the business transactions around the world. Popular credit card brand Mastercard now earns $12.497 billion each year serving the global population.

However, credit cards are not the only payment methods serving the payment market. New technologies are entering the payment industry with the hope to make life easier for buyers and sellers.

In the new age, digital currencies are now competing with cards to become dominant in this lucrative industry. In 2009, the world’s first cryptocurrency Bitcoin was invented by an inventor called Satoshi Nakamoto. Since then the popularity of cryptocurrency as a digital currency is becoming widespread. On the other hand, the complex algorithm of it also known as the blockchain is creating scopes for entering the payment system race to beat the already established credit card market.

Here’s an infographic from visualcapitalist which you should have a look before going through the entire blog.

The future of crypto payments infographic
Source: visualcapitalist

Clearly, we can see that digital currencies have commercial possibilities to overthrow traditional payment systems. Digital transactions are easier, safer, and cheaper than any other previous option.

So a shift towards retail digital currency payment can be a big opportunity for us. Instead of carrying cash currency or a plastic card, you can easily pay for your favorite product using the digital wallets built for it.

The popularity and the active user numbers of cryptocurrencies are also going high. Numbers might reach 5.8 million which was only 0.8 million in 2013. The most exciting news is that many retailers are already accepting virtual cash transactions ranging from Subway to Cannabis sellers. So can we anticipate a major shift in business transactions within a few years? Let’s start digging.

What is Digital Currency Transaction?

Many recent researchers are trying to understand how business transactions will happen in future days. For instance, they are expecting that in 2025 you might go to a retail shop and purchase some daily necessities using digital coins.

Digital currency transactions happen when the stored balance of virtual money is used to make payments or buy products/services from the seller.

The great thing about virtual currency is that it has no physical existence. You only hold a portfolio of currencies in a virtual form. The wallets will be digitized so you can use your mobile or computer to transfer currency in other accounts. Both online shopping and physical product buying will be easier than ever.

You can buy any kind of goods unless the seller doesn’t find it useful to accept digital currencies. Transforming retail market payment methods can be a way for digital currencies can reach to the mass global population.

Many top global retailers have already understood the future of digital currencies and accepting crypto payments on a test basis. Shops like Whole Foods, Nordstrom and Starbucks are accepting Bitcoin payments.

Nonetheless, bitcoin is a volatile currency making it a risky digital asset to use in day-to-day purchases.

Hence, many other digital currencies are making their way through in the payment method industry by keeping the price stable as well as providing all the modern features Bitcoin offers.

So, what is our stats to justify the bright future of digital currencies in business transactions? Our study suggests Global E-commerce was a $3.53 trillion market in 2019 where more than 60% of customers used mobile devices. However, the payment method technology hasn’t upgraded that much in recent years comparing to the growth in the business.

So we have a shortlist of digital currencies that are already trying to enter the global payment system by replacing other older payment methods like credit cards. The features of each currency are different from another and let’s see which factor might give us the world’s first virtual currency with a stronger payment network.

Digital Currencies offering payment servicesFactors to determine the success
BitcoinHighest market cap
EthereumSmart contracts, secure digital contracts and popular in the business world
LitecoinAffordable than others
Source: sage

Now as we have gone through the digital currency transaction possibilities, let’s learn how digital currencies will transform the business transactions in the following quick guide.

Five reasons to transform the business transactions

1. Boosting Global remittances

Touching the globe
Source: Pexels

The migrants of developing nations send $550 billion remittances each year in their own countries. Many of these nations rely on the inflow of remittance to boost up their economy.

However, remittance channels can be very expensive. The transaction cost of sending money varies depending on the amount sent. The charges can range from 6%-10% which is a lot for a remittance dependent family.

In the migration data portal, we have found that due to the distortion of the actual cost data, World Bank is trying to estimate the remittance transaction costs. The purpose is to monitor and reduce transaction costs as low as 3%.

What if we can introduce a new currency that can transfer remittances around the world quickly at a cheaper price than the regular payment gateways?

This is where digital currencies can take over the billion-dollar global remittance market using the cheapest transaction costs. Migrants can easily send back digital money to their families by using a mobile phone.

Since the capital requirement for digital currency is lower due to the quick movement of currency, the cost will be reduced drastically. As a result, we will see many new opportunities for business transactions using virtual money technologies.

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2. Safe money for the poor

Poor little girl
Source: Pexels

Unfortunately, most of the businesses are targeted to serve the middle class and the rich. Most of the time, the poor get left out.

Undoubtedly, modern payment systems have no incentives for including poor in their ecosystem. But if we can ensure cheap transaction costs for the poverty-stricken people they can also increase the flow of global business transactions.

We can take the example of Africa.

Most of the nations in Africa are in a developing stage. So they have one of the poorest communities in the world. But when the poor Africans were introduced with mobile transfer technology in Kenya they showed better results.

In Kenya, around 60% of the business transactions happen using just a cellphone. They store, buy, and transfer fiat currencies inside their mobile payment module. So it is also possible for the poor to use digital currencies similarly for making business transactions like paying for food, cloth, and rent.

In another example, we will talk about Bangladesh, one of the rising economies in South Asia.

The country went through a difficult phase after its liberation in 1971. Millions got poor and had to rely on agriculture for years.

In recent years, the country moved from an agriculture-based nation to a modern industrial economy. With the help of mobile payment systems, many needy people in Bangladesh can now perform smaller business transactions. Those who are working in large cities in Bangladesh can now send products or money to their families living in a village.

So, when digital technologies like cryptocurrency and blockchain will start serving the poor, it might provide a better, cheaper, and safer way to do business transactions for the global poor community.

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3. Potential for e-commerce

local bazar
Source: Pexels

The biggest change that digital currency will make is becoming the payment method for e-commerce businesses.

We have already seen a boom in e-commerce due to the COVID-19 pandemic. People are now trusting shops that support virtual currencies.

The use of mobile shopping has also increased in the last few months. Social distancing forced 72% of retail shoppers to use mobile devices to purchase products. So the use of faster and cheaper means of payment methods can boost the overall shopping experience many times.

Mobile devices are the most popular device for online shopping by a wide margin. 72% of consumers are using mobile devices to shop in stores

PYMNTS’ 2020 Remote Payments Study

On the other hand, the digital currency can provide a lot to e-commerce businesses. For instance, the scope of e-commerce will increase as the it can be used borderless at any corner of the world. The processing of payments will be faster since digital currencies can process transactions immediately unlike credit cards that take a few days to process. Once the transaction processing time is lowered the processing fees will also decrease sharply. So retailers can offer better prices to attract more customers.

All of these will be responsible for improving the business transaction process we know today. The e-commerce transactions will happen at a rapid and global scale allowing you to buy and sell products and consume more media contents online in a better way.

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4. Smart contracts

Hand shake as a symbol of agreement
Source: Pexels

To make a currency digital we need a digital wallet. Generally, digital wallets for the cryptocurrencies are designed to serve different platform users. Although you can easily use the wallets virtually to make payments, you might face the hackers taking advantage of the technology.

This is where smart contracts might be a useful option. The definition of smart contract in Investopedia is-

A smart contract is a self-executing contract with the terms of the agreement between buyer and seller being directly written into lines of code. The code and the agreements contained therein exist across a distributed, decentralized blockchain network.


So the blockchain network is an important factor to understand the use of smart contracts. Blockchain is the record-keeping ledger for the digital currency which is updated simultaneously on a global scale.

To make sure all your transactions that are happening inside the blockchain network are safe, smart contracts create a programmable currency and keep the currency inside an escrow account until the product or service is obtained. Hence, the problems of dishonoring the payment can be solved which is a big worry for traditional currency systems. On the contrary, smart contracts can be used to force the transaction to seek multiple authorizes making the transaction safer.

The use of smart contracts can be a game-changer for business transactions. For example, complex financial contracts and borderless transactions can be implemented without questioning the security of the funds. The programmable currency can execute automated actions for purchasing stocks, goods, and services at a certain price. So the future business transactions will be optimized using digital smart contracts.

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5. Faster, cheaper transfers

Source: Pexels

It is true that business transactions evolved much more in the 20th century with the introduction of cash checks, cards, and other forms of banking tools.

Instead of carrying cash people could use a page of check to transfer a lot of money. But the problem was in the processing time.

Processing of checks and cards require a lot of time. As the businesses needed more sophistication regarding the transfer of money, no one could solve the problem for years. In previous times, checks needed 1-2 days to clear whereas lack of funds means the check will be dishonored. From a business perspective it can create a shortage of capital and trust.

Similarly, your favorite credit card has also a complex processing system. When you do a business transaction, for instance, paying for your groceries in the retail shop it goes to an acquiring bank. Then an issuing bank deposits the amount to the retailer’s account with the help of a payment network like Visa or Mastercard.

Due to such a clearing procedure, the cost of business transactions rises thanks to the multiple networks taking a charge for the transaction. So with the introduction of digital technology, digital currencies can break all the barriers and create an instant and cheaper transaction we badly need today in the fast-paced business world.

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Final thoughts

The digital trend is gradually taking over the world. Companies are allowing virtual tools and remote employees whereas businesses are thinking about embracing digital techniques to increase their sales and profit.

Digital currencies like Bitcoin, Ethereum, Verge, and litecoin are already making an impact in the business world. With novel coronavirus taking over the world, these currencies will perform better in 2020 to serve millions. Digital currency is becoming a worldwide pandemic time vocabulary. People are using more and more virtual payment ecosystems to save time and money.

The time has come for us to observe the rise of digital currency in business transactions in the next 5-10 years.

Please follow our blog to learn more about digital currencies as we will publish more content in the next few weeks. If you agree or don’t agree with our thoughts please leave a comment below.

Next Episode: 10 Hottest digital currencies in the world.

Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger 

Is it the right time to invest in digital currency?

By Ehsanul Hoq

600 B.C. Human civilization was just taking shape. The use of fire, iron and wheel made us stronger and smarter. Now, what can be done to make life easier?

In the ancient kingdom of Lydia, people felt the urgency of a portable commodity that can be used to buy and sell things. So they made the world’s first coin out of gold and silver.

For 2600 years, the shape and the form of the currency changed a thousand times. Kings in the past used to mint new coins to become immortal in the history pages. However, the use of paper money was also popular in ancient China which is the most circulated currency in modern times.

IMF Planning Global Digital Currency? by Jameson Brandon

In the twenty-first century, the use of currency became more sophisticated. Banks and Financial institutes created complex money-based products and services to grow our economy. Nevertheless, the desire to change the year’s old paper money and coins grew with the rise of the technology. So we are trying to change the traditional currency to the digital currency also known as a cryptocurrency.

What was the reaction of the central banks when the concept of digital currency came into existence? We went through some of the past remarks of the global regulators and would like to share it with you.

“There have been electronic payment systems in existence for over a decade and there have not been attempts to curb them by using counterfeiting legislation” 

Blockchains and Bitcoin: Regulatory responses to cryptocurrencies
by Andres Guadamuz and Chris Marsden

After the rise of cryptocurrency, the regulation in the U.S was not welcoming. According to the U.S currency code, only the U.S. dollar is the legal tender that means only the U.S. dollar is allowed as the official currency of the United States. But it has also been seen that officials never tried to stop the digital asset growing for the last decade.

In the European Union, regulators showed more softness regarding the regulation. There was no indication in the past from EU regulators to stop digital coins from operating in the zone.

Read Fintech: How Bkash can change the personal finance domain in South Asia?

Read Personal Finance: Why we take poor Personal Financial choices in Life?

Read Ancient Finance: 5 financial developments of Ancient Persian Empire

What is a digital currency

Digital currency is the electronic form of physical currency we use every day. Digital money came into existence when cryptocurrency was developed a decade ago.

Digital currency is associated with complex terms like blockchain network, mining and digital wallets.

Like any other currency, digital currencies can be traded or exchanged in the market. The price of the currency depends on complex financial engineering rather than years old centralized systems used by the bankers. The different thing about digital currency is that it can be created by a group of people called miners. They are responsible for decoding the complex blockchain transaction and get new digital currency as a reward.

Bitcoin was the first digital currency to get global media attention in 2018

The use of digital wallets is also a great breakthrough for digital currency developers. Digital assets that are mined or traded can be stored in the electronic wallets with private keys for better security.

The number of digital currency users has risen in the last few years making it a trending topic in the finance world. The study showed that millions of wallets are active around the world with strong support for growth in the future.

The current number of unique active users of cryptocurrency wallets is estimated to be between 2.9 million and 5.8 million.


Why is this the right time to invest?

1. Higher growth

Growth Potential
GrGroSource: Pexels

The growth prospect of digital currency is unimaginable. Comparing the number of stock returns and cryptocurrency returns we can suggest a higher growth of the digital currency in the future.

In one study, we found that if you have invested $10,000 in 2016 in S&P 500 the investment would’ve increased to $12,000 after 1.5 years. However, for the same investment in bitcoin, the investment might worth $60,000.

So getting growth as much as 500% is only possible by investing in digital currencies. But there is a hidden factor inside this awesome growth. The digital currency’s past performance was dangerously volatile. The price goes up and down like hellfire. If you don’t have the nerve to stay cool in the roller coaster ride than we can’t say that digital assets are your type of thing.

On the contrary, if you can stop being anxious about the daily market movements, great growth is waiting for you in the future. Already we have reports of young digital asset lovers earning thousands of dollars each month just spending some time learning about the digital currency. In one article, Sebastian Rossi was featured for earning $12,000-$15,000 every month by using automated software to trade digital assets.

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2. Global acceptance on the rise

Global digital currency
Source: Unsplash

We’ve already seen the reaction of the regulators in the U.S and EU regarding the rise of digital currency. But it is interesting that the day-to-day currency users like retailers, gamblers and traders are also embracing this shift.

Surprisingly, there are cryptocurrency developers now who provide digital currencies for cannabis producers, payment systems, sports lovers, etc.

Global acceptance is so high that many countries, for instance, China, United Arab Emirates and Israel are trying to develop digital assets to create borderless transactions with significantly fewer fees.

On the other hand, the sudden locked down lifestyle due to the COVID-19 pandemic might force the digital currency creators to be more creative. People are getting more used to digital transactions. Several studies showed that digital payments are rising rapidly all over the world. So undoubtedly, contactless payment is our future.

Since technology has improved a lot for the last few years, we can expect that global acceptance of digital currency will rise to a new height in the upcoming years.

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3. Predictable monetary policy

People in the streets
Source: Unsplash

The cryptocurrency and blockchain technology came to existence when an unknown inventor Satoshi Nakamoto developed the world’s first digital asset – Bitcoin. But most of the central banks don’t know how to incorporate the complex digital asset technology into their traditional monetary policy.

“There are now growing signs that central banks are trying to figure out how to embrace the blockchain future. What will that mean for the money supply process as well as for monetary policy?”

So it is a challenge for the regulators to force the currencies to act like one we use daily. Generally, we know that the monetary policies created for the fiat currencies are not predictable. Hence, Foreign Exchange traders bid on the monetary policies to gain some profit. According to livemint, “There are now growing signs that central banks are trying to figure out how to embrace the blockchain future. What will that mean for the money supply process as well as for the monetary policy?”

The supply of the digital currency is restricted by the algorithm of the blockchain. As a result, gamblers can’t exploit the market due to the sudden shift in the currency supply. We can say this term as a discretionary monetary policy.

Here are some of the top digital currencies in terms of coin supply in 2020-

CurrencyMarket Cap
Bitcoin$179.41 Billion
Ethereum$23.23 Billion
Litecoin$3.03 Billion
Binance Coin$3.17 Billion
XRP$21.59 Billion

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4. Funding the global economy

Rising high in the mountain
Source: Pexels

In the last 30 years, many developing nations like India, Indonesia and Malaysia rose to the ranks due to some changes in the internal policies. Their success has attracted many others to become economically stable in the last few decades.

Many economists are considering the potential of digital currency to provide cheap capital to the poorer nations in the world. So in the future, digital currencies will not only be confined under the regulations of the rich countries but also be used to finance the poorer countries, hence, creating a worldwide reach.

Moreover, the third-world banking system is known as one of the weakest in the world, so we can assume that flow of digital currency in the under-developed nations will replace the traditional banking systems. So the smaller investment now in digital currencies might bring bigger fortunes in the future for you when the digital versions will become prominent globally.

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Read Modern Finance: Financial effects of global warming

Read Modern Finance: 7 things to do if you are fired from a job due to Coronavirus Outbreak

Read Modern Finance: World’s 5 Youngest Billionaire

Final verdict

The world is changing very fast. The tradition we had in the last decade might not be suitable for the future. From clothes to currencies our taste for accepting newer things is evergrowing. The traditional paper-backed money has many loopholes that needed to be addressed very fast to save our economy from the evildoers.

The higher growth scenario we covered surely gives us the notion to start investing in the digital currencies now. It is impossible for the industries like stocks, bonds and commodities to provide a growth such as the digital assets.

The global acceptance of the currency is also a major factor. Most of the powerful global economies aren’t against the rise of the digital currency. They might argue about the overall process of the digital monetary process but they have no intentions to stop the rise of digital currency in the future.

And finally, with a positive vibe inside some of the major central banks despite having a predictable monetary policy and the future possibility of funding the global economy, we think digital currencies will be impacted in the upcoming days. So we, Finance Tomorrow team, highly recommend you to start investing in digital currencies like bitcoin, litecoin and ethereum for a better future.

What do you think? If you have anything more in mind leave us a comment below. We are coming up with more on digital currencies so like, comment, and follow to support our blog.

Next Episode: How digital currency is going to change business transactions?

Ehsanul Hoq

Ehsanul Hoq is an independent financial researcher and freelance content writer/Blogger 

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