(Newswire.net — May 8, 2014) — The statements by the SEC mark the continued attacks on the fledgling crypto-currency.
Bitcoin, which was launched in 2009, has continued to see a number of challenges, including rapid fluctuations in exchange rates, regulatory restrictions in China, and the recent failure of a leading bitcoin exchange.
The collapse of Mt. Gox was cited as one of the principle reasons for the a lengthy warning to investors.
The SEC also pointed to the relative “newness” of bitcoin as potential negative.
“As a recent invention, Bitcoin does not have an established track record of credibility and trust,” the agency wrote in its advisory.
Bitcoin related cases continue to confound law enforcement and the SEC as most transactions avoid banks and there doesn’t appear to be any central authority over bitcoin. Seizure and forfeiture are also problematic.
However, as in many things, the purported weaknesses are also what makes bitcoin attractive to many investors.
Bitcoin is looking more and more like the currency of the future, helping people to send and receive money anywhere in the world free of charge with currency that is not controlled by any government agency.
In a recent interview with Roger Ver, bitcoin investor and the CEO of Memory Dealers there are three main reasons that an individual should at least consider adding bitcoin to their portfolio.
“Bitcoin is the first time anyone can send and receive any amount of money with anyone anywhere on the planet. So that’s one reason.”
“You can now send and receive that money without having to pay any fees to Western Union or a bank or anybody like that, so there’s a second.”
“And it’s impossible to have your account frozen or seized, that’s just three out of many. I can go on for hours and hours. But bitcoin is so much better than any form of money that’s ever existed before in the history of the world.”
Learn more here: http://btcmastermind.com/video
Sources:
http://www.pcworld.com/article/2152660/bitcoin-lacks-credibility-and-trust-us-sec-says.html
http://rt.com/op-edge/154400-bitcoin-money-currency-internet/