Before going in-depth about the influence of fake news on bitcoin or blockchain technology, we must understand in brief how blockchain technology works. Bitcoin is a cryptocurrency or a virtual currency that does not need any regulation by a centralized institution or the government. In other words, we can say that cryptocurrencies allow us to perform transactions in a decentralized manner. Blockchain is a series where the information about a bitcoin or any other cryptocurrency transaction is stored. The data about a new transaction or exchange(which occurs using websites like bitcoin investing gets added to this series that already carries information and history about previous transactions. There are a lot of factors that either influence blockchain technology or remain under the influence of the same. In this article, we will try to understand if and how fake news impacts the blockchain and are there ways in which blockchain can tackle such news.
Spread of misinformation: A bane in the crypto world
Bitcoin was created by masterminds and it was very difficult for the majority of the population to understand. Soon it became one of the hottest topics of discussion among investors and even the general public. This has somehow influenced its abrupt growth in value. Scammers are sitting out there just to look for an opening and use fake news to impact the exchange of crypto among users. Since bitcoin and other cryptocurrencies are not backed up by any central body or institution, there would be nobody taking responsibility during a time of crisis. Various relevant concerns in the world of the economy arise questioning the sudden hype and authenticity of cryptocurrencies.
The need to combat fake news
The general public is losing trust in the media due to the lack of authentic and relevant news provided by them. Fake news has driven us all into believing false facts at some point in time.
Media enables us to spread information to every corner of the world and about everything. After the emergence of digital media in the 21st century, the probability of coming across fake news has also increased significantly.
People have free access to share any information over the internet which barely takes a second to reach millions out there. This is one of the major issues of increasing misinformation.
Role of Blockchain in curbing fake news issues
Blockchain is considered to have the capacity of transforming how information is created and distributed worldwide. People are talking about how blockchain can take over and become the new internet of this era. Blockchain-based news platforms will provide you a reliable way to verify the authenticity of content or information.
Advantages of having blockchain-based news platforms
- Transparency- Blockchain provides transparency and hence we will be able to judge the authenticity of the news.
- Traceability- Blockchain functions in a very transparent manner which allows it to be traceable. Any information of news can be traced back to where it was created and authenticity can be maintained.
- Decentralized approach- Blockchain technology solely works in a decentralized way. It is not regulated by any central authority or government institution. This will help in eliminating the favoritism of any news channel and avoid manipulation of any information.
- Rigidity- As blockchain technology is very rigid and immutable, no content or news can be tampered with (changed or deleted).
Everyone around you might seem to be making money and getting rich investing in cryptos. But, it is always wise to remain well informed and keep your brush off the greed palette to avoid a sudden misfortune. Keep your senses wide open while you are investing in bitcoin. Just a piece of news on Twitter or a post on Facebook should not intrigue you to invest in cryptocurrencies right away.
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