Consequences of False rumors
Rumors have their own positive aspects. They make everyone alert and stay safe. But false rumors have their own consequences:
False rumors create so many difficulties for the traders. It results in incurring too much cost due to inflated price and demand. The common man is subjected to hardships because of cost inflation.
False rumors create so much volatility in a market like unstable price movement, sudden fall in demand etc. This result in a heavy loss for all the participants in the financial market. With the wide usage of the internet, social networking etc. the impact of false rumors are felt across nook and corner of the world. Sometimes it affects even those who are not directly related to the subject matter against which a rumor is widespread. Sometimes genuine business houses fall prey to rumor and perish. Sometimes rumors go the extent of shaking the stability of governments. Such huge losses will affect growth, employment and peaceful living of the people.
Rumor creates unwanted fear in the minds of people. This will ruin the enthusiasm of entrepreneurs, investors etc. False rumors prevent people from taking reasonable risk. Hence the fear prevents investors from encouraging new projects/ideas. This will certainly affect growth and prosperity. For example, the false rumor on Crypto Code Scam has created unnecessary panic in the mind of people. This will prevent many from reaping the benefits of cryptocurrency trading. So much of benefits like the instant settlement of transactions, avoidance of risk related to physical money etc. are lost because of the false rumor. Since cryptocurrency trading losses will impact financial status, the fear aspect is natural.
Steps should be taken towards alleviating the fears. Recognition and authentication of cryptocurrency usage will certainly remove the fear. Once cryptocurrency becomes widely accepted people will start tasting its benefits. In this world, where, many Ponzi schemes operate, it is the responsibility of every government to take solid steps to strengthen cryptocurrency. By enhancing and developing features of cryptocurrency it can be made much safer and easier to use. Once safety and usability are strengthened the world will start using it more and more. This will certainly make the rumor disappear. It is so unfortunate that such terrific rumor is delaying the prospects of a good source of huge income. Hence it is high time to spend much research to set up a methodology to eliminate false rumors. Technology is a boon with which this can be achieved.