The cryptocurrency revolution may be facing a blow of distrust at its core. Here I explain how deceptive practices are influencing the Bitcoin ecosystem and beyond:
The deception of inflated TVL:
Many protocols in the BTCFi ecosystem are creating the illusion of a "Total Value Locked" (TVL) of Bitcoin, but transactions are not actually securing funds on-chain. It's like a lie in numbers that affects the entire crypto economy.The danger of double spending:
Pre-signed transactions allow the same Bitcoin to be counted multiple times, creating the risk of funds being used fraudulently. This jeopardizes the stability of the entire ecosystem.Lack of transparency:
The use of off-chain addresses is undermining trust in protocols. The lack of visibility of actual transactions could cause investors to lose faith in the true value of cryptocurrencies.Impact on investors:
Investors are being deceived with inflated figures of locked assets. Such practices create an unsustainable bubble that could burst at any moment, affecting everyone involved.Global economy at stake:
If bad practices continue, cryptocurrencies, especially Bitcoin, could lose their credibility as a store of value, affecting not only users but also global financial stability.
Are you ready to face the reality behind the false numbers?
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