Reasons That Are Contras In Bitcoin especially in Islamic Sharia
The following are reasons that are cons in Bitcoin, especially in Islamic Sharia
a. Short Track Record
Compared to older assets, bitcoin is new and does not have much of a history of movement when compared to prices in the stock, currency, and commodity markets. Bitcoin has an unstable value and does not include legal tender. Bitcoin will only pose a limited amount of risk.
b. Unpredictable Risks
New people may be attracted by the increase in the price of bitcoin which is indeed very impressive. They usually believe that trading is just a matter of buying and making a profit. Unfortunately, trends don't last forever. When the trend stopped, people couldn't see the difference. They will continue to trade the same way and wonder why their trades aren't winning anymore. This is a worrying thing in the crypto world. Huge profit potential easily attracts newcomers who often prefer to ignore risks and measured steps in conducting analysis
With the Central Bank Bitcoin and other cryptocurrencies are not centralized and are not created by any Central Bank. If bitcoin becomes very popular as a means for transactions and storing wealth, then it could be more difficult for Central Banks to weigh the impact of its use on the economy. There are several risks that might occur from this, namely: First, creating uncertainty and increasing economic risk. Second, because cryptocurrencies have (until recently) been in limited supply, this could promote deflationary trends or at least bad inflation. Deflation is undesirable in countries with high debt levels because debt becomes more expensive in real terms. Deflation can also impact state revenues through fewer taxes and wage taxes. Third, the popularity of cryptocurrencies can weaken the demand for fiat currencies such as US Dollars, Euros, Yen and Rupiah