Cryptocurrency: the newest fad. People-made-millionaires on this seemingly scam-like idea. People are skeptical. People are irrational.

"The Almighty Bitcoin"

Bitcoin, Ethereum, Ripple, you name it: cryptocurrencies are a mainstay right now. Since their lackluster debut in 2009 with the creation and circulation of Bitcoin, they have been creating and maintaining a fad of internet irrationality, illegal/illicit functions, and total anonymity. Although those are all true (thanks 4chan), they are just a small "byte" (see what I did there?) of the whole of the "pi" ('cause it's a circle!).

Bitcoin, created and maintained since 2009, was created by a Japanese anon code-named, "Satoshi Nakamodo". He created a cap of 21 million bitcoin allowed to exist in the market (due to memory constraints and basic economics and all that), but ran off with 4 million and disappeared. Since it's rise, it's become a mainstay in the mainstream media and economic discussion.

Ethereum, launched live in July of 2015 by a Russian-Canadian programmer named Vitalik Buterin, who created a more advanced, and better-managed system. By using "smart contracts", the value and speed of ethereum increased its commodity, but still lagged greatly behind bitcoin's rise.

"Bitcoin, Ethereum, Ripple, you name it: cryptocurrencies are a mainstay right now"

I have been in the system since 2009, actually. I heard about it on Forum B on 4chan and sixth-grade self found it interesting. Because of the powerful computer at the time, I just didn't want to sweat it and started to mine. I had around 40 bitcoin, which helped lessen the purchase of a Domino's pizza a few days later. It was a simple time. I did not know what I was doing then.

However, although I have not invested in cryptocurrency since then, I have been watching it closely. The market has a ton of quirks, kinks, and behaviors that can be deemed as downright economically slutty, but a few tenets still held out.

The Tenets

1. Cryptocurrencies are an aggressive investment for a [possible] future security

2. They are made for different functions.

3. Not all cryptocurrencies are made equal.

4. Cryptocurrencies do not have to be decentralized.

5. Reddit and 4chan are more distinguished and intelligent when referring to cryptocurrencies.

Weird, huh? Reddit and 4chan being distinguished with this interesting commodity? It isn't, actually. Both websites have to capacity to totally enlighten the community with information on the market. Which leads me into the first tenet's explanation:

Cryptocurrencies are an aggressive investment for a [possible] future security

In all sense right now, besides the illicit dealings with decentralized cryptocurrencies such as Bitcoin, some currencies do not have a complete explanation on what they should be used for in a legitimate gray market. Bitcoin has more than proved itself in the black market, but due to its mission, it has proved that certain coins are more of a security and investment for the future of gray market dealings than the functions they are being used for now.

They are made for different functions

Ethereum was made to take-out Bitcoin. Ripple was made by the banks to help lessen the stress of cross-border payment. Stellar does the same as Ripple, but you are anonymous. DogeCoin was created as a joke. All currencies have differing functions.

Not all cryptocurrencies are made equal

No, they are not. Bitcoin has been lucky to see a rise like it had due to the coverage it had acquired from the media as well as its seat in Internet history. Ethereum, in my opinion, is more realistic, and should be the top-dog coin. They all have differing values, like Ripple usually trades under a dollar, Ethereum trades above one thousand, etc.

Cryptocurrencies do not have to be decentralized

Ripple was created by Bank of America as a centralized coin. It is not anonymous. Stellar, created by one of the co-founders of Ripple, is decentralized.

Reddit and 4chan are more distinguished and intelligent when referring to cryptocurrencies

Go Google which cryptocurrencies are better to buy. Chances are, Reddit is always going to be one of the results on the top of the front page. Reddit users are notorious for actually understanding the market.

So Wait... Who is Ruining the Market?

Easy. The media.

The mainstream media does not understand how the market works, and actually hire distinguished members of the "stock market investment society" to try and attempt to "explain" what is happening. The cryptocurrency market has not been out for long, which explains why many people have a hard time taking a step back to examine the whole space.

"The market has a ton of quirks, kinks, and behaviors that can be deemed as downright economically slutty, but a few tenets still held out"

Almost every mainstream media corporation is reporting on this phenomenon, and with all the information that slowly drops from the murky, rusted, bug-ridden pipe, they pounce on it, reporting on items that aren't even crypto-related. MSNBC is the biggest aggravation when it comes to market misinformation.

In November, MSNBC reported that Venezuela was to create its own "crypto" (you'll see why this is in quotes in a second) to help fix its wild inflation. The "crypto", however, is backed by tangible assets, disqualifying it as a crypto and qualifying it as an asset-backed currency (similar to the USD in the sixties). Because of this, many people are going to buy into that, helping to Venezuelan economy by what? Nothing. They are not going to help the economy. It's practically a bond, or them buying shares in tangible assets.

In October, MSNBC reported that you should not buy into Ripple because Stellar is the next big thing. Ripple deteriorated from where it was at the time, around $3, to almost 30 cents by the end of December. Stellar did not fare well, either, as it deteriorated as veteran investors pulled themselves from an overcrowded ship.

That's the big point here: the media is destroying the cryptocurrency market. Crypto is not a fad. Almost all cryptos are legitimate (there are a few that have been banned from all trading spaces because they were proven a scam). Ripple vs Stellar isn't a fight of fads. Ripple and Stellar do extremely similar jobs, but the difference is that Ripple was founded by Bank of America to help aid cross-border payments while Stellar was created by co-founder Jed McCaleb as Ripple's corporate structure was deemed "unorganized". Stellar is decentralized, and does similar jobs to Ripple. They aren't a fad. They do similar functions differently, which allows you to branch your conversions the way you want them to.

"Almost every mainstream media corporation is reporting on this phenomenon, and with all the information that slowly drops from the murky, rusted, bug-ridden pipe, they pounce on it"

Because of the media, veteran investors are jumping ship. They have been the ones attempting to fix the market, albeit to a failure. That's why a lot of former investors who had made money on the market are skeptical, as they made the money they wanted, but are afraid that the market will crash in on itself again and again.

Bottom Line

The media's over sensational vigor with the whole market is what is ruining it.