Like all U.S. States, North Carolina finds itself in a transitional stage with consumer habits shifting from the physical retail market to an ever-developing online alternative. Improving mobile technology and connectivity has seen the digital revolution take hold, and the levels of convenience it offers are unparalleled.
One significant development from this has been the rise of cryptocurrencies. This decentralised currency offers an alternative to traditional fiat currencies and has been welcomed by online traders, consumers, and investors.
While there are many successful and widely accepted cryptocurrencies available, with the most popular being Bitcoin, crypto expert Alan Draper extols the potential of investing in upcoming crypto coins, with the opportunity to make a lot of money if the new crypto takes off.
As with any investment opportunity, there are risks involved. There is also the risk of criminal elements trying to take advantage of this emerging trend, which is why residents of North Carolina must stay vigilant.
Cryptocurrency in North Carolina
North Carolina’s relationship with cryptocurrency is still relatively new, with the Money Transmitters Act viewing it as a property as opposed to a digital currency. This means that businesses that own crypto must pay capital gains taxes like they would if they owned real estate.
Another recent development saw the Governor of North Carolina, Roy Cooper, veto a bill to implement a CBCD (central bank digital currency). This came as a surprise to many as House Bill 690 had overwhelming support in the House with votes in its favor at 109 to 4 and 39 to 5 in the Senate.
Despite this, North Carolina is home to more than a thousand crypto ATMs. These kiosks allow users to carry out crypto transactions where they can buy, sell, withdraw, and deposit major cryptocurrencies.
Users will typically have to log into accounts with unique pins, and some kiosks also have additional security features that require the user to present an ID.
The Rise of Cryptocurrency Scams in North Carolina
Many crypto users enjoy this emerging alternative to traditional currencies because of its transparency and security. But this does not make them immune to scammers.
Cryptography is used to make counterfeiting almost impossible, and blockchain technology records all transactions which removes the risk of double-spending of the same currency. A disparate computer network helps to enforce this so it can’t be corrupted.
These security features are one of the key elements to the success of cryptocurrency, but they can also be exploited by scammers.
With no central regulator and the ability to move vast sums all over the world almost instantly, fraudulent transactions are almost impossible to reverse.
Sadly, North Carolina saw the number crypto crypto-related crimes rise from around 1,000 in 2022 to 1,500 in 2023. These crimes are extremely difficult to resolve with crypto transaction reversals few and far between.
The Measures North Carolina Citizens Are Taking to Protect Themselves Against Crypto Scammers
There are precautions that people can take to mitigate the risk of falling for crypto scammers. One of the most important is to only send cryptocurrency to people you know or verify that the person or business you are sending it to is legitimate.
If you receive suspicious demands for crypto payments, report them to the authorities. The more people that report these attempts, the more difficult it will be for scammers to operate.
You should also report any instances of being scammed, even though it is unlikely you would get your money back. The authorities need as much information about scammers as possible to clamp down on these attempts.
You should also use reputable crypto exchanges that have strong security protocols and follow money laundering regulations.
Conclusion
The benefits of cryptocurrencies make it a popular choice among North Carolina consumers. It is perfect for online transactions due to its low fees and quick transaction speed. It is also an excellent option for international payments, with no exchange rate confusion.
Many businesses are not beginning to accept the most popular cryptocurrencies, making it easier for people to spend. Some industries have also been quick to welcome these payment options, with crypto gambling being one of the first.
There is no reason that crypto can’t find a place in everyday life, but consumers will have to be wary of emerging techniques that scammers will employ to get information or encourage transfers.
