The ongoing battle against fake cryptocurrency news is a microcosm of what we are seeing unfold in the mainstream media. However, a fake news story regarding a celebrity’s broken crotch or misquotes from a pop star will not trigger financial catastrophes that can result in entire industries losing hundreds of millions of dollars in the blink of a purple-eyed contact lensed eye.
Some might say that the major mainstream news establishments themselves continually wage fake news campaigns depending on which side of the political spectrum they lay, mostly referred to as spin, and you will hear no arguments from this side of the river in that regards. Fake cryptocurrency news stories are also alarmingly on the rise, so what happened? And what’s going on? And what can be done to stop it?
The fake news culture
Russian spies did it! Or maybe it was Chinese intelligence hiding out in the Himalayas that brought down the much-publicized Malaysian Airline’s 370 flight. WWE wrestler John Cena has died numerous times in the past few years in a myriad of accidents in fake news accounts, and did you know that 70% of all statistics are made up? In this day and age, online news platforms can be a potential minefield unless you are willing to scrutinize stories and sources down to the tiniest detail.
Fake news is sometimes purposely manufactured to smear the reputation of someone or a company via a rival, but mostly it emanates from websites looking to attract high levels of traffic by using alarming click-bait titles and fake yet engaging and sensationalized subject matter. This can have a significant knock-on effect as news websites looking to boost numbers will create fake news stories that other news outlets will then paraphrase and spin, which sends the fake news spiraling out of control.
With so many cryptocurrency news sites vying for supremacy and looking to attract high daily news hits, a fake cryptocurrency news article can be published and within 24-hours has been re-written and re-published across a multitude of platforms – it regularly happens not only in the crypto news industry but across all online news sectors.
Examples of fake cryptocurrency news stories
One of the main reasons for writing this article is because I was duped into writing a fake cryptocurrency news story a month ago regarding reports that the electronics giants Samsung were supposedly accepting crypto payments across its Baltic stores. The initial report was fake, but that didn’t stop me and a myriad of crypto news sites jumping to be one of the first to report the news of a major corporation entering the crypto affray. It had the hallmarks of a top-ranking news story, which is why it spread so quickly.
Earlier this month and containing similar hallmarks to the Samsung story, it was reported across the crypto media that Starbucks was also accepting crypto as payment for their caffeine products, which yet again turned out to be a dud. The mainstream news outlet, CNBC broke that story. As you can see, major and minor players alike can get caught up in this fake cryptocurrency news malarkey.
Another example of misrepresenting crypto news articles was less than two weeks ago when certain crypto news outlets reported that Facebook was in the early stages of building a cryptocurrency on Stellar. Yet again, the mega-corporation had to come out and refute the fake cryptocurrency news story that was doing the rounds.
These are just a handful of fake news stories I have personally seen materialize over the past couple of months alone, and it seems to be getting worse as more news sites compete for traffic. Fortunately, most industry news sites, such as Crypto Disrupt, work tirelessly to eliminate such fakery, but it can happen to the best of us.
How do fake crypto news articles affect the marketplace?
Any news article pertaining to a major company or especially a company that is traded on the stock markets can be dramatically affected by news articles relating to their company and industry.
In some cases, it can knock down stock prices and plunge the prices of related cryptocurrencies to which the news pertains. This means we have to take a more pragmatic role in not just the writing of these news stories, but also our knee-jerk reactions when reading them.
A good example of how a fake cryptocurrency news article can dramatically affect people’s pockets was at the back-end of 2017 when it was reported that IOTA was partnering with Microsoft and some other major companies when in reality it was only inviting the likes of Microsoft and Deutsche Telekom to test their Tangle technology. That didn’t stop the media misreporting it. This misrepresentation of that news article saw IOTA’s price plunge 13% as day traders looked to offset their losses.
Traders trade on breaking news stories and will make the decisions to sell or buy cryptocurrencies based on that, which is why fake news can dramatically affect stock and crypto market prices.
What is being done to combat fake cryptocurrency news?
It is important that as readers and writers of cryptocurrency news that we should remain vigilant and not believe everything on face value alone. This is also true in regards to the mainstream media as well. It’s more of a news problem than it is a crypto problem. Fake cryptocurrency news is like a grain of sand when compared to the fake news beach that is the mainstream media at this time. It is important not to become a beached whale.
If you are a trader looking to make decisions on your portfolio based on crypto news sources, it is important that you follow the links in articles to ensure they are coming from the correct pathways. Following well-known industry professionals on Twitter or Reddit or trusted crypto news sites is highly recommended if you are a day trader seeking up-to-date info.
At Crypto Disrupt, we work hard to ensure our news articles keep as far away from fake cryptocurrency news as possible, so as a New York rapper from the mid-90s might say, it is important to “keep it real.”
I am very experienced writer/blogger who has been an active member of the cryptocurrency community for several years. I have experience writing for crypto news sites and proactively been involved in the startup of other ICO and crypto ventures over the course of the past four years.