By our reporter
Ramathan Ggoobi, one of the most sought after economist has warned Ugandans to careful with some economists who advise them to invest in the booming crypto-currency payment system known as bitcoin.
Writing on his Facebook wall, the Makerere University Business School (MUBS) lecturer said whenever you find an economist who advises you to invest in cryptocurrency , have a second look at his/her CV; their mjor was either accounting or finance.
He says “No economist trusts a market where demand is perpetually greater than supply,” adding, “Although such markets are often very attractive to non-economists,”
Meanwhile, Bitcoin is the first decentralized digital currency, as the system works without a central bank or single administrator. The network is peer-to-peer and transactions take place between users directly through the use of cryptography, without an intermediary.
These transactions are verified by network nodes and recorded in an immutable public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009.
Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies,products, and services. As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.
Research produced by the University of Cambridge estimates that in 2017, there are 2.9 to 5.8 million unique users using a cryptocurrency wallet, most of them using bitcoin.