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What is FUD in Crypto and How Does it Affect Business?

What is FUD in Crypto and How Does it Affect Business?
Photo by Jasmin Sessler / Unsplash

To differentiate various fields from each other, specific terms, slang and jargon are used. Only people associated with a particular field understand such terms. FUD is a jargon used in the field of cryptocurrency. FUD elevates the pessimistic approach of people towards crypto investment. Many coins like bitcoin have faced a huge loss due to FUD. People who are new in the field of crypto must not be aware of FUD. They might be asking, what is FUD in crypto? So stock around, let's discuss what is FUD? And how does it decrease the growth rate of crypto coins?

What is FUD?

FUD stands for fear, uncertainty, and doubt. It is a technical term used in the field of cryptocurrency regarding negative statements about decentralized money or a platform. Fear, uncertainty, and doubt about anything will lead to negative consequences. That's what FUD does.

FUD is just a myth, false news, and misleading information. Following FUD or taking decisions after considering FUD always end with a loss. There are many reasons which give birth to FUD. We will discuss them in the next section.

What Causes FUD?

Many situations give birth to FUD. Some of them are mentioned below:

1) Competitor Tactics

Competitors always release FUDs to degrade the opponent. Company A has released a market strategy for better revenue, company B also came up with the same policy. In such a case, A will try to demotivate B by releasing FUDs against B.

2) Unknown Scandals

Scandals with firms are common. When the normal public gets aware of such news they start making FUDs regarding target firms. Without knowing the inner truth, people start assuming the situation. It ultimately leads to FUD.

3) The Downfall of a Crypto

When the market of particular crypto starts decreasing FUDs come on-page.

Effects of FUDs

It took a lot of time for firms to make a solid reputation in the market. With FUD the entire effort goes in vain. FUDs always impact the progress, revenue, and reputation of a company. Most of the time it hits so hard that it becomes difficult to retrieve.

People who invest in crypto after believing the FUDs are high in getting into trouble. Cryptocurrency investment needs your brain and decision. Listen to others but prefer your instinct at the end. Investing or missing an opportunity just after listening to FUDs is very insane. People mostly suffer a loss due to FUDs.


FUDs are just rumors and wrong information which become part of society. Memes and social media usually become the fuel of such fire.  If you are making a plan of investment then don't bother with such statements. Do whatever you feel right after visiting trusted sources. Listen to many but follow what you like.