Media Headlines

The Hidden Risks of Over-monitoring Kids Online

December 16, 2025 by Elaha Qudratulla

Parents feel a heavy burden to protect their kids from online harm. Threats such as cyber-bullying, predators, and unwanted content are real, and it’s understandable to want to put tight restrictions in place. But what if the very tools we use to protect our children are creating unintended consequences? Over-monitoring can undermine trust, limit children’s development of independence and online resilience, and even expose privacy vulnerabilities. Here’s what the research shows and how parents can find the perfect balance.

Where did we go wrong?

66% of parents surveyed say that parenting is harder today than 20 years ago, and digital technology is to blame.[1] Parents monitor in a variety of ways, including limiting screen time, checking websites, requiring password access, using GPS tracking, and checking social media following/friending.[1] Yes, tighter supervision sounds like a necessary solution in a world full of endless apps, social networks, and online risks, but is it?

A study conducted by the University of Central Florida found that parental-control apps, which allow for deep monitoring of children’s online activities, were associated with more, not fewer, online risks for teens. More specifically, the study found that teens whose parents used these apps reported unwanted explicit content, online harassment, and sexual solicitations. This doesn’t mean monitoring caused the risks; instead, parents often turn to these apps because their teens are already encountering online issues. The researchers concluded that instead of building digital competence and trust, many of these apps fostered a control-heavy and distrusting family environment.[2] So, instead of turning to these apps for help, try Dr. Bennett’s Connected Family Course.

Another study of children’s apps found that even “family-friendly” apps often include trackers, location permissions, or mislabeling of age ratings.[4] Further, children and teens with over-monitoring parents saw their parents as intrusive and were more likely to hide, deceive, and intentionally misbehave.[4] All in all, when monitoring feels oppressive, kids may respond by hiding and lying rather than being open and honest.

What does that mean for parents?

If the goal is safety, forced online surveillance may undermine the trust between parent and child and may hinder the open and honest communication we should be working to establish. As we teach in our Screen Safety Essentials Course for families, just implementing controls isn’t enough. One of the most damaging costs of over-monitoring is to trust and self-regulation. When children know they are constantly being watched, they may feel that their parents don’t believe they are capable of making responsible choices. That can lead to secrecy, feelings of giving up on communicating openly, and a lack of connection or engagement with parents.

“Why tell mom and dad if they won’t believe me anyway?”

I found myself asking this exact question at 12 years old when I made my first Facebook account and kept it a secret. I didn’t want to get in trouble, and I wanted to connect with my friends outside of school. I felt left out. But, when I asked my mom if I could open my own account, she said no. When I asked her why, she had no answer. So, I took it upon myself to create an account anyway.

I lied about my age so that I could create the account without parental supervision, and I kept it a secret. I would use it when she was not paying attention. My intentions were pure, and I did use it to connect with friends. But, of course, like with all online platforms, creepy older men would try to befriend me or message me.

GetKidsInternetSafe’s mission is to improve parent-child relationships AND screen safety. Had my mom and I had access to the GKIS Social Media Readiness Course, we would have been able to find a safer middle ground for me to connect to my friends. Not only would I have learned more about screen safety and been better equipped to solve online problems independently, but my parents and I would have engaged in healthier conversations and maybe even gotten closer. Ultimately, I would have been prepared to protect myself from getting into a relationship with a 17-year-old. Read The Hidden Dangers of Online Grooming: I Was Only 13, to find out how my lack of preparation for having social media resulted in me forming a premature physical relationship with a young man who was four years older than me at that time.

How Can We Do Better?

One of the most effective ways to guide children safely online isn’t through hidden surveillance, but through connection, conversation, and shared agreements. When parents begin by listening to their children about what worries them, what they enjoy, and what feels out of control, they build a foundation of trust. That trust becomes the launch pad for screen-time guidelines, digital boundaries, and the kind of autonomy children need to develop resilience. GKIS emphasizes this approach through its Connected Family Screen Agreement, a free tool designed to invite open dialogue instead of enforcing silence. It helps kids understand why parents have concerns and utilize safety tools and techniques.

Instead of solely relying on rigid controls, the path to healthier online habits includes tools, skill-building, and gradual transition. GKIS’s Screen Safety Toolkit isn’t a spy-kit; it’s a resource for families to use as practical checklists, conversational prompts, and strategies to empower children rather than just restricting them.

By investing in tools like this, parents can shift from pushing their kids to secrecy to creating a trusting relationship through honest communication. This way, your child knows that they are safe, supported, and ready to navigate the digital world with you by their side.

Thanks to CSUCI intern, Elaha Qudratulla, for researching and sharing an important story about how online safety is more important than online policing.

I’m the mom psychologist who will help you GetKidsInternetSafe.

Onward to More Awesome Parenting,

Tracy S. Bennett, Ph.D.
Mom, Clinical Psychologist, CSUCI Adjunct Faculty
GetKidsInternetSafe.com

Works Cited

[1] https://www.pewresearch.org/internet/2020/07/28/parenting-children-in-the-age-of-screens/

[2] https://www.ucf.edu/news/apps-keep-children-safe-online-may-counterproductive/

[3] https://arxiv.org/pdf/2303.09008

[4] https://www.sciencedirect.com/science/article/abs/pii/S0140197117302051

Photos Cited

[1] Rizki Kurniawan

[2] Marten Newhall

[3] Tasha Kostyuk

[4] Vitaly Gariev

https://unsplash.com/

Off the Phone and On the Soccer Field: My Cure for Digital Disconnection

November 7, 2025 by Elaha Qudratulla

Kids crave connection. Face-to-face interaction and emotional closeness are vital for healthy development—particularly for adolescents.[1] Screen time offers shallow connections and distracts kids from those unpleasant cravings. It also keeps kids so busy that they don’t seek the connection they so desperately need. What if they didn’t have to be so lonely? What if there was a way they could be off their screens, doing something good for their health, and making friends at the same time? For me, that was playing sports.

The Seed Was Planted

As a child, I was most excited to hang out with my friends, be on my phone, watch TV, or eat sweets, in that order. That was until I joined a team sport.

It all started when my mother asked me if I wanted to join the local soccer team. I was nine years old and against the idea because I didn’t want it to cut into cartoon time on the weekends, and had we gone through the Screen Safety Essentials Course, we wouldn’t have worried so much about the impact of screens on us. But she insisted. I only agreed because my favorite cousins were on the team.

I learned from the first practice that I loved the intense physical activity of soccer, and after a while, I began to really get the hang of it. I felt proud and accomplished. I made great friends on the team. We loved team bonding activities and even began to hang out outside of practice. I loved it so much, I gave it my all and looked forward to it all week.

By high school, I had won medals and genuinely felt like I was good at the sport. I received praise and encouragement for all of my efforts and hard work. It also inspired me to work hard in other aspects of my life. I tried harder in school, was friendlier with classmates, more obedient in class, and more eager to participate in the learning process. According to Project Play, high school athletes are more likely to further their education and even receive higher grades in college.[2] I started seeing everything in the world as a skill waiting to be attained, something that required courage, effort, and training.

Having that view of the world helped me when I sprained my ankle right before the start of my freshman season. While recovering, I could have easily scrolled through Snapchat and Instagram endlessly. But I wanted to make sure I continued to build the bond with my teammates for when I returned. It taught me to wait my turn, keep a positive attitude, remain patient, and support others as they shine. As soon as I recovered, my teammates were more than happy to catch me up to speed, and I rebuilt my strength.

Core Memories That Last

One of my most memorable moments taught me something I will never forget. It was my junior year; we were tied 0-0, with a minute left in the game. My team was exhausted, but as captain, I knew this is where my job was most important. I dribbled the ball up the center, dodging two midfielders and one defender, set it up for my left forward, and yelled, “SHOOT!” She shot and sent it straight into the upper right corner of the goal. Everyone who was there to support us was on their feet, our coaches were throwing their clipboards in the air and hugging each other, and our teammates ran to us for a celebratory hug and a jump around. We spent the last 15 seconds of that game with tears in our eyes and joy in our hearts. We had just beaten a 40-year record for our school!

This is when I realized this would have a lifelong impact on me. It was one of those moments that I’ll look back on happily. It was a lifetime of preparation to become someone people could rely on when things got tough and hope felt lost. It was the moment I truly understood what being a leader meant to me and the impact it had on others.

I hugged and thanked my mother for signing me up for soccer at nine years old. She introduced me to the first love of my life, and I would forever be grateful for that. From then on, I never doubted my abilities to get something done, never lost confidence in myself, and never hurt someone without apologizing or broke something without trying to replace it.

The Impact of The Beautiful Game

Project Play reports that sports, in particular, can positively impact aspects of personal development among young people, keep them away from harmful substances, and encourage cognitive, educational, and mental health benefits.[2] I believe my experience of playing soccer was so much more than just a fun sport or a way to stay active, although both are tried and true. It was a refinement of my character, it was a positive shift in how I viewed the world and myself in it, it was what taught me that rejection was just redirection, and it was a way to build and maintain connections with people I am still close to, at 27 years old.

Why Everyone Should Play Sports

Participation in sports can protect against the development of mental health disorders.[4] These benefits include lowering stress levels, rates of anxiety and depression.[5]Lifelong participation in sports leads to improved mental health outcomes and even immediate psychological benefits which continue long after participation is over with. The improve self-confidence, encourage creativity, and nurture a higher self-esteem. Statistically, adolescents who play sports are eight times more likely to be physically active at age 24.[3]

Thanks to CSUCI intern, Elaha Qudratulla, for sharing an important story about how beneficial playing sports were for her then and how it still helps her today.

I’m the mom psychologist who will help you GetKidsInternetSafe.

Onward to More Awesome Parenting,

Tracy S. Bennett, Ph.D.
Mom, Clinical Psychologist, CSUCI Adjunct Faculty
GetKidsInternetSafe.com

Works Cited:

[1] https://www.uvpediatrics.com/topics/alone-together-how-smartphones-and-social-media-contribute-to-social-deprivation-in-youth

[2] https://projectplay.org/youth-sports/facts/benefits

[3] https://odphp.health.gov/sites/default/files/2020-09/YSS_Report_OnePager_2020-08-31_web.pdf

[4] https://baca.org/blog/does-playing-organized-youth-sports-have-an-impact-on-adult-mental-health/

[5] https://pce.sandiego.edu/child-development-through-sports/

Photos Cited:

[Header] Eva Wahyuni on UnSplash

[2] Olivia Hibbins on UnSplash

[3] Elaha Qudratulla

[4] Jeffrey F Lin on UnSplash

[5] Elaha Qudratulla

https://unsplash.com/

Likes and Lies: The Hidden Dangers of Your Child’s Feed

July 10, 2025 by Elaha Qudratulla

Your child’s social media feed knows more about them than you do. It knows when they’re sad, when they’re bored, and exactly what will keep them doom-scrolling. What started as a tool to share selfies is now a billion-dollar system designed to study their every click. It used to be strangers in parks, but now, it’s the threat in your child’s pocket. Instagram and Snapchat look like fun and harmless apps, but their design is all but innocent. Behind every selfie and snap streak is an algorithm trained to hijack your child’s attention, exploit their self-esteem, and guide their decisions. Today, this function serves as a 24/7 behavioral lab where your child is the test dummy. Every tap and swipe are testing what makes influences them or makes them click and buy.[1]

Before the Storm: When Social Media Felt Safe

When Instagram launched in 2010, its focus was to bring users together, show off talent, share good news, and discover something new. Snapchat followed shortly after, allowing people to share moments in real time, making it feel like you can never be too far away to keep up a connection.[2] For a while, both platforms served as exciting digital spaces for teens to express themselves, keep up with friends, and build their identity during a critical stage of development. That was before the algorithms took over.

Your Child, The Algorithms’ Prey

With time, social media platforms changed and added features to collect more user data and became more addictive. For example, Instagram is no longer a walled garden where users only view the content they search for. Now your child is offered content that their algorithm thinks will keep them hooked on scrolling.

According to the Google Dictionary, an algorithm is a process of calculations, which is usually followed by a computer, to generate problem-solving operations.[3]

Similar to gambling, teens get hooked not by the actual content, but by the mere possibility of upcoming content that can spike their interest for a few seconds longer.[4] Teenage brains are especially vulnerable to dopamine-driven design. Each like or snap streak triggers a small release of dopamine (the brain’s reward chemical).

These dopamine hits reinforce behavior, which grows the addiction to likes, snaps, and screen time. Studies show that likes on social media activate the brain’s reward center the same way winning money or eating chocolate does. The effect is often strongest in adolescents.[5] Check out a similar article on What “Going Viral” Does to Your Brain and Self-Esteem.

Snapchat’s “discover” and “spotlight” tabs work similarly, offering endless videos of curated, attention-grabbing content. These algorithms are powered by machine learning models trained on user data, so that every like, pause, screenshot, and swipe is noted and catered to. Eventually, all of this info is used to create a feed of things your child’s eyes and attention will be glued to for hours on end.

Also, Snapchat’s infamous “Snapsteaks” turn communication into an obligation. Teens often feel pressure to maintain streaks daily, even with people they barely know, just to avoid losing their digital relationships.

Social media has always been performative to some degree. But algorithms now reward exaggerated, filtered, and fake versions of life. Filters that alter facial features and bodies have made it harder for teens to see the difference between real and edited images. The compare and despair dynamic can lead to poor self-image and increasing dissatisfaction among vulnerable kids and teens. External validation through repeated use of social media is linked to increased anxiety, depression, and low self-esteem in adolescents.[6] Check out this GKIS article on how Beauty Filters Don’t Embrace Brown Beauty: The Rise of Colorism.

Take Back the Power

As tempting as it is to ban the use of these apps altogether, it can backfire. Overly punitive responses can promote child secrecy and risky behavior, especially as teens are coming into their own and learning to be more and more independent. Get ahead of it and be their ally by educating them about the hidden risks. Tackle this problem together by taking The GKIS Social Media Readiness Course. Our online course was created for tweens and teens to help them learn safer social media habits and practice better emotional wellness. With these skills, when they come in contact with harmful social media content, they will have their shields up.

Thanks to CSUCI intern, Elaha Qudratulla, for researching and co-writing this article. Check out more of her work here on GKIS:

The Hidden Dangers of Online Grooming: I Was Only 13

Netflix Documentary, Bad Influencer, Exposes Parent Producer Abusing Child Influencers

I’m the mom psychologist who will help you GetKidsInternetSafe.

Onward to More Awesome Parenting,

Tracy S. Bennett, Ph.D.
Mom, Clinical Psychologist, CSUCI Adjunct Faculty
GetKidsInternetSafe.com

Works Cited

[1]https://www.frontiersin.org/journals/sociology/articles/10.3389/fsoc.2020.599270/full

[2]https://doi.org/10.1080/1369118X.2015.1084349

[3]https://www.google.com/search?q=definition+of+an+algorithm&rlz=1C1GCEU_enUS947US947&oq=definition+of+an+algorithm+&aqs=chrome..69i57j0i512j0i22i30l8.10231j0j7&sourceid=chrome&ie=UTF-8

[4]https://doi.org/10.1016/j.tics.2015.09.004

[5]https://doi.org/10.1111/cdev.12838

[6]https://doi.org/10.1080/02673843.2019.1590851

Photos Cited

[Header] Gaspar Uhas on Unsplash

[2] Karsten Winegeart on Unsplash

[3] Soheb Zaidi on Unsplash

[4] Adrian Swancar on Unsplash

[5] Jeffery Kennan on Unsplash

https://unsplash.com/

Netflix Documentary, Bad Influencer, Exposes Parent Producer Abusing Child Influencers

April 3, 2025 by Elaha Qudratulla

We were hunters and gatherers for 90% of human existence. That means our brains are still wired to prioritize the things that kept us alive when we were living on the land, before the domestication of animals and the construction of cities. One thing that kept us alive was living in a tribe and cooperating. Attracting a tribe and fitting in was a requirement of life. That is why kids and teens are hyper-focused on doing what their friends do and working to be cool and accepted. Online influencers count on this drive to maintain their income streams. One way to attract kids online is to be a kid doing what kids love to do, playing with toys and video games, opening new packages, and hanging out with friends acting goofy. Netflix’s Bad Influencer offers a glimpse of the kid influencer “scene,” and the lengths that some parents will go to attract and keep a following.

What is Bad Influence about?

The limited documentary series has gone viral for good reason. It’s definitely entertaining, but also deeply unsettling. It is a perfect way to raise awareness about how scary a life all about social media can be. Bad Influencer is a documentary that focuses on a tween who becomes an overnight social media star and brings her friends to stardom with her. What started out as a fun hobby quickly turned into a living nightmare. It may seem glamorous to be famous online, until you learn that the child influencers spent the majority of their childhoods working long hours acting out video ideas, risky stunts, and performing pranks that sometimes went too far—all under the pressure of adult producers/parents hungry for views. Check out Intimacy With Minors Encouraged at the Hype House for a similar story of underage exploitation.

SPOILER ALERT: The show takes a chilling turn when the mother of the main character is accused of, and videotaped, sexually exploiting these kids on set by positioning herself as one of the only adults supervising them to control them. Some survived the battle with only a few scars, while the main character is stuck living this nightmare over and over again. It may be funny, exaggerated, and attention-grabbing, but it also paints a dark picture of a digital world where clout matters more than character and children are left to pay the price.

Psychology Behind the Fame Obsession

From a psychological point of view, being an influencer is cool to children because they have a natural need for validation, attention, and social connection.[1] Although the minimum age on most social media platforms is 13, it is reported that children ranging from 8-17 are found scrolling through online platforms soaking up content too mature for their ages.[2] Sadly, unlike real-world relationships, social media platforms offer fast, unfiltered dopamine hits through likes, shares, and views. Without proper guidance, this can make kids tie their self-worth to online numbers, which can result in low self-esteem, fear of missing out (FOMO), performance anxiety, and digital addiction.[3] As a result of social unlimited social media usage, kids can also experience anxiety, depression, and even poor quality of sleep.[4] Counteract this monster and help your child build emotional resilience, red flag awareness, and digital literacy by taking our GKIS Social Media Readiness Training Course. Geared for teens or tweens, it’s the perfect giftbefore that new device or video game.

What You Can Do to Help

Bad Influencer is not just a show; it’s a cautionary tale that shares the pressures kids face online every day. It is easy to get off topic and want to pull the plug on all electronics just to protect your child from their dangers, but that is not always possible. Technology and online platforms are all around us, and it is better to set your child up for success than to try to keep them out of the loop. Connecting with your child over what they find interesting can help create a trusting relationship where you can notice if things start to become a little off. Our free Connected Family Screen Agreement can help you and your child co-create rules around how to safely navigate online platforms. This way your child can thrive in the digital age without losing themselves in it.

Thanks to CSUCI intern, Elaha Qudratulla for researching and co-writing this article.

I’m the mom psychologist who will help you GetKidsInternetSafe. Onward to More Awesome Parenting,

Tracy S. Bennett, Ph.D.
Mom, Clinical Psychologist, CSUCI Adjunct Faculty
GetKidsInternetSafe.com

Works Cited

[1] https://genomind.com/patients/the-social-media-dilemma-how-childrens-mental-health-may-be-affected/
[2] https://pubmed.ncbi.nlm.nih.gov/37721985/
[3] https://startmywellness.com/2025/02/how-social-media-affects-mental-health/
[4] https://pmc.ncbi.nlm.nih.gov/articles/PMC11641642/

Photo Credits

[Header] freestock on Unsplash
[2] Leonardo David on Unsplash
[3] Sanket Mishra on Unsplash
[4] Cande Westh on Unsplash
https://unsplash.com/

U.S. Senate Passes KOSA and COPPA 2.0

August 1, 2024 by GetKidsInternetSafe

I am so excited that we are FINALLY seeing progress in holding big tech accountable for giving safer child options online! On July 30^th the U.S. Senate overwhelmingly passed the Kids Online Safety Act (KODA) and the Children and Teens’ Online Privacy Protection Act (COPPA 2.0). This has been hard-earned with many parents and professional advocates working tirelessly to protect our kids. Next, this legislation must pass the U.S. House to become law!

We detailed the descriptions of these bills in our previously published GKIS article, “California’s Newest Online Privacy Protections for Kids.”

The Children and Teens Online Privacy Protection Act

The Children and Teens Online Privacy Protection Act (COPPA 2.0) is legislation that also aims to strengthen minors’ online protections.[1] It would amend the original 1998 act and strengthen the online collection and disclosure of information of children up to the age of 16.[1]

The Kids Online Safety Act of 2022

The Kids Online Safety Act of 2022 (KOSA) is a kid’s online safety act that aims to empower both parents and children to have control over their online activity.[2] It would provide children and parents with the right tools and safeguards by requiring that social media platforms have protective options regarding algorithms, product features, and information.[2] KOSA would require social media platforms to have a duty to prevent harm to minors in its many forms.[2] The KOSA bill requires that non-profit organizations and academic researchers get access to data from social media platforms to conduct research regarding harm to the well-being and safety of minors.[5] This act applies to social media, social networks, multiplayer online video games, social messaging applications, and video streaming services.

Specifically, social media platforms will be required to:

have the strongest safety settings for children set by default. That means better protection over their information, disabling the most addictive use features, and the ability to opt out of personalized algorithmic recommendations.
Give parents new controls to spot harmful behavior and a dedicated channel to report it. That means parental controls are turned on by default for young children and as an option for teens. To protect minor privacy, platforms must notify them that parental controls are in place.
Act on their duty to protect kids from harmful actors and content like those that can contribute to suicide, sexual exploitation, eating disorders, substance abuse, and ads for illegal products like THC, tobacco, and alcohol.
Participate in independent audits and child and teens online safety research.[2]

Please keep in mind that this act:

Requires social media platforms to avoid intentional nudges and reminders that move kids to harmful content, it does not block or censor internet content. Third parties can still share information that the social media platforms are not liable for and kids can still search for content that may be harmful to them.
Although most social media platforms do ask for the date of birth of new users to profile and comply with the Children’s Online Privacy Protection Act (COPPA), this act does not require social media platforms to set up age-gating or age verification.
Does not prevent kids from going online. But it does ask for safeguards and permissions for users under 13 years old in a similar way that COPPA does.
Does not monitor user behavior, which would be a violation of privacy by itself.
Does not impact personal websites or blogs.[2]

Social Media Readiness

Although these legislations are a step in the right direction, they still do not provide the education and problem-solving training that kids need to make safer decisions online. That is still left up to the schools and the parents. If you haven’t yet taken the step to help your kids learn the skills they need to better assure safety, check out our Social Media Readiness Courses. For the tween, we have a short and sweet online lesson (complete with mastery quizzes) that is at a fifth-grade reading level. This gets important family conversations started and teaches kids important skills for recognizing the dangers of digital injury and for implementing important psychological wellness tools. Our teen version goes more in-depth and takes far longer (also complete with mastery quizzes) and is at a tenth-grade reading level.

If you work with youth or families and want to improve your expertise in supporting their online safety, check out our GetKidsInternetSafe Screen Safety Certification Course!

I’m the mom psychologist who will help you GetKidsInternetSafe.

Onward to More Awesome Parenting,

Dr. Tracy S. Bennett, Ph.D.
Mom, Clinical Psychologist, CSUCI Adjunct Faculty
GetKidsInternetSafe.com

Works Cited

[1] FACT SHEET. — COPPA 2.0 https://www.commonsensemedia.org/sites/default/files/featured-content/files/coppa_2.0_one_pager_2021.pdf

[2] The Kids Online Safety Act of 2022 https://www.blumenthal.senate.gov/imo/media/doc/kids_online_safety_act_-_one_pager.pdf

Photo Credits

Photo by Connor Gan on Unsplash

What Can We Learn from the NFT Craze?

March 10, 2023 by Brandon Bishop

During the last couple of years, cryptocurrencies and NFTs were one of the biggest trends on social media. They represent a complicated form of financial technology that got the attention of mainstream news media and even had a commercial air during the 2022 Super Bowl. How does it all work? And is it something that I should worry about? We’re going to break down some of the questions you may have about this technology and highlight some of the controversial issues surrounding the social media craze.

What are cryptocurrencies and NFTs?

Cryptocurrencies are a form of digital currency created for use on the Internet. GetKidsInternetSafe previously published the article “What is Bitcoin anyways?” that goes in-depth on the subject, but we’ll cover some of the basics here as well.

Bitcoin and other more recent cryptocurrencies like Ethereum and Dogecoin were created to have a decentralized form of currency that was not tied to banks or other financial institutions following the 2008 housing market crash.[1] Cryptocurrencies are not stocks but they are often traded in a similar way because of how much their value can fluctuate over time. All cryptocurrencies are managed using a type of program called a blockchain, which is a publicly viewable list of all transactions and activity done with a specific cryptocurrency. All transactions made on a blockchain are verified by the other users, which makes it impossible for anyone to make changes to old transactions without that change being corrected immediately.

Non-Fungible Tokens, more commonly referred to as NFTs, are another technology created using blockchains. NFTs function like serial numbers attached to virtual data and are used to show ownership and authenticity of that data similar to a deed or certificate. They cannot be copied, substituted, or subdivided, and they’re used to create a unique digital object. The most common form of NFTs is images, but the technology can be used for music, videos, documents, or anything else that can be stored digitally.

How did NFTs become so successful?

NFTs are a technology that has been around since 2014[2], but they were brought into the media spotlight in March 2021 when digital artist Beeple sold an NFT collage of his artwork for 69 million dollars.[3]

The trend exploded in popularity afterward, with the next series of major sales coming from original creators of various early internet viral memes selling their creations as NFTs for tens or hundreds of thousands of dollars[1]. In the digital art community, NFTs were also heavily marketed to artists as a solution for online copyright infringement and art theft.[2]

Major investors like Elon Musk[4] and Mark Cuban[5] began to invest in cryptocurrencies, and celebrities like Matt Damon[6] and Larry David[7] have acted in advertisements for the new technology, with one of them playing during the 2022 Superbowl. NFTs had become a lucrative business model in only a couple of months, but this surge in popularity did not last for long.

The Technical Problems with NFTs and Cryptocurrency

As NFTs and cryptocurrencies both began to receive mainstream attention and thousands of new users, various technical problems began to hamper their success. Despite the early successes in March, by June 2021 the market had already dropped by 90%.[1]

Slow speeds

Blockchain technology is not a quick or efficient system for handling monetary transactions, and if a user tried to use their cryptocurrency to make a purchase, they would face wait times of 30 minutes to several hours in a queue before their transaction would be approved[8].

Security Problems

Due to unaddressed security risks in their programming, NFTs became notorious for being stolen by hackers.[9][10] Because blockchains cannot have their history changed, and because they’re unregulated by the government, if your NFTs were stolen this way there was no way to recover them.[8] NFTs also don’t have any inherent connection to copyright or trademark law, so your digital ownership only extended to the NFT program itself, not the artwork that it was connected to.[2]

Another problem caused by the lack of regulation was that the artists who had been the target of early NFT marketing were facing more art theft problems than before. There were no protections to prevent somebody from creating NFTs using another person’s art, and many artists found that their art was already being sold on cryptocurrency apps without their approval or knowledge. In some cases, NFTs were created using artworks from deceased artists without consulting the artists’ families.[11]

Environmental Problems

NFTs and cryptocurrency are also horrible for the environment. Because the process of operating and interacting with a blockchain requires hundreds or thousands of computers to be operating all at once, they consume extreme amounts of electricity. Conservative estimates for the total amount of electrical energy consumed and CO2 emissions caused by cryptocurrency rival those of mid-sized European countries.[12]

The Financial Risks of Crypto

The largest problem with cryptocurrency and NFTs, however, is that most projects were intentionally made to scam people out of their money. These digital assets only have value because of the amount of real money that is inserted into them by investors, and unlike banks or the stock market, they don’t generate additional wealth over time.[13] To make a profit with cryptocurrency, it has to be sold to somebody willing to spend more money on it than what you originally purchased it for.

“Pump-and-dump” scams like this are not only common but encouraged in many cryptocurrency communities as a way to make quick profits.[1] Most artists who began selling their art as NFTs were selling at a loss after transaction fees and costs associated with creating the NFTs.[14] The cryptocurrency apps which handle these transactions are aware of these practices, and many of the security problems mentioned earlier were neglected because their creators profited off of the transactional fees.[10]

How to Protect Yourself and Your Family from Cryptocurrency Scams

While the trend of cryptocurrency and NFT projects being advertised has gone on the decline, there are still pushes for the technology to be used in other parts of the web.

Here are some things you can do to help protect your family from cryptocurrency and NFT-related scams:

Keep an eye on new internet products and services that talk about NFTs, Ethereum, Bitcoin, blockchains, and Web3.0. These are all buzzwords that are commonly associated with each other to help sell the idea of cryptocurrency on social media.
Sign up for the FREE GKIS Connected Family Screen Agreement, which covers the basics of preventing digital injuries and opens a forum of discussion for you and your family to discuss internet safety.
Take a look at the How to Spot Marketing and Cybersecurity & Red Flags Supplements for the GKIS Connected Family Screen Agreement, which can help you to stay safe against identity theft, hacking, and scamming strategies common on the internet.

Thanks to CSUCI intern Brandon Bishop for researching the history of cryptocurrency development and authoring this article.