Tuesday, January 12, 2016

Bitcoin’s success is the result of nation’s incompetent policies and the trashing their own currencies

Five years ago very few would have thought of Bitcoin as anything more than a novelty… a curiosity for the digital age, and a symbol for the anarcho-capitalist fringe.  But the foresight behind Bitcoin was more in the creator(s) understanding of banking than it has been in forging a rebellious construct to the long-standing system of private central banking.
So for many of course, it is a very big surprise that in 2015, the best currency in the world was not the dollar, nor the Euro, nor the rising Yuan, but the crypto-currency itself.

5 comments:

Ken, could you explain Bitcoin to us average people? In my past life I was computer literate, a UNIX systems administrator for a medium sized company, and I have an MBA in money and finance from an accredited brick and mortar state university and I don't understand Bitcoin. Of course, I really don't understand fiat currency either and have bought gold and silver with all the "money" I can spare.

Bitcoin is based on mathematical and financial principals that represent a stable and non-inflationary form of money. Limited production, divisible, fungible, and is being compatible with other currencies.

It is like a digital version of gold or silver, with each being limited to a finite quantity that used to be central to the strength of all currencies. (ie... Bitcoin value in dollars is different than Bitcoin value in Swiss Francs)... the more a nation's central bank increases its money supply and devalues their currency, the more Bitcoin is in relation to that particular currency.

WHat is missing right now is acceptance in retail and commerce.

Thanks for the answer, but the skeptic that I am, I don't understand it well enough to believe cannot be hacked and stolen. Will the famous EMP pulse destroy bitcoins? It seems we assuming a functioning economy and functioning internet for this to work. If the 15-16 million bitcoins are worth $400-$500 dollars where did the ~$7 billion dollars come from or go to? It seems the bitcoin that I pay $450 for goes somewhere that was just made up out of the air. Who got the original money for the bitcoins? Google stock is something like this, but we know who got that money. It smells like a scam, but I know I don't know/understand it well enough to have a useful opinion. And I think your article mentioned this, but what will stop the government from just shutting it down or stealing your bitcoins, with them recording every phone call, text and internet click? I know I sound negative, but I really would like to understand it better

This is why to me, Bitcoin is a calculated option of diversifying currency risk. My primary choice will always be physical gold and silver, both in my hands, and offshored (through Karatbars).

I would like to invite you to look at MMM Global Bitcoin. You dont need to invites. Its all about your actions. MMM is a community of Mutual Aid. It’s a Donation Exchange Program, and We all help each other. But many are intimidated on how MMM works. You won't understand it until you try it yourself. Sergey Mavrodi's unique scheme enables people to be rewarded through mutual cooperation of its participants. There is no other system that exist like it. So, Don't be left behind, Join us.... thanks admin

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