Bitcoin (BTC) Separates Money from State, it is Dangerous, Risky stuff
Bitcoin is as much a political invention as it is an economic one. This is because decentralization is essentially getting to limit state control as it typical for fiat. Bitcoin is comparable to free speech which is available to everyone while fiat is like beer supply which can be limited by the supplier. That is what a Twitter user argues, urging the community to chose wisely as this is
“dangerous, risky stuff. A lot is on the line.”
1/ Bitcoin deals with money. Separating money from the state. Managing people’s life savings. People’s livelihoods depend on it. The path of civilisation is altered by the money its built on.
Dangerous, risky stuff. A lot is on the line. pic.twitter.com/S9Ul6jSGLA
— Neil Woodfine (@nwoodfine) May 25, 2019
A purely Bitcoin run system can have its pros and cons. Nonetheless, the central tenet of Bitcoin remains an allure as it is a monetary system that the government cannot control. Moreover, it is contingent on the market competition for value and usage rate.
For decades, the world operated on the gold standard. This means that the price of everything is pegged on the value of gold. Even when fiat currency came about, this standard held in certain jurisdictions as back-up to fiat. In the USA, for instance, the gold standard held until the 70’s when the Nixon administration got rid of it.
In the contemporary era, the global standard is unlimited fiat regulated by central banks. This means that manipulation of currency is rife, with China being the classic example.
How about a Bitcoin standard? Yes, Bitcoin can definitely be a great standard because it is decentralized and immutable. This puts it right up there with gold as something that is finite in availability and not subject to arbitrary production.
Separation of Money from The State
Bitcoin is a libertarian dream for the sole reason that it brings financial freedom to users as it reduces government. The relationship between the state and the financial market is often complicated and dynamic. Proponents would argue for a government role in the monetary system as Bitcoin is not liquid enough to be a satisfactory currency.
However, Bitcoin is all about separating money from being the prerogative of the state. The fact that this separation is possible is both exciting and intriguing. As such, this virtual currency can literally have historical implications.
Perceived Challenges in Implementation
Even the most enthusiastic Bitcoin enthusiasts will not hide from the fact that implementing it will be immensely challenging. These logistical issues stem from both intrinsic and extrinsic factors.
First, the entire industry faces a massive blight of opportunists and scammers. These people are unfortunately not into this industry for benevolent reasons but rather to exploit others.
Moreover, Bitcoin still has the image of a speculative commodity rather than a medium of exchange. This is because Bitcoin has been slow to develop as a tool of trade and this is something the coin has to outgrow.
As such, the culture around the Bitcoin industry does not appear positive. The image of extreme skepticism, cynicism is a tag Bitcoin needs to shake off.
The Actual Situation in The Bitcoin Industry
These issues don’t define Bitcoin. Bitcoin is an invention that people should adapt to and not the other way around. This is because the cultural elements are not fundamental to the sustainability of the coin.
Bitcoin users can be as friendly and engaging as there would be in any other industry. As such, attending a Bitcoin event can show you a different side not often present in normal discourse. There is more collaboration than you would imagine even at times of disagreement.
Bitcoin has overcome the challenging infancy years of development. This period is undoubtedly vital for future development. This industry will eventually shrug off the bad elements and provide a true alternative financial system. Choose the digital revolution today and be part of building a decentralized future.