What Is A Cryptocurrency And Bitcoin?

Let us say there was hanky-panky involved, let us say someone hacked the system or stole the electronic currency. At this time, digital money flies beneath the radar as it is not recognized even with all of the new Too Big To Fail regulations on banks, etc.. How can a digital currency have worth? Hard to say, how can a fancily printed piece of paper marked $20 be worth anything, it is not, but it’s worth what it represents if we all agree to this and have confidence in the money. What is the difference, it’s a matter of trust right?

Alright so, let’s say that the regulators, FBI, or another branch of government complies and files charges – should they record criminal charges that somebody defrauded someone else then just how much defrauding was demanded? If the government law and justice department place a dollar sum number to that, they are inadvertently agreeing that the digital currency is real, and it’s a value, thus, acknowledging it. If they don’t get involved, then some fraud which may or may not have occurred sets the entire notion back a long way, and the press will continue to push down the trust of all electronic or crypto-currencies.

So, it’s a catch-22 for your authorities, authorities, and enforcement people, and they cannot look the other way or deny that this trend any longer. Is it time for regulations. Well, I personally despise regulation, but isn’t this how it usually begins. Once it is regulated credibility is given to the concept, but his digital money theory could also undermine the whole One World Currency plan or perhaps the US Dollar (Petro-Dollar) paradigm, and there might be hell to pay for that as well. Can the international market handle that degree of disruption? Stay tuned, I guess we shall see.
In the meantime, what happens next will either break or make this new change in how we see monetary price, riches, online transactions and the way the actual world will mind-meld to our future blurred reality. I simply don’t see many people believing here, but everyone should, one misstep and we can all be in a world of hurt – all of humanity that is. Please consider all this and consider it. Do you have any thoughts at this point? No question, we are just getting started with all that can be known about crypto genius australia. Yes, it is true that so many find this and other similar subjects to be of fantastic value. At times it can be tough to get a clear picture until you discover more. Do you know exactly the kind of information that will help? If not, then you should discover more about this.

The concluding discussion will solidify what we have revealed to you up to this point.

Bitcoin is farther away from being The numeraire; not just is it simply a few, much as Fiat… but its value is measured in Fiat! Even if Bitcoin becomes internationally accepted as a medium of trade, and even though it manages to replace the Dollar as the accepted ‘numeraire’, it can never possess an intrinsic measure like Gold has. Gold is exceptional in being measured by a true, unchanging physical quantity. Gold is exceptional in preserving value for centuries. Nothing else in touch of humankind has this exceptional combination of attributes.

In conclusion, while Bitcoin has Some advantages over Fiat, namely anonymity and decentralization, it fails in its promise to being cash. Its advantages are also questionable; the aim would be to restrict the ‘mining’ of Bitcoins to 26,000,000 units; that is the ‘mining’ algorithm makes harder and harder to fix, then hopeless after the 26 million Bitcoins are mined. Unfortunately, this statement might well be the death knell of Bitcoin; already, a few central banks have declared that Bitcoins might become a ‘reservable’ currency.

Wow, sounds like a Significant step for Bitcoin, does it not? After all, the ‘big banks’ seem to be accepting the true value of this Bitcoin, no? This actually means is banks recognize that they could trade Fiat to get Bitcoins… and also to really buy up the 26 million Bitcoins projected would cost a meagre 26 Billion Fiat Dollars. Twenty six billion Dollars isn’t even small change to the Fiat printers; it’s roughly a week’s worth of printing by the US Fed alone. And, once the Bitcoins purchased and locked up at the Fed’s ‘wallet’… what useful purpose could they serve?

There would be no Bitcoins left in Flow; a perfect corner. If there are no Bitcoins in flow, how on Earth can they be used as a medium of exchange? And, what could the issuers of Bitcoin possibly do to defend against such a fate? Change the algorithm and increase the 26 million to… 52 million? To 104 million? Join the Fiat print parade? But , by the quantity theory of money, Bitcoin would begin to eliminate value, just as Fiat supposedly loses value through ‘over-printing’…

We come into the main issue; why search To get a ‘new money’ when we have the best money, Gold? Fear of Gold confiscation? Lack of anonymity in the intrusive government? Brutal taxation? Fiat money legal tender laws? Each of the above. The answer isn’t in a new sort of money, but in a new social arrangement, one without Fiat, with no Government spying, without drones and swat teams… with no IRS, border guards, TSA thugs… on and on. A huge liberty not tyranny. Once this is accomplished, Gold will restart its ancient and critical role as fair money… and not a moment before.

Rudy J. Fritsch was created in Hungary In 1947, also fled Socialist tyranny throughout the Hungarian Revolution of 1956. His family had lived through WWII and the consequent Hungarian hyperinflation, so he has intimate experience with financial devastation.

As an engineer and entrepreneur, he Conducted a thriving family business in Canada for years, in its peak employing over 100 workers, until economic upheaval destroyed the profitability of North American production. Driven from business, he decided to study economics… to discover the cause of the unhappy circumstance.

The halving takes effect when the Number of ‘Bitcoins’ given to miners after their successful creation of the new block is cut in half. Therefore, this phenomenon will reduce the awarded ‘Bitcoins’ out of 25 coins to 12.5. It’s not a new thing, however , it does have an enduring effect and it isn’t yet known whether it is good or bad for ‘Bitcoin’.

Leave a Reply

Your email address will not be published. Required fields are marked *