Let us say there was hanky-panky involved, let us say someone hacked the system or stole the electronic currency. At this time, digital currency flies beneath the radar since it isn’t recognized even with all the newest Too Big To Fail regulations on banks, etc.. How can a digital money have worth? Hard to say, how can a fancily printed piece of paper marked $20 be worth anything, it’s not, but it is worth what it signifies if we all agree to this and have confidence in the currency. What is the difference, it is a matter of confidence right?
Alright so, let’s say that the authorities, FBI, or another branch of government interferes and files charges – if they file criminal charges that somebody defrauded somebody else then just how much defrauding was demanded? In the event the government enforcement and justice department put a dollar sum number to that, they’re inadvertently agreeing that the electronic currency is real, and it’s a value, thus, acknowledging it. When they don’t get involved, then any fraud that may or may not have occurred sets the whole concept back a long way, and the press will continue to drive down the trust of all digital 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 this trend any longer. Is it time for regulations. Well, I personally hate regulation, but is not this how it usually starts. Once it’s controlled credibility is given to the notion, but his digital money theory may also undermine the whole One World Currency plan or perhaps the US Dollar (Petro-Dollar) paradigm, and there could be hell to pay for this as well. Can the international market handle that degree of disturbance? Stay tuned, I guess we will see.
In the meantime, what happens next will either make or break this new shift in how we view monetary price, wealth, online transactions and the way the real world will mind-meld into our prospective blurred reality. I just don’t see many folks thinking here, but everybody needs to, 1 misstep and we could all be in a world of hurt – all of humanity that is. Please consider all this and think on it. Now that you have read this far, has that stirred your opinions in any way? crypto genius software is a massive area with many additional sub-topics you can read about. Yes, it is correct that so many find this and other similar subjects to be of great value. At times it can be tough to get a clear picture until you discover more. So what we suggest is to really try to discover what you need, and that will usually be determined by your circumstances. The rest of our talk will add more to what we have mentioned so far.
Bitcoin is farther away from being The numeraire; not only can it be simply a few, much as Fiat… but its worth is quantified in Fiat! Even if Bitcoin becomes internationally accepted as a medium of trade, and even though it succeeds to replace the Dollar as the accepted ‘numeraire’, it can never have an intrinsic measure like Gold has. Gold is unique in being measured by a true, unchanging physical quantity. Gold is unique in storing worth for thousands of years. Nothing else in touch of humankind has this exceptional blend of attributes.
In conclusion, while Bitcoin has A few advantages over Fiat, namely anonymity and decentralization, it fails in its promise to being money. Its advantages are also questionable; the intent is 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 announcement could very well be the death knell of Bitcoin; currently, some central banks have announced that Bitcoins may 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 legitimate value of the Bitcoin, no? What this actually means is banks realize that they might trade Fiat to get Bitcoins… and also to actually 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 is roughly a week’s worth of printing by the US Fed alone. And, once the Bitcoins bought up and locked up at the Fed’s ‘wallet’… what useful purpose could they serve?
There would be no Bitcoins left Circulation; an ideal corner. If there are no Bitcoins in flow, how on Earth can they be applied as a medium of trade? And, what could the issuers of Bitcoin possibly do to defend against such a destiny? Change the algorithm and increase the 26 million to… 52 million? To 104 million? Join the Fiat print parade? But , from the quantity theory of money, Bitcoin would start to eliminate value, just as Fiat allegedly loses value through ‘over-printing’…
We come to the key dilemma; why search For a ‘new money’ if we have the best money, Gold? Fear of Gold confiscation? Lack of anonymity in the intrusive government? Brutal taxation? Fiat money legal tender legislation? Each the above. The solution is not in a new sort of money, but in a new social structure, one without Fiat, with no Government spying, without drones and swat teams… with no IRS, border guards, TSA thugs… on and on. A world of independence not tyranny. Once this is accomplished, Gold will resume its early and critical role as fair money… and not a moment before.
Rudy J. Fritsch was born in Hungary In 1947, also fled Socialist tyranny throughout the Hungarian Revolution of 1956. His family had lived through WWII and the resultant Hungarian hyperinflation, so he’s intimate encounter with financial devastation.
As an engineer and entrepreneur, he Conducted a successful family business in Canada for decades, in its peak using over 100 workers, until economical upheaval ruined the profitability of North American manufacturing. Driven from business, he decided to study economics… to detect the origin of this unhappy circumstance.
The halving takes effect when the Number of ‘Bitcoins’ awarded to miners after their successful development of the new block is cut in half. Therefore, this phenomenon will cut the given ‘Bitcoins’ out of 25 coins to 12.5. It’s not a new thing, however it does have an enduring impact and it is not yet known whether it is good or bad for ‘Bitcoin’.