I write this in all seriousness.
It has been clear to me since 2005 or so with the collective insanity of the American housing bubble that our collective financial arrangements have become increasingly unmoored from reality and more and more destructive of our collective and individual welfare. Until about a month ago, I was expecting an economic collapse when our financial system fails within the next decade. Until I took a deeper look at Bitcoin, saw how far it has come since I became aware of it in 2010, and became convinced that this new version of money can actually do what humanity needs much better than fiat currencies or precious metals.
Money is the circulatory system of our economic body. And the degree of specialization required in our modern economy really does require an electronic form of money. A gold-based electronic currency would work if we could fully trust the institutions that would run it, but the last decade has demonstrated to the observant and thoughtful that large institutions with enormous power inevitably become corrupted.
But Bitcoin can be that electronic currency. It is backed both by strong cryptography, a branch of the science of mathematics, and by the currency owners collective interest in maintaining its value. We finally have a fully electronic money that can be trusted and cannot be manipulated by the powerful. When these fiat currencies expire from terminal indebtedness, over-issuance and demographically-impossible promises, Bitcoin will still be there, able to continue the vital work of resource coordination, without the horrible distortions and capital consumption bubbles caused by seigniorage and debt-fueled speculation generated by the fiat-banking complex and without the enormous inefficiencies of political allocation of resources.
It has been clear to me since 2005 or so with the collective insanity of the American housing bubble that our collective financial arrangements have become increasingly unmoored from reality and more and more destructive of our collective and individual welfare. Until about a month ago, I was expecting an economic collapse when our financial system fails within the next decade. Until I took a deeper look at Bitcoin, saw how far it has come since I became aware of it in 2010, and became convinced that this new version of money can actually do what humanity needs much better than fiat currencies or precious metals.
Money is the circulatory system of our economic body. And the degree of specialization required in our modern economy really does require an electronic form of money. A gold-based electronic currency would work if we could fully trust the institutions that would run it, but the last decade has demonstrated to the observant and thoughtful that large institutions with enormous power inevitably become corrupted.
But Bitcoin can be that electronic currency. It is backed both by strong cryptography, a branch of the science of mathematics, and by the currency owners collective interest in maintaining its value. We finally have a fully electronic money that can be trusted and cannot be manipulated by the powerful. When these fiat currencies expire from terminal indebtedness, over-issuance and demographically-impossible promises, Bitcoin will still be there, able to continue the vital work of resource coordination, without the horrible distortions and capital consumption bubbles caused by seigniorage and debt-fueled speculation generated by the fiat-banking complex and without the enormous inefficiencies of political allocation of resources.
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