Bitcoin as a new World Central Bank

[yyyshhha1415]

In a way, yes, it is like a central bank because majority of exchanges are paired into it with other altcoins.However this will not hold true for a long time because other altcoins have better programs in the future.

[tigershark]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

Bitcoin and altcoins can be an alternative to government regulated banks so it is a way to store money independent of any nations control. This is one of the major advantages of cryptocurrencies.

[Doms]

The very nature of bitcoin is its decentralization and the main characteristic is its pseudonymity, which it might have to lose once it becomes a central bank. And just because it has been increasing rapidly in price doesn't mean it is stable enough because it is still very much prone to volatility and the market cap is nowhere near that of gold.

[uneng]

Bitcoin is a currency, not a bank. Crypto currency can lead the world to a new monetary system based more in a decentralized or almost decentralized system than the full centralization we have today.
Giving better opportunities to all and equal chances of competion, finishing the lobbies and mafious schemes there are today in the world.

[stadus]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

Definitely not a central bank because in my understanding central bank is centralized and bitcoin is not. Though there are altcoins that is considered a good investment but bitcoin is still the most dominant of them all, I do believe they will both progress in the future and investors makes more money.

[darthmaul]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

Central bank. Hmm kinda looks like that only. Bitcoin is manager of all currencies which are produced virtually. As we can see the prices of all alts and ICO are solely dependent on BTC only. It is rider in the world of these tokens. This is why most of us choose to invest in BTC directly as we know the returns are high from BTC only. No other alts, ICO can compete it in the market and never will as BTC is one of its kind and rare.

[Hatuferu]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

Central bank. Hmm kinda looks like that only. Bitcoin is manager of all currencies which are produced virtually. As we can see the prices of all alts and ICO are solely dependent on BTC only. It is rider in the world of these tokens. This is why most of us choose to invest in BTC directly as we know the returns are high from BTC only. No other alts, ICO can compete it in the market and never will as BTC is one of its kind and rare.

Central bank has it's own definition and most definitely bitcoin will not suit on that definition.
It is just a good for me that can be used for online transaction while central bank manages the banks itself.

[Xester]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

Bitcoin has not played the role of a central bank but rather as the universal legal tender for all cryptocurrency all around the world. Just like the US dollars which is the center of foreign exchange bitcoin is the center for Cryptocurrency exchange. In short bitcoin is the US dollar in the digital form. This is the reason why bitcoin is very stable since the more altcoins that will appear the more the price of bitcoin will become.

[magneto]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

I think that you've got the whole idea of bitcoin wrong.

Bitcoin in ICOs are simply a way for ICOs to gain their initial funding - nothing else. Bitcoin itself cannot print more money to cover for these ICOs nor can ICOs take out loans from the bitcoin infrustructure. bitcoin is the currency here, not a bank.

The fact that ICOs are using bitcoin means that they are acknowledging bitcoin as the first and most trustworthy cryptocurrency to hold - even though they have their own competing projects going on.

[qiwoman2]

Bitcoin is a decentralized entity but it has taken the role of the US DOLLAR in relation to all other altcoins and tokens on the market. So it's like a parallel universe and a new economic area for investment and also business related activities. Banks and other institutions are now getting very interested in blockchain technology so Bitcoin is becoming a hub for tech and problem solving too.

[Mometaskers]

I wouldn't go so far as call it a central bank. I mean, I have bits but still use my credit card. There's also no bitcoin body that would provide usual bank services like loans.

I think of bitcoin as more of a personal bank. I keep my money where I want it and there's no way you are taking it from me, LOL. Also beats keeping my money in a bank's savings account with their pretty much non-existent interest rate.

[gregory51gosh]

Hi, thank you all once again for responses.

Conclusions as theses from several answers:

1. BTC took the role of USD in relation to the 'real' world
2. I would risk a thesis that if pt 1 is true - then the network is a central bank, while BTC is it's payment instrument
3. Yes, central banks operate basing on interests and money production, as well as lending. In such relation, while there is no 'single mining' took the role nodes.
I would risk a thesis that if the 'interest' rate is established due to the inflation mechanism, fees for transactions are like loan interests of the central bank
4. Stabilization role of BTC in relation to alts and tokens - there was a good comparison to commodities. BTC is a common good, while the rest is derivatives. It all depends on market cap, maybe this role will be changed by the other currency?
5. Yes, BTC i decentralized, however I would risk a thesis that the whole network is a centralization process thinking about nodes only (nothing can be done without blockchain notification), so it is not so independent

Theses are contradictory, as I would like to compare the stabilizing role of BTC to the classical market, which also changes due to internet banking (money becomes more and more a virtual thing). This is really a hard discussion, as it seems there a lot of common and coherent characteristics, while the original decentralization assumption predominates.

Edit: look at the number of nodes: https://bitnodes.21.co/dashboard/?days=365 vs. the thesis where 'transaction fees' state a 'loan' of the 'banks' <=> nodes.

[gregory51gosh]

thesis no.6

if not central bank, maybe then the network undergoes consolidation - with the higher meaning of 'corporation' nodes?

[szpalata]

In a way, yes, it is like a central bank because majority of exchanges are paired into it with other altcoins.However this will not hold true for a long time because other altcoins have better programs in the future.

Yes but until then it holds true so let's just wait and see since we don't know the future. Altcoins keep coming but we haven't seen any capable of outdoing Bitcoin so for me I think it become the global central bank in disguise until the right time.

[freeyourmind]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

A central bank dictates the monetary policy of a currency, so Bitcoin would not be a central bank.

It's an alternative currency for the world to use if they wish, but it is decentralized.  In terms of Bitcoin being a stable investment...not sure about stable with the volatility we're seeing, but I think it will be something to add to someone's diversified investment portfolio.  I think it becomes even more attractive for countries that have particularly weak currencies and problems with inflation to begin with.

[Superways]

 believe that bitcoin is working as a central bank or we can also say that bitcoin is a central crypto currency for any project. That is why everyone like to get BTC for their project. That also show that more people even the founders of altcoins believe on bitcoin.

[CROYA86]

I can say so because all this is a development, which is positive in this era, because bitcoin is slowly becoming the benchmark of a virtual currency

[maydna]

believe that bitcoin is working as a central bank or we can also say that bitcoin is a central crypto currency for any project. That is why everyone like to get BTC for their project. That also show that more people even the founders of altcoins believe on bitcoin.

i think bitcoin can not act like a central bank because every people has its own to manage the bitcoin in their wallet. if its like a central bank then we need some system or some group of people that can controlled or manage all bitcoin that have been exist and still in mining and watch over for not using in the wrong hand. if this is the case, then its really hard to do, because i am sure, the population will be bigger than only watching a member from one bank only and we are talking about a whole bitcoiners in every country.

[MingLee]

While people invest in alts and tokens, many treats BTC as 'stable' investment. For example, many ICOs make ESCROW in 40% BTC and then other coins.

Do you think BTC unwittingly took the role of the central bank in relation to other coins (detail, consumer 'banks')?

It unwittingly took the role of reserve currency because it came first, there aren't many other reasons for Bitcoin being in the position it is right now if not for the fact that Bitcoin has the largest community, and it came first, allowing for it to grow while everything else was being developed. If it came about now in the entire development of cryptos, it would be ignored or passed as a shitcoin due to the lack of features or flaws present.
Not trying to say Bitcoin is bad, it is great, but you have to be realistic about it all.

[Konthol Ngaceng]

Yes I agree, after prices skyrocketed from $1200 to $2500, all people are increasingly optimistic that bitcoin is going to be a global currency and world central bank replace world bank, we will see next day many countries will transactions with bitcoin (not USD, JPY, EURO and more).