[2017-06-17] Ignore the State’s Coming Blockchain Grab. Be Happy Libertarians

[Eric Cartman]

A May 30th article in the Atlantic declared, “Cryptocurrency Might be a Path to Authoritarianism. Extreme libertarians built blockchain to decentralize government and corporate power. It could consolidate their control instead.”


The article distorts important points but it raises a valid concern.Ignore the State's Coming Blockchain Grab. Be Happy Libertarians Namely, bitcoin and the blockchain have “attracted banks, governments, and corporations.” A digital currency under their control could be a stride toward a cashless society in which all white market transactions are tracked by avaricious banks, states and corporations. It could usher in unprecedented financial control.

No wonder savvy politicians like Putin are fascinated by cryptocurrencies…that is, as long as the stumbling block of pseudonymity can be removed. Putin has been meeting with the founder of Ethereum with the reported goal of making some form of ether Russia’s national cryptocurrency. Statists have awoken to the power of the blockchain which would make their usurpation of money and power more efficient.

Cryptocurrencies allow individuals to sidestep the state. Can states also use them to impose economic and social control on individuals? To some degree, of course they can. Technology is extremely adaptable. But converting bitcoin into a tool of the state encounters a stiff barrier. Government-issued currency (fiat) and the institutions attending it (central banks) are designed to serve the state and social control. Bitcoin is designed to serve individuals and freedom. The “square block in a round hole” problem arises.


full: https://www.nigeriatoday.ng/2017/06/ignore-the-states-coming-blockchain-grab-be-happy-libertarians/

[Nagadota]

Building a national Russian cryptocurrency on Ethereum sounds like worthless speculation anyway.  I'm sure that Russian politicians know that the applications built on Ethereum would fail if Ethereum did, so they would not trust something like that to a private company unless they personally had some control or leverage over the ETH devs.

Cryptocurrencies have not reached the "killer app" stage yet.  This current phase is the innovator phase, and we're not yet at a point where there's a cryptocurrency that could actually be used as an international currency.

I believe that when that ideal cryptocurrency has been reached, there will be optional anonymity which is not handled in the same way (e.g. Monero and other systems being implemented to increase privacy).

[iamTom123]

We have to understand that the blockchain technology behind Bitcoin and Ethereum is there available for all of us regardless if you want to control some part of the world or not. And we could not stop governments from also taking advantage of the technology and the benefits it can be bringing.

But it is all of to the intended market if they would be accepting what they are being offered of. Things would always boil down to usage and adoption. Any country and any organization can introduce their own coin but there is no guarantee that what they are introducing can be successful in the long run.