The Critical Importance Of Cryptocurrencies - What's your take?

[AltcoinAuthority]

Money and its associated systems of commerce are the most influential and pervasive man-made influences on the human race today. As the paradigm we use to associate value with something and transfer that value amongst us, currency informs us in many ways both obvious and subtle. Currencies drive societies and are responsible for enabling mankind to transact in such a way that we can all function together.

Noble, you would say, and in its purest form, few things are nobler. However, there has been a fundamental flaw in our systems of commerce since inception – the privileged few exercising control over the most basic needs of the rest of us.

You can finish reading this editorial here: http://altcoinauthority.com/2014/03/the-critical-importance-of-cryptocurrencies/


Please contribute to this discussion, we're all in this together.

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[Mark™]

I'm guessing from your above post, cryptocurrency will overule this exercising control since it's decentralized and would allow everyone to fulfill their own basic needs.

[samysamy1]

This is the exact reason reason why people are jumping on the cryptocoin wagon, but some will be overtaken by greed.
The current fiat system is on purpose designed to enslave people through interest and at the end of it will fall so that many people loose their material life.
Interest is forbidden by God/Allah since it is an injustice system, and so are illegal collected taxes - I mean they are both from the same source (the Illuminati of whatever name you wanna give them).
Poor people are taken advantage of and the Jewish bankers and governments get richer and enjoy seeing people fail miserably.

[jonald_fyookball]

It's nothing short of epochal shift that's taking place.  And it can't be stopped.

[Ix]

Noble, you would say, and in its purest form, few things are nobler. However, there has been a fundamental flaw in our systems of commerce since inception – the early adopters exercising control over the most basic needs of the rest of us.

Edited for fun. It's nice to see articles that are not bitcoin or bitcoin-like biased that talk about the power of cryptocurrency. I was expecting it but was pleasantly surprised.

[kauppalahti]

Personally i am more and more eaxsious t see the future cause
you can open your eyes insted keeping them closed!

[cakir]

F*ck the System, use Cryptocurrency!

"Legal Money Systems" are manipulated by governments, imf etc and the winners were always them. But Now Cryptocurrency is always ruled by people directly and the winners are us!

[TTM]

Crypto cannot replace fiat in foreseeable future, currently it's just payment method, not a currency. We buy/sell an item using BTC but we think about the equivalent price in fiat.

[AnonyMint]

The linked blog article is excellent except for the last part where it talks about how to get involved.

Politics (the power vacuum that rewards the elite) are not beaten with more politics.

The single most important action you must do is choose the correct design for your crypto-currency, as I explained at the following short post:

https://bitcointalk.org/index.php?topic=518453.msg5749208#msg5749208

All the promotion and hoopla is meaningless if your design is broken in a way that will give it all back to the power vacuum. And Bitcoin is so broken.

[cryptoanarchist]

Crypto cannot replace fiat in foreseeable future, currently it's just payment method, not a currency. We buy/sell an item using BTC but we think about the equivalent price in fiat.

Only because many resources are held by the same people that run the fiat system and used it to get those resources. Once the price of crypto goes up another ten-fold, the greed factor will kick in for more retailers - its a bottom up process.

I see Costco as the next BIG domino to fall. Once that happens, you can buy FOOD with Bitcoin. Then, only utilities will be left. These are owned exclusively by the masonic power structure and will absolutely refuse to accept bitcoin until the bitter end. Before that happens, and after food is available for bitcoin, I think you will see dramatic reductions in government revenue as people hide money from the IRS in various blockchains. Government freebies will be reduced, while while the gov prints even more money to keep funding to the services that keep their power (military and police). This inflation will draw even more to cryptocoins, and the cycle will go faster and faster. Eventually, many police and military will quit and join private services to get paid in crypto, and then you can kiss government goodbye forever.

[IrishFutbol]

A central authority like the Federal Reserve can also stabilize prices, limit inflation, and when done right, avoid a recession/depression.  A completely unregulated currency can't do any of this.  The Fed and the other central banks are powerful entities, but that doesn't make them bad.

The other key point that you're missing is that you seem to be wrongfully assuming that BitCoin will be free from manipulation.  Just as the Fed can affect the value of a dollar by adjusting the supply of the dollar, they could easily do the same with BTC.  If they want to push the price up, they issue BTC denominated bonds.  They do the opposite if they want to push the price down.  Hell, one recession/depression and the public will be clamoring for market regulation.

[cryptoanarchist]

A central authority like the Federal Reserve can also stabilize prices, limit inflation, and when done right, avoid a recession/depression.  A completely unregulated currency can't do any of this.  The Fed and the other central banks are powerful entities, but that doesn't make them bad.

All the things you listed that the Fed do are indeed BAD for the economy by interfering with natural market forces.

The other key point that you're missing is that you seem to be wrongfully assuming that BitCoin will be free from manipulation.  Just as the Fed can affect the value of a dollar by adjusting the supply of the dollar, they could easily do the same with BTC.  If they want to push the price up, they issue BTC denominated bonds.  They do the opposite if they want to push the price down.  Hell, one recession/depression and the public will be clamoring for market regulation.

Um, no. The Fed can't manipulate bitcoin. "Issue bitcoin denominated bonds"?!? Dude, seriously, do some reading about how bitcoin works.

[AltcoinAuthority]

Looking for more opinions on this matter

[Siegfried]

Crypto cannot replace fiat in foreseeable future, currently it's just payment method, not a currency. We buy/sell an item using BTC but we think about the equivalent price in fiat.

Only because many resources are held by the same people that run the fiat system and used it to get those resources. Once the price of crypto goes up another ten-fold, the greed factor will kick in for more retailers - its a bottom up process.

I see Costco as the next BIG domino to fall. Once that happens, you can buy FOOD with Bitcoin. Then, only utilities will be left. These are owned exclusively by the masonic power structure and will absolutely refuse to accept bitcoin until the bitter end. Before that happens, and after food is available for bitcoin, I think you will see dramatic reductions in government revenue as people hide money from the IRS in various blockchains. Government freebies will be reduced, while while the gov prints even more money to keep funding to the services that keep their power (military and police). This inflation will draw even more to cryptocoins, and the cycle will go faster and faster. Eventually, many police and military will quit and join private services to get paid in crypto, and then you can kiss government goodbye forever.

I read a few days ago that a Dutch energy company is starting to accept Bitcoin.

[Beliathon]

This is the exact reason reason why people are jumping on the cryptocoin wagon, but some will be overtaken by greed.
The current fiat system is on purpose designed to enslave people through interest and at the end of it will fall so that many people loose their material life.
Interest is forbidden by God/Allah since it is an injustice system, and so are illegal collected taxes - I mean they are both from the same source (the Illuminati of whatever name you wanna give them).
Poor people are taken advantage of and the [antisemitism redacted] bankers and governments get richer and enjoy seeing people fail miserably.

Quoted for truth.

[dowsey14]

The single most important action you must do is choose the correct design for your crypto-currency, as I explained at the following short post:

https://bitcointalk.org/index.php?topic=518453.msg5749208#msg5749208

All the promotion and hoopla is meaningless if your design is broken in a way that will give it all back to the power vacuum. And Bitcoin is so broken.

You are correct, it depends on the specific design. But there are many competing designs.

But Bitcoin is far from broken. It just works. It has it's flaws, but to me they are not that obtrusive. The system just works beautifully...BUT one must understand HOW it works, or they risk losing their funds. A perfect example of this is wallet maintenance and backups. People think certain wallet backups are still good but in fact are useless. People load up a paper wallet, spend a few coins, then just cross off say "50 BTC" and replace it with "45 BTC" and put the paper wallet away, forgetting about the wallet they've created on their PC or their web based wallet...and ended up with a rude shock after discovering later that they've lost the remainder of the balance on their paper wallet because they didn't understand change addresses.

The design that interests me the most is the design of Quarkcoin. Some call it a scam, but I beg to differ. 5/6ths of the coins that will be minted over the next 50 years were minted in a 6 month period. This gives it a huge stability advantage to those who are new to the cryptocurrency market. Most other cryptos are still being mined with an eventual finite supply.

To me a finite supply will eventually cause the Zilger-Hubermann loss-pattern-diffusion effect whereby the critical mass will reach its threshold much sooner than expected, and then subsequently collapse. Think the South Sea bubble. People assign Bitcoin value, so therefore it has value. But if it becomes virtually impossible to obtain new coins after a certain time frame passes, then it may well become useless. With Bitcoin and it's very finite supply of probably LESS than 20M coins (we can claim that more than 1M coins were destroyed through HDD failures, newbies who didn't understand change addresses, forgotten passphrases to encrypted wallets, lost wallet files, backup mistakes, formatted hard drives with forgotten wallets, or indeed anything that results in irrevocable loss of private keys, you could even add lost/damaged paper wallets to this list). A loss of 1M coins, you can almost bank on that. I'd be willing to bet everything I have that 1 million bitcoins were irrevocably lost by mistakes ranging from the common and simple to the rare and complex.

Bitcoin is definitely flawed. I make no bones about it. But so is virtually every one of the other cryptocurrencies...even Quarkcoin, which is my favourite crypto, is flawed in some way...but it depends on whether those flaws will affect the long-term appreciation and adoption into the mainstream usage over time.

To me, the ultimate cryptocurrency will have every feature required of a cryptocurrency for every individual ranging from the dumbest to the smartest - that is, all features FULLY open source, password protection options, wallet encryption options, backup options, paper wallet and key print out options, HD deterministic wallets that only require ONE master private key to secure and maintain, mining features fully built in that are fully optional to any user, and with programmable access to direct banking features, such as exchanges and peer-to-peer financial systems, such as p2p banks and of course bitcoin, but where one can sell or purchase this cryptocurrency with full fiat exchange.

If one could achieve this in a cryptocurrency, Bitcoin would be in an uphill battle against this new cryptocurrency. That's the truth and for bitcoiners it might be terrifying, but those are the facts. C'est la vie. I'm sure bitcoiners could produce something such as what I've described above. And in fact, with Armory and Electrum, they've done just that to a certain extent, but we still have a long way to go before we could say that Bitcoin is a completely finished product. It's still a ways to go, but I am certain we will get there, but it will be a slow process, with many hurdles to cross, and of course this will happen over time.

[LightRider]

Bitcoin is the beginning of the end of money.

https://bitcointalk.org/index.php?topic=5373.0

[dbwilkins]

I cannot agree that money are the most influential and pervasive man-made influences on the human race today.

[franky1]

1 not having to fill in paperwork, have credit checks and supply identification, purely for third parties to hold your wealth
2 not having to use these same third parties to move your wealth and be told that there are limits on how much or how often you can do it.
3 bitcoin trading between people cannot be stopped by governments. (unlike mastercard in russia)
4 anything you can do with FIAT (pay labour, buy products, invest) can be done with bitcoin. without the limitations of points 1,2&3 above.
5 bitcoin is rare, but at the same time weightless, so it is better then gold in many ways for transactions(excluding manufacturing)

[franky1]

I cannot agree that money are the most influential and pervasive man-made influences on the human race today.

sex/procreation is the ultimate drive of humans. money comes just after that