The other day, I was discussing cryptocurrency with an acquaintance at our local Starbucks, and he informed me that he was working with some entrepreneurs who had previously been academic experts in IT security. Of course, for crypto-currencies it is about secure transfer of data and confidence in the underlying value of those and zero, or Q-bits. Presumably, I can look at their business plans, although there are some obstacles in the way of the future of these digital currencies, I am sure that will be the norm of the future – the way the world is moving forward.
Does this mean that our smart grid will have a distributive currency like distribution power or distribution information like internet? Well, people usually do what they do and there are both good and bad with centralization and a redistributive redundancy strategy.
Now then, what is the last question you ask? Okay, there are two articles that I read more than an hour after that meeting, since I was traveling through the information, I had previously reserved for writing about this later; Slightly useful – Bitcoin itself may fail as a currency, but the underlying technology has begun to suggest valuable new applications, “by Paul Ford (February 18, 2014) and remember that this article was written a few days before Bitcoin was stolen from one of them. Exchange
On February 25, 2014, the day after the results hit the newswear, Knight Byrnes wrote another article, “Bitcoin on the Hot Seat – A major bitcoin exchange shuts down, raising questions about the cyber currency.” Are you surprised? No, me too.
As stated in the second article; “Tokyo-based Mount Gox, once one of the largest exchanges of Bitcoin cybercurrencies, stopped working on Tuesday amid concerns that millions of dollars had been stolen from the firm and the long-term prospects of unregulated digital currency. Other Bitcoin exchanges quickly distanced themselves from Mount Gox. Goes and claims that they were still open for business. By mid-afternoon the currency itself had plummeted to just above $ 500. In November it reached an all-time high of $ 1,100. “
What do you say about that? Ouch. Does this prove that Naysara was right to call it a Panji scheme? Do they get the last laugh, or is it just an expected evolutionary process disrupted and all the convulsions done? Well, consider this thought test I had.
Suppose Hanky-Panky was involved, suppose someone hacked the system or stole digital currency. At the moment, digital currency is flying under the radar because it is not recognized in all the new two big to fail regulations of the bank. How can a digital currency have value? Hard to say, how can a fancy printed piece of paper marked 20 be worth anything, but what it represents is worth it if we all agree and trust the coin. What’s the difference, right?
Okay, so let’s say the regulator, the FBI, or another branch of government intervenes and files a complaint – how much fraud was involved if they filed a criminal complaint that someone cheated on someone else? If government enforcement and the judiciary put a dollar number in it, they inadvertently agree that the digital currency is real, and that it has a value, thus, acknowledging it. If they are not involved, then any fraud that may or may not happen will give the whole idea a way back and the media will continue to undermine the trust of all digital or crypto-currencies.
So, this is a catch-22 for the government, regulators and enforcers, and they can no longer see or deny this trend. Is it time for regulation? Okay, I personally hate regulation, but it doesn’t usually start that way. Once it is regulated, the concept is given credibility, but the concept of its digital currency could undermine the entire One World Currency strategy or even the US dollar (petro-dollar) instance and pay for it. Will the global economy be able to disrupt that level? Stay tuned, I guess we’ll see.
In the meantime, what happens next will either make or break this new change in how we view financial values, assets, online transactions, and how the real world will meet our future vague realities. I don’t see many people here thinking, but everyone should, one wrong step and we can all live in a world of trauma – all humanity. Consider all this and think about it.