After viewing the intriguing presentation in Amsterdam by Overstock.com CEO Patrick Byrne for Bitcoin, he raises many crucial points. The currencies around the world are mostly controlled by governments, monopolized by big banks and do more harm than help to the poor’s financial situations. Cryptocurrencies such as Bitcoin have no borders and may be used internationally as payment.
Using a payment system like Bitcoin around the world in conjunction with countries’ currencies of now could be a great solution to financial problems and fees associated with sending funds on a global scale. It seems like a win-win when explained by Dr. Byrne, a supporter of Cryptocurrencies like Bitcoin
It appears ludicrous that the U.S. would do so many FBI investigations and confiscate bitcoins when they are like a bonus within financial markets, allowing those with limited access to technology to still do funds transfers and pay for necessities on an international level. Bitcoin users are losing less money to fees, therefore keeping more money in their pocket and able to build up savings. California has legalized bitcoins as a form of currency. Now the state may monitor how much of an impact adding an additional form of tender to the current USD would make, and we can see just how vital using Bitcoin can be.
Another point Dr. Byrne made was that modern societies are lacking trust. Trust of those in most societies is at a low these days. But when individuals gain control of one part of their life, such as finances, and people work together to make those monetary exchanges possible, it boosts trust and morale. The general standpoint Dr. Byrne had was to make access to funds available to all types of people around the world, reinstating trust amongst members of a society. Read more of his ideas on central banking via Patrick Byrne on Twitter.
The most obvious reason a payment system like Bitcoin would raise issues is that governments fear losing control of their currencies. Taxes, a country’s identity and big banks all have deep roots within their exclusive tender. By the United States government giving up part of their right to control all currency, such as allowing dollars plus Bitcoin, they lose part of their control. Bitcoin has no affiliation to any particular country which makes it a favorable piece of central banking, allowing people around the world to share one currency. However, each country’s currency is also set to keep that system in operation, is able to be tracked and taxed, updated and phased out. It pays for government needs on local and national levels, and can even be viewed as a piece of patriotic symbolism and pride.
Of course governments and financial houses like Wall Street should have concern, each country must continue their current use of currency in order to maintain control, taxes and order in money markets. On an international level, could the U.S. Dollar and the monetary systems of all countries eventually be phased out in the future in favor of Bitcoin? Only time will tell, but for now I see countries around the world holding on tight to their current financial systems.
It’s an interesting thought, what if the entire world could use one method of payment – everywhere? The video of his presentation may be viewed here https://www.youtube.com/watch?…. What are your thoughts on Bitcoin being used as an international method of central banking?