As an engineer and engineer, he Conducted a successful family business in Canada for decades, at its peak using over 100 workers, until economic upheaval destroyed the sustainability of North American production. Driven out of business, he chose to study economics… to detect the cause of this unhappy circumstance.
The halving takes effect when the Amount of ‘Bitcoins’ given to miners following their successful development of this new block is cut in half. Thus, this phenomenon will cut the awarded ‘Bitcoins’ from 25 coins to 12.5. It is not a new thing, however it does have an enduring impact and it is not yet known whether it is good or bad to ‘Bitcoin’.
Alright so, let’s say that the regulators, FBI, or another branch of government interferes and documents charges – if they file criminal charges that somebody defrauded someone else then just how much defrauding was involved? In the event the government law and justice department put a dollar sum number to this, they’re inadvertently agreeing that the digital money is actual, and it’s a value, consequently, acknowledging it. When they don’t get involved, then some fraud that might or might not have occurred sets the entire notion back a long way, and the media will continue to drive down the trust of all digital or crypto-currencies.
So, it is a catch-22 for your government, regulators, and enforcement folks, and they cannot look another way or deny that this trend any longer. Could it be time for regulations. Well, I personally despise regulation, but isn’t this how it usually starts. Once it is regulated credibility is given to the concept, but his digital money theory may also undermine the entire One World Currency plan or even the US Dollar (Petro-Dollar) paradigm, and there could be hell to pay for this as well. Can the global market manage that degree of disturbance? Stay tuned, I guess we will see.
In the meantime, what happens next will either make or break this new shift in how we view monetary value, riches, online transactions and how the real world will mind-meld into our prospective blurred reality. I just don’t see a lot of people believing here, but everybody should, 1 misstep and we can all be in a world of hurt – all of humanity that is. Please think about all of this and consider it. We consider the above thoughts and suggestions must be taken into account in any conversation on crypto genius software. However is that all there is? Not by a long shot – you really can expand your knowledge greatly, and we will help you. It is difficult to determine all the various means by which they can serve you. It really should not need to be said that you must perform closer examination of all relevant points. But we have kept the best for last, and you will understand what we mean as soon as you have read through.
Bitcoin is further away from being The numeraire; not only can it be simply a number, much as Fiat… but its value is quantified in Fiat! Even if Bitcoin becomes internationally accepted as a medium of exchange, and even though it succeeds to replace the Dollar as the accepted ‘numeraire’, it can not possess an intrinsic measure like Gold has. Gold is exceptional in being quantified by a true, unchanging physical quantity. Gold is exceptional in storing value for centuries. Nothing else in reach of humankind has this unique blend of qualities.
In Summary, while Bitcoin has Some advantages over Fiat, specifically anonymity and decentralization, it fails in its own promise to being money. Its advantages are also questionable; the aim is to restrict the ‘mining’ of Bitcoins into 26,000,000 units; this is the ‘mining’ algorithm gets harder and harder to solve, then hopeless following the 26 million Bitcoins are mined. Unfortunately, this announcement might well be the death knell of Bitcoin; already, some central banks have declared that Bitcoins might become a ‘reservable’ currency.
Wow, sounds like a major measure for Bitcoin, does it not? After all, the ‘big banks’ seem to be accepting the legitimate worth of the Bitcoin, no? This actually means is banks recognize that they might exchange Fiat to get Bitcoins… and also to actually buy up the 26 million Bitcoins projected would cost a meagre 26 Billion Fiat Dollars. Twenty six billion Dollars is not even modest change to the Fiat printers; it’s roughly a week’s worth of printing from the US Fed alone. And, once the Bitcoins purchased and locked up in the Fed’s ‘wallet’… what practical purpose could they serve?
There would be no Bitcoins left Circulation; a perfect corner. If there aren’t any Bitcoins in flow, how on Earth can they be used as a medium of trade? And, what could the issuers of Bitcoin potentially do to defend against such a fate? Change the algorithm and boost the 26 million into… 52 million? To 104 million? Join the Fiat printing parade? But , by the quantity theory of money, Bitcoin would begin to eliminate value, as Fiat supposedly loses value throughout ‘over-printing’…
We come into the key issue; why hunt For a ‘new money’ when we have the best money, Gold? Fear of Gold confiscation? Lack of anonymity from an intrusive government? Brutal taxation? Fiat money legal tender legislation? All of the above. The solution is not in a new sort of money, but at a new social structure, one without Fiat, without Government spying, without drones and swat teams… without IRS, border guards, TSA thugs… on and on. A huge liberty not tyranny. Once this is accomplished, Gold will restart its ancient and vital role as fair money… and not a moment before.
Rudy J. Fritsch was born in Hungary In 1947, and fled Socialist tyranny during the Hungarian Revolution of 1956. His family had lived through WWII and the consequent Hungarian hyperinflation, thus he’s intimate encounter with financial devastation.