Post by Admin
2018-01-01 17:38:41

Where is Bitcoin located in monetary history?

Many people immediately deny Bitcoin is a coin with the thesis "the money must be released by the State, guarantee". This true? Let's learn "main computer" of cryptocurrency in the history of the currency.
About the history of currency
Telling a simple way about the history of currency, each man taking a lot of stuff to do medium to Exchange: From bone fragments, shells leaves ... And precious metals, especially gold.

Gold-not random in a long time was chosen to become the object of Exchange on many of the world's civilization. Gold is pure metal stuff, don't get much wear and change over time, easily broken down, stored, hard to do. Gold became "stored" and is a measure of the value that the merchant's trust to use as a form of money right from time immemorial.
And gold from 600 BCE, are exploiting the free exchange between the merchant, the clan without any intervention by the State. However, as the metal, gold is no small own weight, along with the risks of being robbed, making transportation more and more difficult.
During development, it was thought that can use the paper to represent gold. Each sheet of paper representing a certain amount of gold. And to ensure a degree of confidence, the unit released to commit the money back is ready to receive and return the corresponding amount of gold if asked. This is called "money" signs.
So the unit would be enough to trust to make this work? The prestigious financial institutions, together with the Government, the State gradually became the unit make sure responsibility issued paper money.
"The gold standard" full-out sheet of when each release amount always is assured by an amount of gold available there are many advantages, because they are walls prevent the phenomenon of inflation (slipping coins), the expansion of credit and debt of the Government.
But basically, this mode cannot operate because the amount of gold in the world is too small for the amount of money needed to maintain global economic activities, the second is the amount of money just enough to not cause inflation also not fixed, that there are continuous fluctuations.
The world is still using the "gold" finished "not complete", gold banknote are then always fluctuated, and often reduce the amount of gold represented. Then, they become money law of each country.
Until the late 1970 's, the gold standard regime ended completely, the law is applied. The Government and the Central Bank has the right to completely control the source of "lifeblood": imposing the use of the currency because they release, tax requirements, support, payment in that currency.
Having the power to "regulate" much of the State's cash flow is not bad, but not always give good results. The great depression of economy as the year 2008 is flood splash plates conceal secret action: much financial fraud initiative. Many people believe that the State use tax which is the source of the money of the people to liberate themselves.
Weak operating along with the print money to offset the budget deficit is also the weakness of money law. Zimbabwe, for example, to overcome poverty and public debt, President Mugabe asked the country's Central Bank to print more money to serve imported necessities, leading to severe inflation. The result is that people have to give up a million-dollar Zimbabwe to buy rolls.
One other risk comes from the collection of financial information from banks and large corporations. They own a huge amount of information about consumer habits, it makes our private life being invasive. And what if the Government uses financial tools to prevent sources of money for the reforms to be made by the people of yourself?
Maybe that's not random Crypto coins Currency's birth during the financial crisis, dark. Bitcoin block primitives (genesis block) that Satoshi created still save a message expressing the reasons behind the birth of it: "The Times 03/01/2009 previous Finance Ministers decided the second Bank Bailout."
Bitcoin is "media personalities" of the new gold?
In General, many of the same characteristics Bitcoin mechanism in the financial background almost like gold. The Government almost impossible to interfere in the process of digging, mining, using Bitcoin. Bitcoin is not "metamorphic", easy, stable exchanges on energy availability, intrinsic value, not much has changed between the countries.
Bitcoin is like gold, if the whole world direct use Bitcoin in payment transaction activities, financial background, then there will be no inflation. By the number of Bitcoin as well as gold is fixed, they don't like paper money, are "in" out of the way by the Government are allowed to decide.

Although in each country, the money is no longer based on the gold standard mode. Song gold mode still exists in international payments. The world currency is gold, currently, no other material can replace gold in world monetary function. International trade in the foreign currency used for accounting and international means of payment used to clearing, rather than taking the gold. However the terms "secured gold", still have to determine the value of the gold coins.
So, using Bitcoin do common currency, international means of payment, no need to "ensure the gold", because at this time as gold Bitcoin. And using Bitcoin do common currency for the whole world to make enterprises no longer have to meet the risks of rates, transaction costs are also reduced to very low levels.
Capitalist world capital will be free circulation which is no longer any barriers. And a "liberal wing" capitalist capital, always knows how to pour on the most profitable places. But the strongest point of the Bitcoin is also the "bane" that Government fears? This capital may pour on those terrorist organizations, arms, internal organs ... which is not subject to the control from anyone.
On the other hand, the Bitcoin face many challenges like gold. Gold is essentially no value change risks, but they are vulnerable to the robbery during transportation. Historically, gold often robbed on the trade routes, longer Bitcoin can be "pirates" on the Internet.
In addition, the use of the Bitcoin do common currency for the world also face challenges such as "full of gold". The amount of 21 million Bitcoin can hardly meet the needs of investment, trading, storage around the world, in the context of reviews on a Bitcoin escalated.
To resolve this problem, split the measure into new coins on the string Bitcoin new blocks are used. Although this makes the "dig" Bitcoin need greater computing power, meaning that only some people can afford to "dig", and this threatens to "Africa focus" of Cryptocurrency.
Bitcoin in the future will be like?
Many suggested that Cryptocurrency is the development trend is hard to avoid in the future. However, new things you want to replace the old ones will have to go through the difficult period, especially when it threatens to rule powers. Bitcoin is growing very fast, but it can also "death to life" in the future because of the intervention of the Government.
Moreover, the fact can be found currently at Bitcoin is not used in accordance with the original function that it was expected when the design: the billing function.
Currently, even the top industry professionals also are arguing "fiery" about Bitcoin is a major currency. So, what actually takes place in the future will be the best answer.