by Morgan Sliff
A decade into its launch and hovering at over $6K USD per coin, the ruler of cryptocurrencies, Bitcoin, has undergone a fascinatingly transformative rise, fall, and period of normalization. The foundation of cryptocurrencies and blockchain technology has a strong public appeal, but there are those that question Bitcoin’s endurance with concerns of longevity, volatility, and fear of an uncertain financial future.
Leaders in finance have given their own impassioned opinions. Venture capitalist Tim Draper calls it “the greatest technology since the internet.” Christine Lagarde, head of the International Money Fund, praises the innovation and security of cryptocurrency and sees it as the future of finance. Flip the coin and Bitcoin has naturally drawn enmity from big-bank opponents such as JP Morgan CEO Jamie Dimon, who threatened that any JP Morgan trader caught buying Bitcoin would be “fired in a second.” As with any argument, we’re left wondering who is right.
But oblivious to the chatter, Bitcoin doesn’t have mathematically-constructed ears and they sure aren’t burning. Thus, it has carried on.
Transparency and Security
In 2017, Dimon referred to Bitcoin as a “fraud.” He later rescinded his statement, but in looking at the very essence of Bitcoin’s differences from the FIAT system, Bitcoin by its very nature is likely the most genuine form of currency ever invented. The introduction of Bitcoin following the 2008 financial crisis seemed to be an answer that could shackle government manipulation. As Wall Street’s seedy activities plunged the US into the Great Recession, many lost nearly everything, and only one executive served a sentence. The response was Bitcoin, where every single transaction, each secure and resistant of any form of manipulation, is recorded via blockchain technology and is built on a system of mathematical proof, stamping each transaction as wholly legitimate.
Time is the purest test of fate. Ponzi schemes, get-rich-quick fads, and meaningless tech show their true nature quickly, but Bitcoin, even with its up-and-down volatility, has garnered both steady and growing public interest. Digital currency ATMs are blooming in locations worldwide, offering users of any level of cryptocurrency knowledge an easy way to buy and sell Bitcoin and other cryptocurrencies. While direct purchases are less common, they are increasing, and with major outlets. Overstock, Expedia, and opting Shopify merchants are now all able to accept Bitcoin, and you can even buy real estate with the digital currency.
Ease of Use and Bitcoin’s Underlying Advantages
Once the waters are tested and a fundamental knowledge is achieved, buying, selling, and investing in Bitcoin is incredibly easy. Digital platforms – most accessible by smartphones – make Bitcoin simple for users, which, in an era where an overwhelming amount of the population values their time, is increasingly priceless.
Advantages of Bitcoin come in many forms, including decentralisation, low transaction costs, ease-of-use for transactions abroad, trustless autonomy without the need for intermediaries, and inflation-resistant safeguards. The list here goes on and on and on.
Bitcoin’s fate will ultimately be up to us. But judging its tenacity and appeal thus far, it looks as if Bitcoin will keep climbing the finance ladder.