5 things we can learn from Bitcoin

Bitcoin is complex. Who is already to dive a little deeper into the rabbit hole who knows how many areas of daily life BTC questioning.

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At the 1. June 2019 BTC$8.530,00 1.26% part Facebook Twitter LinkedIn xing mail

Of scarcity, up to the Power of ideas: Here are five things we have learned from Bitcoin.

1. Real scarcity, it can only in the Digital

type in The scarcity of goods, the basic is the most premise in Economics Because there Would be enough of everything, we would not thoughts a fair and efficient distribution of resources.

For funds this applies in Particular. Who would be ready to valuable time against a Good trade, there is "as the Sand of the sea"?

Historical funds have been able to maintain its function as a store of Value and a medium of exchange only so long as the users believe in the rarity. Gold is the sole reason for thousands of years an established value in the memory, there was hardly a period that had been diluted in the circulation call amount value – this creates trust. However, even the most established Store of Value all the times can change quickly. No one knows how many tons of slumber Gold is actually under the surface of the earth. And what if Asteroid Mining will one day be a reality?

The Nice thing about Bitcoin is that all the rules in the Open-Source Code are transparently visible. Everyone can check that the restriction to 21 million units are one of the fundamental rules of the network.

The nature of Bitcoin is such that after the publication of Version 0.1 of the Core Design for the Rest of his life in the stone was carved.

Satoshi Nakamoto

Thus, there are real, demonstrable rarity in the Digital type.

2. Money is a collective Illusion

"Bitcoin is backed by nothing and will fail therefore." A frequently reproduced accusation against the crypto-currency no 1 is. Mario Draghi, the chief economist of the European Central Bank (ECB), summed up the attitude of the Central Bank, compared to Bitcoin & co. as follows:

Watch again: Mario Draghi answers a student's question on crypto currencies #ECBYouthDialogue #Euro Generation pic.twitter.com/5VmHr3sxNw

— the European Central Bank (@ecb) May 8, 2019

A Euro is a Euro [...]. And the ECB stands behind the Euro. Who covers crypto-currencies?

The quote reveals an almost cynical confidence in national currencies. Because currencies are simply a collective belief systems. Money is accepted only if one assumes that all others will accept the same money.

Although ensure Federal and state laws, in General, for a certain amount before division of the national – or, in the case of the Euro, pan-European currencies. An insurance policy against Hyperinflation or the Failure of currencies, but there is no law in the world. Therefore, the average lifespan of Fiat is currencies just 27 years.

Also, the Euro can fail. Ultimately the market will decide which currency system to give more people confidence.

3. Money can make everything seem Possible.

From childhood we associate paper and metal coins with money. But when it came to the selection of money by means of, the mankind so far, pretty creative: shells, precious metals, even of huge, completely immovable circle of round stones in the history of good services as the funds provided.

Also, the Rai stones were used on the Yap Islands of the Ulithi Atoll, as money. Value transferred to the residents by entering the ownership in a cash book – very similar to Bitcoin.

found out Mostly just as long, until someone, like you watered down the circulation amount of and at the expense of all other with an exorbitant of money production enriched.

Bitcoin is the attempt to simulate all the properties that are for good money is necessary, in the best possible way: scarcity, divisibility, inflation, security, censorship resistance, to name just a few of the advantages, currencies of the Bitcoin over traditional Fiat.

As we are currently experiencing, it may be money everything is Possible – even computer code on a world-wide network.

4. Bitcoin is a peaceful Revolution

As Bitcoin Researcher @dergigi in a post on your own Blog, Bitcoin is the attempt to draw a peaceful way to keep the Status quo in doubt. The crypto-currency no 1 is optimized, completely non-violent, the state's monopoly on money creation and all the associated negative externalities – behind questions.

Or to say it differently: Bitcoin was created with the purpose to separate state and money from each other.

5. Ideas are powerful

Bitcoin is an idea, nothing more. The idea of a decentralised System set up, in which all the network participants and the network can verify the participant at any time all the rules that apply in this System. Everyone is free to their own ideas to contribute; the Code is Open Source and all participants have the same rights.

as a result, the progress is more ponderous than in centralized systems. You can assume that Updates will be supported by a broad majority of the Participants.

will Also allow BTC in democratic States is unlikely to ban. As for ideas, the reason is legally certificated to freedom of expression. The Bitcoin Ecosystem is moving solely text-based: The White Paper is written in the English language, and to prohibit, therefore, hardly. Also, the transactions take place in the form of text, such as crypto-researchers Beautyon explains to Medium.

As of the digital gold, demonstrates clearly the immense potential of ideas, bring it up only because of their relevance to the Public.

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