Guest editor Zahra
When you look at the parabolic rise of bitcoin, from its genesis January 3, 2009 to the first transaction for a pizza in 2011 to its peak in December of 2017 you may feel that it is in a bubble .
What is a bubble?
We usually use the term to describe a rapid inflation in value terms followed by a deflation.
We think of recent bubbles such as the housing bubbles ( Canada, USA, Australia ,Hong Kong, Singapore much of Europe and the stock market bubble which are ongoing. There are others that have risen and fallen such as the and the dotcom bubble , the famous stock market crash of 1929 in the USA. In the distant past we have the South Sea Island bubble because of which even the genius Issac Newton lost everything. Before that the Tulip Craze in the Netherlands where people sold houses for tulips.
On the other hand we have many companies that have had parabolic growth and still exist today. Examples include Google , Facebook and Amazon.
By bringing new technology that changes the lives of many and offers a new way of doing things.
So Does Bitcoin offer this? I think that it does. The whole idea of a trustless numerical system, in which the data is the value, has stimulated coders and others to think in a different way. Blockchains , Ledgers and tangles were words unknown several years ago. These concepts will allow us to organize our interactions in a more efficient manner. Whether we like it or not they are here to stay. When combined with the advances in Artificial intelligence and robotics we get an idea what the future can hold. The telephone and communication companies already realize this and are rolling out their 5G networks all over the world. The speed of these networks is unnecessary for our current needs. We can download a movie in a second but we need to spend 3 hours watching it. However it will be necessary for the internet of Things (IOT) . This is a completely interconnected world which will arrive sooner than you think.
However , on the negative side for Bitcoin we have several governments/banks who are running scared. Government officials and bankers in several countries are playing the terrorism card. The establishment can block funds to crypto exchanges and can refuse to accept funds returning from these exchanges. As Gandhi said; First they ignore you , then they fight you , then you win.
Certainly these opportunities will be seized upon by other banks and other jurisdictions. Those that look to the future instead of being scared by it such as the Japan, UAE, Hong Kong ,Singapore and even Estonia.
Part 2 tomorrow
When you look at the parabolic rise of bitcoin, from its genesis January 3, 2009 to the first transaction for a pizza in 2011 to its peak in December of 2017 you may feel that it is in a bubble .
What is a bubble?
We usually use the term to describe a rapid inflation in value terms followed by a deflation.
We think of recent bubbles such as the housing bubbles ( Canada, USA, Australia ,Hong Kong, Singapore much of Europe and the stock market bubble which are ongoing. There are others that have risen and fallen such as the and the dotcom bubble , the famous stock market crash of 1929 in the USA. In the distant past we have the South Sea Island bubble because of which even the genius Issac Newton lost everything. Before that the Tulip Craze in the Netherlands where people sold houses for tulips.
On the other hand we have many companies that have had parabolic growth and still exist today. Examples include Google , Facebook and Amazon.
By bringing new technology that changes the lives of many and offers a new way of doing things.
So Does Bitcoin offer this? I think that it does. The whole idea of a trustless numerical system, in which the data is the value, has stimulated coders and others to think in a different way. Blockchains , Ledgers and tangles were words unknown several years ago. These concepts will allow us to organize our interactions in a more efficient manner. Whether we like it or not they are here to stay. When combined with the advances in Artificial intelligence and robotics we get an idea what the future can hold. The telephone and communication companies already realize this and are rolling out their 5G networks all over the world. The speed of these networks is unnecessary for our current needs. We can download a movie in a second but we need to spend 3 hours watching it. However it will be necessary for the internet of Things (IOT) . This is a completely interconnected world which will arrive sooner than you think.
However , on the negative side for Bitcoin we have several governments/banks who are running scared. Government officials and bankers in several countries are playing the terrorism card. The establishment can block funds to crypto exchanges and can refuse to accept funds returning from these exchanges. As Gandhi said; First they ignore you , then they fight you , then you win.
Certainly these opportunities will be seized upon by other banks and other jurisdictions. Those that look to the future instead of being scared by it such as the Japan, UAE, Hong Kong ,Singapore and even Estonia.
Part 2 tomorrow