Bitcoin is real money. And that’s why

Today I share a great text from the CEO of the investment company ADVFN and columnist for WIRED Clem chambers. Experienced financial analyst masterfully lays out on the shelves why he sees Bitcoin real value.

I often hear: “bitcoin is not money”. Decent earning on the crypt, I can categorically state that this is really money.

Money is:

  • a medium of exchange;
  • a means of savings;
  • the accounting unit.

For me money not only that, but let’s focus on the above properties. As you say, Bitcoin has none of them. Therefore, it is not money. I hear it again and again, so it is time to put an end to this stereotype.

Perhaps start with this: bitcoin is not a (good) medium of exchange. In the best case it is much worse than “Fiat” money.

Reality: Bitcoin is an excellent medium of exchange

Source: 2Биткоина

A bitcoin payment cannot be cancelled as payment by credit card. When paying with a credit card, it happens often enough. There are people who buy a product using credit card, and a few months later demand a refund and claim that they did not buy anything. Company credit card issuers believe the client’s word for it and the seller is duped. With bitcoin this will not work. To cancel the payment with bitcoins you cannot. Bitcoins are impossible to counterfeit. You can’t get them to tell you otherwise, as is the case with coin.

Unlike old-fashioned money, BTC come from far away customers in a matter of minutes. Immediately after that, you can be sure that they will reach, even if they are sent from Kathmandu. International payment comes without a multi-day banking delays, and always know exactly what he was sent. After sending you can be sure of irrevocability of payment. So, it should immediately send the goods by greatly reducing the delivery time. Moreover, the crypt happens in a matter of minutes to convert into dollars or pounds without extortionate Bank charges for the exchange.

The crypt is resistant to emergency situations. Our customer from Florida could send the payment in BTC during the recent hurricane, while the banks were not working. It was enough that mobile phones were working.

It follows that in the case of B2B at Fiat money has its own business hours. Unlike the banking system, Bitcoin operates 24/7/365. The blockchain, like the Internet, operates on weekends, holidays and evenings. It is always there.

I think it is difficult to deny Bitcoin the most popular cryptocurrency as a good medium of exchange. They have as advantages over the classical money, and disadvantages. But the main thing is a complete, fast, cheap and effective new medium of exchange.

Next on the list – saving tool

Source: 2Биткоина

One yen was once gold coin. So it’s funny to point out that a year ago Bitcoin was worth 20 thousand dollars, and now 3400, and therefore it cannot serve as a store of value and money. Is money a good store of value? Not really: if you look at the history of money and constant inflation and obsolescence. I’m a numismatist is one who collects the money. Therefore, I can confidently say that the ability of money to retain its value is definitely questionable, as would confirm the ancient Romans as an example of their silver coins.

While many argue that Bitcoin is not a store of value. Although I’m happy to keep their savings in BTC. I kept them yesterday and I will keep tomorrow in a year. I may want to exchange them for dollars. The rate may rise and fall as the pound sterling or Swiss francs, but they still retain the capital better than Venezuelan or Iranian money. No such money whose value would not have hesitated in storage savings, and Bitcoin is no exception. In fact, the role as a store of value – a problem for the crypt since one of the disadvantages of Bitcoin and other cryptocurrencies – the need to deal with them as with a bag of cash and hiding in digital caches, like in the middle ages hidden treasures in pots. Otherwise you’ll have to take risks and to trust their facilitators and other robbers.

And last: is cryptocurrency the unit of account

Source: 2Биткоина

Again, Bitcoin is used as accounting units. All 500-odd kryptomere use the crypt as a unit. The underlying cryptocurrency blockchain is the definition of “book accounting”. Cryptocurrency by definition the token is tied to this book. To claim that bitcoin is not the accounting unit, is to say that Abak is not calculating device.

Bitcoin and cryptocurrency is money. The only question in the house, whether this money is advantages to use them. In fact, they are not unique. Think about the following:

  • traveler’s checks;
  • casino chips;
  • food stamps;
  • shopping coupons;
  • tokens hard times.

The list of counterparts of the money as long as the story itself. The only obstacle in their case was entry barriers, as the creation and maintenance of money can be a very expensive task. However, many such money prospered over long periods, and some are thriving today. Now the majority of entry barriers have disappeared, and the creation of currency has become almost free, unlike the printing of trillions of dollars.

After the invention of cryptocurrency. More data look at cryptodata.

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