The idea of crypto-currencies goes beyond the life of Bitcoin, for there are many sorts of similarly decentralized currencies born, in vitro or not even a sparkle in its founders’ eyes. Where one crypto-currency ends and another begins will prove to not be so clear.
With Canada’s letter from their Financial Transactions and Reports Analysis Centre (FINTRAC), we see a play of two paths by the North American powers. The paths are betokening of how dynamic, new and spontaneous Bitcoin and decentralized virtual currencies are.
In the past year, discussion of Bitcoin as a currency or money has overtaken an earlier paradigm in which Bitcoin began to be interpreted as beyond money and currency. Like many argue that the US Constitution was written in an earlier time, say “before automatic weapons” or “equality,” and thus making it irrelevant, many individuals have noted the ways in which Bitcoin is actually a part of a paradigm outside the purview of money and currency. While containing most, if not all, of the characteristics of Aristotelian money, it also portrays Platonic interpretations of what money is, such as that the value of currency should independent from the material with which money was made. Thus, Bitcoin is both conservative and progressive all at the same time.
In March of 2013, Bitcoin entered into a third phase of its evolution. Whereas the first two represent creation (2009) and popular acceptance, the third began as FinCen published a guide on how virtual currencies such as Bitcoin would be managed by the US government (and thus, by extension, all governments under the thumb of anglo-americanism worldwide). In the wake, government agencies began cracking down on exchanges and wallets such as Mt. Gox and Dwolla.
In the US, financial institutions are acting as morality police, rejecting individuals from acquiring bank accounts due to the nature of their careers.
This naturally leaves them little choice, and will likely lead many individuals to grow open-minded towards alternative currencies such as Bitcoin, gold and silver.
Money laundering has world leaders acting jittery. With US authorities going after Mt. Gox and Dwolla in a rather sloppy way, and Europe meeting in order to create information exchanges between nations, the clampdown on personal finance continues.
[heading]Peter Thiel Enters Into Bitcoin Space[/heading]
BitPay has announced a capital raise of $2 million led by Peter Thiel’s Founder’s Fund. Max Keiser’s Heisenberg Capital was also a part of the capital raise. Thiel, through Valar Ventures, also invested $6 million into Transferwire, a p2p online exchange around the same time.
What this betokens is the future of Bitcoin. This will be a future in which Mt. Gox and all the other usual suspects are no longer the main players of Bitcoin. This torch will be passed onto major transnational corporations whom already have Money Transmission Licenses and, in most cases, are operating in the US or were at least founded there.
By Justin O’Connell, Author of Bitcoinomics
The oracles in banking have let it be known. They’ve looked into their magic 8 balls and pulled the future right out of the black and blue depths: “I would be very surprised if Bitcoin is still around in 10 years,” said Bremmer, the founder and CEO of Eurasia Group, the world’s largest risk consulting firm. He knows that commercial banks are looking to enter in.
To be fair, GoldSilverBitcoin ran its own magic 8 ball experiments on the future of Bitcoin. Here is what we came up with in a best of 3.
“What is the future of Bitcoin?” we asked.
From author of Bitcoinomics, Justin O’Connell
Bitcoin skeptics don’t understand one important thing: that virtual currencies are already here and they’ll have, most likely, no effect whatsoever on that. First of all, everyone knows that the Federal Reserve acts as a plague of egomania blinding all of society to its self-important cruel and insane way of living. That’s mostly because former Associated Student Body kids are running monetary policy. That means two things: 1) the tattle-tellers are in charge and 2) they’re still sucking on the teet of some wrinkly and pungent Principal, now referred to as a “President”, who is still wearing a suit and tie day-in, day-out nonetheless. And, that’s with all due respect to the President of course. But, really, some shady building down the block known as the “district office” or, in adult life, the Pentagon, is really responsible for the whole thing. These former Associated Student Body reps are faithful to the number one drug-pusher on the streets: Starbucks. Sipping on some Joe for many years in a row, stooped in habit, has led to a numbed state of yes-saying, a hallucination where straight ahead is the only mode.