Shouldn't Bitcoin become the new "Gold Standard" and forget about speeding up transactions
Bitcoin is in my opinion one of the best things since sliced bread. It is very successful as it started a financial revolution, it was the first and every other altcoin is already measured against Bitcoin. Why change it?
One of the facts of Bitcoin is that we have is to slow for mass adoption, but why does it matter? Bitcoin is currently at an all-time high of around $2900. Sure you are not able to buy a quick coffee or have lunch as it is not feasible, but is that what it was built for? For larger transactions like purchasing property, where speed is not an issue, Bitcoin will work perfectly well.
I have just read a very interesting article which was published in Forbes yesterday:
Bitcoin Is At An All-Time High, But Is It About To Self-Destruct Itself.
Disclaimer: Please note that I am not a financial expert, but I like to think that I am a logical thinker. Maybe I am totally missing the point.
Fiat Currencies
Each country has its own currency and those who don't have adopted another. Why? Because the world evolved to this point. This is how everything works in today's life. The only problem I see with today's currencies is that there is no standard across the world against which countries are allowed to print new currency against.
The Nixon shock was a series of economic measures undertaken by United States President Richard Nixon in 1971, the most significant of which was the unilateral cancellation of the direct international convertibility of the United States dollar to gold.
While Nixon's actions did not formally abolish the existing Bretton Woods system of international financial exchange, the suspension of one of its key components effectively rendered the Bretton Woods system inoperative. While Nixon publicly stated his intention to resume direct convertibility of the dollar after reforms to the Bretton Woods system had been implemented, all attempts at reform proved unsuccessful. By 1973, the Bretton Woods system was replaced de facto by a regime based on freely floating fiat currencies that remains in place to the present day.
Altcoins
In my opinion I do not believe that there will only be one dominant crypto currency that will rule the world. There will be various crypto's throughout the world… just like there is today. Each crypto will have specific reasons for its existence, just like it has today. There will be more new altcoins, just like there is today, Some will survive and some will die a slow death, just like they do today.
More importantly the world require a solid system, where we can intertrade between the various altcoins and currencies between different blockchains or distributed ledgers. This is an area where I believe something like EOS will play a significant role.
Fiat currencies going Digital
In addition to the altcoins, I believe that most countries will convert into digital currencies just like Singapore is planning to do. You can read more about this in a recent post. More and more countries will do this, as it just make financial sense, as it is much more cost effective and transparent. If the FIAT currencies can compete against the various Crypto's is a question for another day.
Why should Bitcoin change?
Maybe somebody can shed some light on the whole debate around the possible split. In my opinion with my limited understanding, I do not believe that a change is required in the Bitcoin ecosystem. They are fighting the wrong fight. Rather fight to keep the system working as it currently is and ensure that it becomes the new world gold standard?
Happy Steeming!
Agreed with what you say @jacor but I am not expert in crypto neither... I just seen what's happening around me
Hi @webdeals, haven't spoken for some time. Hope you are well and thin you for the comment :)
Hi @jacor ehehehe true I was always busy writing my post and reading only few of my "feed". Today was your turn so I read it and commented!
How are you by the way? I have started a new job that is keeping me super busy but once at home I am trying to write something on Steemit! :)
Feel free to start checking again my posts :) I have written thousands in the last month LOL
I pretty much agree @jacor . Digital currencies are the future. The ones we have now still seem quite ''complicated'' to the every day Fiat user. People don't care about what the blockchain is, they just want ''money'' that will buy them what they need. The next 10 years will bring massive changes in what we consider ''money'', as we make the transition to the complete digital era. And I believe that those of us who have been involved in the digital currency world early enough, will have a lot to gain from this transition.
Thanks for a great comment 👍🏻
Bitcoin is the pioneer in this new money era! I think we will see big money shift to the cryptocurencys and as worlds money system are going in cycles we could end up with crypto backed by gold! Ecclesiastes 1:9 "The thing that hath been, it is that which shall be; and that which is done is that which shall be done: and there is no new thing under the sun." Cheers! Have a good day!
Thank you for a great comment @martinst
Thank you, a well written post! Sweden is also working on an "eKrona", a digital version of the SEK. Planned introductin is currently 2019.
Thank you very much@almvide. I believe most countries should follow this trend.
I would think that they have to, sooner or later. It will be a necessity in a modern country.
Fully agree with you. I believe the current financial system is archaic.
Yes, you are right, the current financial system is not going to keep up with the rapidly changing world of today and tomorrow.
At the end of the day these things usually find a way to sort themselves out.
I have done an article on the split.
https://steemit.com/cryptocurrency/@krabgat/bitcoin-community-deadlock-good-or-bad
Thanks @krabgat
bitcoin already costs 2x more than an ounce of gold!
This is very true @mdog
Exactly. People say that Bitcoin is fake because you can't buy things with it like you can with fiat. When in reality, you can buy more things with Bitcoin than you can with gold. Gold is valuable because we say it is valuable. Same with Bitcoin.
Fully agree. It is lol about the perceived value and I perceive Bitcoin more valuable than gold 😂
I'm with you. I've seen the headlines :)
Interesting analysis, yes, this can happen, the crypto world is still so young, that all the scenario are open, in my opinion, the capacity of the block, also in a future as you depicted here, need a bit of expansion, 1Mb. block, also if you intend btc as gold, remains, in a worldwide adoption, to small, also if we can think at it only to cover big financial transactions, and not to buy a piece of bread on the local grocery.
Thanks for the comment @cesmak
:)
the future can come with bitcoin and cryptos :) i follow and upvote ;)
Thanks a lot @crypto-news. Followed you as well :)
I totally agree with your point. Moreover, I don't think anyone would pay for something in bitcoins, while its value is so volatile. Its technology is still too young and needs improvement to be used flawlessly as a currency too.
The technology is indeed very new and I have been in technology all my life. one of the things that I have learnt is that when it works, leave it alone :)