The Age of Bitcoin is Here…
First the was the bronze age, then Iron came along. The Philistines had Iron and one swish with a Philistine sword and the Children of Israel saw their bronze swords chopped up like sliced beans. Then there was the longbow and warfare changed. Gunpowder was the next game-changer and so it went on.
In England for example, it happened with transport, when the industrial revolution arrived. To overcome the limitations of the horse-and-cart, a large network of canals and barges was developed to ship the raw materials for the pottery factories, etc. Just 35 years later, they were rendered irrelevant by one innovation. The railway.
I could go on and talk about penicillin, airlines, splitting the atom, and the Internet, but boredom could really set in.
The Crypto-Currency Age
We are at one of those tipping-points in history right now and people looking back from the future will decide which type of people we were. Crypto-currency is now one of those watershed inventions that defines an age such as “in the days before sailing ships or electricity”!
In each of these epochs, new and innovative technologies have had radical social and commercial consequences, completely unexpected or anticipated by the population at large. New things and discoveries are often misunderstood, feared and opposed by the very people who most stand to benefit from them.
With all these great new developments there were always a few visionaries, early adapters or pioneers who embraced the change, and greatly benefited from it, some of them becoming extremely wealthy in the process. Examples are J.P. Morgan, Westinghouse Edison etc.
The most popular and best-known of these new currencies is Bitcoin, which has a very sophisticated but simple to use security system (called the “blockchain”) that ensures payments can be made safely for both parties in a transaction.
People are divided in their opinions about its value and usefulness. Some are fearful about it’s safety, some about it’s ease of use etc. Others are embracing it, and using it to purchase items online and and setting up their businesses to accept payments in Bitcoin. This latter group ranges in diversity from Governments such as the Switzerland, Japan and Malta; to charity groups such as Greenpeace and even fast-food outlet Starbucks.
One thing that is certain, is that this new electronic phenomena is here to stay. Putting our heads in the sand and ignoring it may not be such a good idea.
There is also another group who are quietly taking advantage of the laws of supply and demand and investing and trading in Bitcoins. The demand is greater than the supply (by design) and so the price of bitcoin is rising. One bitcoin, at the time of writing this is worth $1746.45. The increase in value of Bitcoins has been spectacular.
A small group of people are generating large wealth by “mining bitcoin” – (see Wikipedia) , by trading bitcoin on various market exchanges and platforms, or by joining a trading co-operative which trades, and then shares the profits on a daily basis with the investors.
No matter what your views currently it will pay you to educate yourself about Bitcoin or you may find yourself seriously at a disadvantage in the future.