When the digital currency that is Bitcoin came to life in 2009, it served as a virtual currency system that is not under the rule of a central bank or the government. Since then, both Bitcoin and its main technological innovation, blockchain technology, have attracted some momentous attention around the world.
The question this leaves in the minds of many is that, is Bitcoin the future of money?
Businesses and Investors are Capitalising on Bitcoin
Currently, the global market capitalisation of the cryptocurrency is about 7 billion. Despite this, many firms have created a range of products and services around it; investors have even thrown incredible amounts of money at the space.
Emerging markets are becoming much more Bitcoin native as well, because it allows businesses to get out of the local currency and into something that is portable.
Bitcoin’s Immunity from a Currency Collapse
Regular currencies, such as the British pound and Australian dollar, depend on governments. Failed governments may cause either hyperinflation, or worse, an absolute collapse of a currency that can erase a person’s savings in an instant.
Because Bitcoin is not regulated by any one government and is a virtual global currency, it is practically immune from a currency collapse, as experts like BitBroker agree.
Bitcoin is Decentralised, No Third Parties
In a conventional banking system, a person needs to trust the bank, a third-party payment processor, and the merchant to handle their money properly. Because Bitcoin is decentralised, owners of the cryptocurrency do not need anyone to trust but themselves.
In addition, no one completely owns an electronic cash system. If PayPal, for instance, decides that an account has been embezzled, it has the power to freeze the account. Because Bitcoin is decentralised, individuals own the private key and no one can take it away from them.
With that, it seems the Bitcoin could be regarded and transformed into more than just an asset — it could be the future of money.