February 5th, 2018; this is My Reply to the current price scenario with regards to bitcoin and alternative coins.
The beauty of bitcoin and cryptocurrency is that billions of US$ is placed in the hands of ordinary people, this is also the not so beautiful side of it when you get these people to panic. There seems to be a concerted effort in the FIAT world to try and drive bitcoin and the more than 1 500 alternative coins down. The fake news flooding the market from the ‘misinterpretation’ of factual news combined with the announcements by various FIAT players are no coincidence. Bitcoin is trading at November 11th, 2017 prices with a major driver in the downward trend a misinterpretation of a speech by India’s finance minister Arun Jaitley in which he stated that cryptocurrency is not ‘legal tender’ in his country (reference article 1). That is not news worthy as cryptocurrency is not ‘legal tender’ in any country for that matter as the definition for ‘legal tender’ is something you can take to the central bank and they are obligated to purchase it from you. Bitcoin and cryptocurrency is not legal tender in the FIAT world. We are all aware of the fact and we are not disputing it, but when it gets reported as a total ban on cryptocurrency by a major economy, people panic. Bitcoin is a peer-to-peer payment system without an overseeing financial institution.
Charlie Shrem, founder of the Bitcoin Foundation, posted the following on Twitter; “Bitcoin and other privacy-focused and decentralized cryptocurrencies are the biggest innovation of my lifetime. They literally take the power and control of money out of the hands of government and into the hands of people that use it.” and “Of course governments are going to do the same. What did you think? They would roll over while we built our alternative financial system and people started using it? Governments don’t like competition” (reference article 2). The old establishment of FIAT currency is pushing back to try and retain the status quo.
Then in the same week we get a great headline reading S. Korean Finance Minister: Blockchain can ‘Revolutionize the World’ (reference article 3). After weeks of negative news and uncertainty out of South Korea some good news with the understanding that South Korea does not want to ban cryptocurrency and that they see a future changed by blockchain technology. It is important to always remind ourselves of the blockchain technology shaping the world which gave rise to bitcoin and the subsequent payment system and that it is not the other way around. In this chicken and egg story – blockchain was before bitcoin.
On February 2nd the Santander Group announced the introduction, within months, of a mobile app using xCurrent from Ripple in the companies distributed ledger for cross-border payments. The app is to be rolled out in Spain, Brazil, the U.K. and Poland for same-day payments. Just another example of blockchain technology having a positive impact in changing the lives of thousands (reference article 4).
Blockchain as new technology is in the process of changing the world more than you can imagine, I know this is not the line you want to read when the bitcoin price is in a downward spiral since just before Christmas but hang in there you and your bitcoin will see a bitcoin price above $25 000 before next Christmas. The question is; will you still own the same bitcoin come Christmas 2018 or will you have to buy again? Truth be told, it does not matter. Thank you for your contribution towards pioneering a new world with new thinking and a new technology working for us.