The Bitcoin Revolution Page 3
launderers, hackers, Libertarians, hippies and others too numerous to mention. Many of these sorts of people are my friends. Of course, some among may step back, aghast, and say: “You invest in crime and criminals?”
Here’s the dirty secret my friends: Drug money laundering props up the central banking cartel, which is a closed and private system. When you cash out bitcoins, you have to go through this cartel. If you want the details on this operation, please check out my book Dirty Money, Secret Societies and Killing JFK. I have more faith in the value of medicinal plants than I do the Federal Reserve, which I consider a predatory force.
Soon, we will reach the tipping point with Bitcoin, where the pressure will become so great that major reforms will have to be instituted in the corrupt banking industry. Depending on how favorable those reforms are, and how devious the bankers are in protecting their monopoly on money, Bitcoin may slowly fade, but only is another digital currency replaces it.
On the other hand, Bitcoin can replace the corrupt money system entirely, and put wealth into a peer-to-peer network without any predatory activities like those in stocks, bonds and bank deposits. Bitcoin could close the huge gap between interest rates on loans versus interest paid on savings deposits.
Just for the record, here’s a typical 3-month chart for bitcoin’s value, and, as you see, the much heralded China meltdown has recovered quickly. After the Fed basically said it was a piece of stock, and not a form of currency, Wall Street dove in and drove the price sky-high. Then when gold started moving through the largest bitcoin market in China, the Chinese government suspended bitcoin trades. The drive-up to over $1000 a coin was a mirage created by Mt. Gox flipping coin to itself.
Funny how so many media analysts were throwing up this chart on the left to prove Bitcoin was a speculative bubble about to burst. Now compare the value of bitcoin today with this classic bubble and tell me again what’s about to happen.
What’s strange is that the medical marijuana industry has trouble getting banking even through it reaps millions a day. Who needs banks now that we have bitcoin? And why isn’t every legal marijuana outlet accepting bitcoins? Yes, I know they shut down Silk Road and seized millions of bitcoins, but cannabis is not heroin and we now have two legal states where cannabis products can legally be traded for bitcoin.
Denver cannabis shops are pulling a million a day since pot went legal, and all that money must be kept in cash in secret locations. I smell a Hollywood heist film in the near future. Since there’s a million a day stockpile of cash sitting around somewhere in Denver (and not in a bank) that sure seems like an enticement for every sort of con man, grifter, hoodwinker and thief in the world to migrate quickly to Denver. And how hard is it to blend in with a bunch of stoners, do some hugs, gain their confidence, and then do the old blind-side?
You know someone has to be asleep at the wheel because all the money should have been pouring into Bitcoin from day one. First Bitcoin was ignored (and truthfully the average American hasn’t even heard the word yet), then mocked, now just derided with constant predictions of imminent bubble collapse. Many mainstream news sources tell you Bitcoin is a pyramid scam. That is utter nonsense because these unique cryptographic codes have much better value than fiat money or even gold. The system is simply a repository of wealth, and the earlier you invest in this system, the more equity you are going to achieve. There will only be 21 million coins mined and the last coin will not be mined until 2140 at the earliest. The difficulty in mining increases over time, insuring the release of new coins come at an ever slower drip. The entire system is open source and has been investigated by many of the best software engineers in the world. That is why Silicon Valley jumped into Bitcoin first. Because the best minds were excited by the prospects. The reason Wall Street started investing into Bitcoin recently is because they saw how quickly assets were being piled into the system, driving up the value of each coin dramatically.
Pretty soon the media is going to have to start telling the truth about Bitcoin.
For starters, many months ago Bitcoin mining passed 1019 petaflops, or roughly the computing power of all the other computing tasks in the world, not allowing for what might go on in the NSA and GCHQ. And every second of every hour, Bitcoin grows stronger….
At some point, Bitcoin becomes the largest computer brain in the world, and has the capability to evolve from there. Before Satoshi disappeared, he left a core of administrators and engineers to guide the evolution, but since any changes require a virtual consensus of the miners, those changes are likely to be conservative rather than radical.
Money is at the root of all business. In the 1960s, the counterculture rejected money, requesting an environment where food, shelter, health care, education were all provided free. If you look at the distribution of wealth, those things could be free if we just took away profit from a few of the major cartels. Although Communism was presented as an alternative to Capitalism, it was, in fact, run by spooks and Masons and secret societies from its origins. But this is the way life really works. Just as revealed in George Orwell’s masterpiece 1984. Wars are orchestrated for profit and both sides funded by the same bank. This system gives the bankers a lot of power.
But now anyone becomes their own bank instantly? And can transfer assets anywhere in the world at the click of a mouse?
Bitcoin began in the world of magic and science fiction. Mt.Gox created a peer-to-peer site for people trading magic cards without a central authority. Into this world drops some cyberpunks, super nerds into William Gibson and Philip K. Dick. But then there’s this third element, which involved someone at the heights of mathematics, a pinnacle only a few dozen people could possibly be residing in. Did this alliance find itself or was some force guiding it along?
There’s a connection between math and spirituality, and, in fact, major historical events for centuries were advanced inside secret lodges inspired by Pythagoras, where secret wisdom of mathematics was protected and passed on, a tradition that eventually evolved into Masonry and its many offshoots.
If some entity put this alliance together to create Bitcoin, I’d guess MI6. But even if that wild guess were true, at this point, it doesn’t matter because no one is in charge of Bitcoin, Bitcoin runs itself and everything is transparent, which is the opposite of the Federal Reserve. The creation of Bitcoin is the greatest work of art of our time, and Bitcoin is going to transform us in ways we probably can’t yet imagine.
In fact, all the latest indications are that bitcoin is about to become acceptable to the banking institutions, which would explode its use, respectability and value.
The most promising news is the lead developer has been invited to address the Council on Foreign Relations. The CFR represents the managing elite that really runs the country and is a frequent culprit in some conspiracy theory, but no matter what your opinion on this Rockefeller-led think tank, the CFR is where the rubber meets the road in politics and policy concepts are debated internally and often tweaked before being sent to Congress. And if a “big thaw” were to take place between the banking establishment and Bitcoin, it could start at the CFR.
Bitcoin has had an interesting spread starting with the Silicon Valley engineers who saw its potential early on. When people tell you bitcoin isn’t worth anything, that’s simply not true. Each bitcoin represents the solution to a cryptographic code, and these unique codes are used to transfer assets. Having a bitcoin is a little like having your own bank that opens and closes on your whims. The value of bitcoins adjusts constantly, so everyone sees all activity on the servers, although it can take several minutes for the information to move completely around the globe. There are over 100,000 miners at this point and even more watching server monitors and exchange prices. It’s an incredible, global, decentralized system that never sleeps.
Yes, there’s been some intense speculation with individuals and groups investing millions in the system. These people are a lot like the ones who bought hundreds of domain names at the dawn of the
internet, and later cashed them out for $100,000 or more. Thirty years ago, if someone told you that by paying a small registration fee, you could could make a $1 million, no one would have taken you seriously. But it really just depended on who had the brains to figure out which names would become the most valuable.
And yet, that’s pretty much the situation with Bitcoin. It’s been a meritocracy the whole way, with all the math geniuses piling in first. But now we also have some revolutionary activists coming from both the left and right? That is a powerful alliance. If Bitcoin gets over the hump and becomes as big as Facebook, Google or Apple, within 8 years coins could peak at a million dollars. This is not some fantasy but a mathematical certainty provided between five and ten percent of the economy moves into Bitcoin world.
One reason the establishment might embrace Bitcoin is because it’s working after five years of beta testing, and now one bitcoin is worth as nearly much as an ounce of gold. Bitcoin has already become another asset to the economy, not a drain, and Bitcoin start-ups are producing big profits. Bitcoin will not replace the Federal Reserve, but it may help reform it