Thursday, April 11, 2013

Bitcoin: a digital currency enjoying an "epic rise", potentially 'revolutionizing' global payments system

The bitcoin. Ever heard of it? I hadn't either until an astute reader mentioned it in a comment recently. In researching this new currency, a digital one, I became intrigued, then astounded. Wikipedia explains the bitcoin:

"Bitcoin (sign: BTC) is a decentralized digital currency based on an open-source, peer-to-peer Internet protocol. It was introduced in 2009 by a pseudonymous developer, Satoshi Nakamoto. ... Bitcoin is the most widely used alternative currency and accepted by various merchants and services internationally. As of April 2013, the monetary base of bitcoin is valued at over $1 billion USD."

And I go..."Huh. How 'bout that."

Forbes Magazine says Bitcoin is a disruptive technology. They explain what it is this way--
A financial network is a technological platform that people build businesses on top of. And the traditional banking and credit card networks are closed platforms. If you want to build an e-commerce site, a payment network like Paypal, or any other service that deals in dollars, you need to convince incumbent financial institutions to do business with you. Getting such a partnership is difficult and involves a lot of red tape.

There’s a good reason for the high barrier to entry: electronic transactions in the conventional banking system are generally reversible. If someone makes a fraudulent charge to your credit card, you can dispute the transaction and in most cases the bank or the merchant, not the customer, will cover the cost. That’s convenient for consumers, but it requires the financial system to be a fairly close-knit web of trust. Allowing a new member into the club creates risks for everyone else. So the incumbents are understandably reluctant to deal with anyone who isn’t well-known and well-capitalized.

Bitcoin is different. Because transactions are authenticated cryptographically and cannot be reversed, there’s no need to restrict access to the network. There’s no risk to accepting payments from complete strangers. That means people don’t need anyone’s permission or trust to go into business as a Bitcoin-based merchant or financial intermediary. Accepting Bitcoins also allows merchants to avoid much of the administrative overhead, like dealing with chargebacks, that come with a conventional merchant account.
So though I don't understand much about the intricacies of international commerce and the currencies that allow it, the bitcoin seems to me to be a way to get around the Man. After what happened in Cyprus (the Man, i.e. banksters, scooped out money from the citizens' accounts just cuz.) The bank of Cyprus failed, there was a bank run, and riots, upper crust mucky-mucks were allowed to get their money out but not the peons like you and me, now it appears that key data is missing from banking records and they are vehemently denying there is a gold reserves sell-off. The bitcoin looks better every day. And that's no joke, look at this article from NPR-

Bitcoin Surpasses $200 Mark, Continuing 'Epic' Rise
Bitcoin, the digital currency that trades outside the control of central banks and international borders, reached new heights Tuesday, surpassing the $200 mark for the first time. That level comes just five days after bitcoin approached $150, a development that Mt. Gox, the largest exchange service for the currency, deemed to be "epic." Bitcoin's rise has been sharp. It was only two months ago that exchange rates put a single bitcoin's value at around $20. ... Whatever the cause, bitcoin's gains have translated into new wealth for people who bought into it since it was created in 2009. The currency is released at a very steady rate — "roughly every 10 minutes 25 new bitcoins come into circulation," as last week. Its adherents say that regular pace, and the fact that there is only a finite number of bitcoins, make it an attractive alternative to government-backed currencies. Just over half of the 21 million bitcoins in existence have so far been released."
The international economic system is interesting. I do not understand its mechanisms. But God does. He told us in the bible that the system at the end of time (Tribulation years) will undergo a radical and massive shift from what we have known in recent generations just prior, to a one world government and economy.

No, the bible does not use the phrase "one world economy" but it describes it. Revelation 13:16-18,
"Also it causes all, both small and great, both rich and poor, both free and slave,e to be marked on the right hand or the forehead, so that no one can buy or sell unless he has the mark, that is, the name of the beast or the number of its name. This calls for wisdom: let the one who has understanding calculate the number of the beast, for it is the number of a man, and his number is 666."

One mark indicates THE currency or at least entry into the economic system, and absent the mark, denial of participation in the economy. "It" is the beast,and make no mistake, the economic control by this beast (antichrist and later satan directly) will be global.

The bitcoin is digital and outside the current system. The last economy on earth will be a digital one also. Though the bible does not say, it indicates this by saying that the mark will be on or in the hand or forehead, and that having it means one can buy things. How it will likely work is that at the point of sale the mark will be passed over a digital mechanism that will verify it as authentic and at the same time withdraw the money. If all peoples on the globe have a mark (except Christians who refuse) then controlling it as a day in and day out currency must mean the data behind it is centralized, accessible, and digital. We practically have this now with debit cards and other bar coded swipe items that automatically bring up your account.

Whether the bitcoin will morph into the mark or not it is interesting that the banking system is in collapse, the economic system is in collapse, and there is a widely used alternative currency that already has the digital infrastructure to become something more than resembling the mark of the beast.

As an aside, I am 52 years old and never in my wildest imaginings did I think that 30 years ago or 20 or even 10 that we would be using digital currency to the extent we are (I mean not only bitcoin but debit cards and paypal etc).

Developments are moving fast. And lest you think that bitcoin is an esoteric monetary mechanism outside the spheres of real people, as of February 2013 bitcoins can be used to buy Domino's pizza. As of today, this article from the NY Times states,

"Bitcoin is the new new thing but the question is whether it will end up in the same dustbin as Dutch tulips and Pets.com, or, as its backers believe, turn into a disruptive technology with the potential to revolutionize the global payments system."

Given the times, the lateness of the hour, and the certainty of the coming one world economy, I'd put smart money bitcoins on the latter.

17 comments :

  1. If I was not a believer, therefore devoid of the ability to see the poison within the shiney apple...I would see this as a sensible answer to a smoother economy with safer transactions for everyone in the future...I mean, on a smaller scale, even living in a small town, I am often met by an impatient store clerk as soon as they see me get out my old checkbook...I usually imagine the eyerolls from the customers waiting in line behind me as I still insist on filling out the amount and date and recipient info on the check even with the automated checking system now in most stores (for my own records I use the carbon duplicates)...And all along I could be using my smartphone to make many of these purchases instead...No thank you, I will not take that poisoned bite...or bit.

    ReplyDelete
  2. One of my concerns with digital technology is the fragility of the system. One EMP later and everything is gone. Someone willing to invest in alternative currencies would do well to consider precious metals as well -- even something like $0.05 nickels, which are still 80% copper, and should the future nickel ever be made with cheaper metal, the current variety would rise in value.

    I would avoid saying that the exchange system NECESSARILY needs to be digital, because that interprets the mark as being the thing that directly enables trade, itself, rather than a "secret handshake" of sorts, that people will require you to show or else they will not trade with you. I think that while there may be some digital chips involved, unless there's an infrastructure collapse, I don't think the chips themselves are the Mark, they might just help the Mark be implemented broadly and deeply. I think the Mark is simply the satanic version of the Ichthys Fish, a symbol that identifies you as a follower of 'the one true God' (in this case a poser), which causes other people with the same Mark to trust you.

    I think there will be widespread distrust of Christians during the Tribulation. The Mark, as I see it, is primarily a system akin to the Nazi "Jewish Star" that they required Jews to wear, but in reverse. The reason it's in reverse is because -- I suspect (since otherwise one would be hard pressed to explain how any survive the Tribulation) -- many or most Tribulation Saints are in hiding and therefore not easily controllable by the Beast System. However, followers of the Beast will be easily manipulated, and so it makes more sense to use the Mark as an affirmative symbol rather than a discriminatory one -- it has the same practical function in the end, anyway, and by Marking the "good guys," it ensures that the Beast doesn't miss anyone.

    Just a collection of thoughts on that.

    ReplyDelete
  3. I was doing some of my own research on Bitcoin and came across this article discussing what makes transactions with Bitcoins secure. Apparently it has been determined that 6 confirmations per transaction make it secure enough to deter anyone from trying to reverse a transaction or "double-spend." At this number of confirms, it would make it "computationally impractical" to attempt to reverse a transaction. You can take a look at the article here: http://bitcoin.stackexchange.com/questions/1170/why-is-6-the-number-of-confirms-that-is-considered-secure

    I just thought it was interesting that the number 6 was the "magic number" that makes it a secure method of exchanging money.

    ReplyDelete
  4. At the core of all the worlds systems financial, science, technological development, medical understanding ect. There is always a replacement understanding that directs a man's thoughts away from the creator to himself or "other" sources.
    The value is in the creator, not the created. He is able to uphold and sustain all things without my (or anyone else's) help.
    For one instance, it is looking more and more probable that the the cause of seismic events on the earth are happening as a result of the earths response to the solar events that are effecting the magnetic field.
    It is very clear from the Word that the Lord of all will use the sun to judge the world. And it has begun.


    ReplyDelete
  5. Currently Bitcoins do not require biometrics and I don't see why it would be required if people don't want to use it. (a possible "mark of the beast")

    Bitcoins are a sort of rebellion against the globalized banking system, are anonymous in nature and decentralized.

    I see global electronic banking (atm, visa, paypal) as a significantly more likely method of implementing forced biometrics upon the world.

    Currently, I have high hopes that Bitcoin will be an alternative system in commerce without having to resort to mailing boxes of precious metals around or bartering with your neighbor.

    Naturally, we all should be wary of anything appearing to be the mark of the beast, but I don't see bitcoins going that route at this point.

    ReplyDelete
  6. Bitcoins are gonna be the new currency of the world,several countries have already switched to it, and including even a state in United States...Texas has approved this bitcoin as currency....it will take the world by storm and will eventually be implanted into the skin! Hence,thereforth,the mark of the beast! The best thing to do is not accept it and push it away at all cost...THE BIBLE states these things will come to pass! You cant stop it,you cant change it, you must prepare and prepare NOW!!! Buy up food,water,protection! Bc soon the bitcoin currency will soon be coming to a town near you, then you wont have a way to buy anything...I wish you all well. And no im not a church going holy roller as ppl would like to say, i am a person who was a believer,who went wiccan,then came bck where i need to be...with the one I believe is coming back a 2nd time

    ReplyDelete
  7. I think people are missing a key element here. The bitcoin with be implemented into the Verichip which will be placed in your hand or forehead. Please read up on the verichip.

    The verichip was also known to cause cancerous tumors and sores in rats it was implanted in, much like what the mark of the beast will do to those who take it.

    ReplyDelete
    Replies
    1. Revelation 16:1-2 is the verse you're referring to which outlines the sores that will erupt on those who take the mark.

      I don't think we can say things like 'the bitcoin WILL be implemented into Verichip.' The only future we know for sure is that which is revealed in the bible and though the bible says people will take a mark on the hand or forehead, it doesn't say specifically bitcoin or verichip. We can see likelihoods but not certainties on some things.

      Delete
  8. Fiat Currency is the Anti Christ! Look how corrupt the world is! Killing each other for the love of paper money!

    Bitcoin buys pizza while Fiat currency buys porn magazines! Don't have to be a preacher or what but think about it! This damn world will end because of the greediness of the people and government all are link to fiat currency!

    Take a better look whats happening right now. For the love of paper money!

    ReplyDelete
    Replies
    1. Fiat currency is not the antichrist. The antichrist will be a real man, one man, He will USE currency or the economy in some way to subjugate the people left behind after the rapture. (Rev 13:15-17)

      This world is damned and it will end, not because of fiat currency but because of man's sin.

      Delete
  9. Question. Has anyone asked where does the money go that is buying/converting to bitcoins? Consider only 50% have been released, who is getting the money $US Cash that started all this hype? Also consider the market value of Bitcoin has grown to over $1000USD so if I buy a newly released bitcoin today where does the $1000usd go????

    ReplyDelete
  10. If all points of sale eventually require bit coin transactions only, then you no longer have a choice do you - other than to not participate in the economy. That would mean you will have to grow your own food, make your own clothes, not place an order on EBAY nor get the latest playstation from your computer store etc... Developers have already invented invasive and non-invasive tracking technology (verichip, invisible bar codes). They just lacked the control mechanism to implement - bit coin (or similar technology) does seem to fit that bill. But part of that control mechanism is enforcement. Current world and political conditions do not yet provide for an enforcement mechanism. However, because of irresponsible politicians, collapse of the USD is inevitable and with it the global economy. As a result a replacement reserve currency will be required and many company's and countries seem to be leaning towards the digital version that is not dependent upon the financial stability of any one nation. Nero (of John the Revelator's time) demanded all Roman subjects to have his mark if they wanted to buy or sell anything. Maybe that was the time the book of Revelations spoke of, but I have to ask: is history repeating itself?

    ReplyDelete
    Replies
    1. Thanks for your comment, Anonymous. I agree that "collapse of the USD is inevitable and with it the global economy". Fiat currency never survives.

      Delete
  11. Thank you all for reminding me how silly religion is every time I get close to believing you guys remind me how uneducated it is tp believe in something untangible

    ReplyDelete
    Replies
    1. You're welcome. though I doubt you will be so grateful on judgment day when you stand before Christ to be judged for your sins. Your sins aren't "tangible", yet they exist. So does Jesus.

      Delete
  12. I was a big proponent of bit coin. it caught my imagination and sense of wonder but now i see it as something more sinister. the ATM's that are going to be introduced in various U.S cities in the upcoming months will allow normal, not too tech savvy people like you and I, to buy and sell bit coins. the registration process will be easy but to most that are good at discernment will note that it is the precursor to the mark, or verichip or whatever the anti-christ will use to control world commerce. basically you input your phone number and then you get instructions to validate that you own that phone and your identity. one of your hands will be scanned and that will be your password. then you will get your picture taken and then you have to provide official I.D to confirm that you are the person on the I.D...so although Bit Coin has started as decentralized system, little by little, more and more information is being accumulated and a central system must be created to keep track of it all. as it grows in popularity, more and more people will see nothing wrong in having their palms scanned for economic purposes, as opposed to government purposes like a fingerprint scan when obtaining an I.D or driver's license.

    ReplyDelete