Crypto or not to Crypto ? c ˅ ~ c
Bitcoin we’ve heard it all before! It’s a fad! It wont last! It is too volatile! Say the naysayers. Yet, since it’s inception in the year 2010 when Mr. Satoshi Yakamoto released the first whitepaper of it’s kind and a gentlemen, Laszlo Hanyecz purchased an infamous pizza. This pizza was paid by 10,000 bitcoins and then bitcoin reached a much higher value and if he were to buy the same pizza; with the same amount of bitcoin now; it would cost $380,000,000.
Today, this journey that started with a digital coin (a kind of digital gold as some would have it) comprises of an entire alternative narrative to centralised finance. With governments set to join this digital currency change what can we expect in the coming decade? Firstly, Etherium the no.2 digital asset will inevitably supplant Bitcoin. This is because it evolved the use of Block-chain technology. Bitcoin functions as a ‘proof of work’ POW algorithm which requires every computer used as a node for mining the currency to submit evidence of their computations on the block chain as a kind of ledger. For people who need a crash course on blockchain technology I highly recommend this youtube video…>>>>>. Anyway, with Etherium Ether (ETH) & Cardano (ADA) we see the move away from P.O.W to (P.O.S) proof of stake which is not dependent on sheer computational power but more on the behaviour of those with a share of the network. Where people can stake and have a stake on the networking of the blockchain. This movement is itself revolutionary enough but let’s continue to expand the readers view on the cryptocurrency.
The sheer scope of crypto / alt-coins / tokens is so vast but I want to attempt to write and describe the many new developments that are ongoing. But, do not take my word for it visit here>>>> to see the full extent of this process of alternative financial expansion. It is always expanding. Perhaps what is most intriguing about cryptocurrency in general is the social aspect of the phenomenon. Just observe Dogecoin (DOGE) a coin that started of as a joke, a meme, and has now made a handful of people newly minted millionaires. The effect of Elon Musk’s influence over the crypto-sphere is simultaneously worrying but also insightful. It is certain that without his support this coin would most likely have less of a market cap. Yet, the rise and fall of Bitcoin and Dogecoin can be directly correlated with Musk’s behaviour this then draws into question the validity and volatility of their claims to being “Decentralised” and indeed regulators and governments have both recently been keen to remind the world of Crypto of their watchful presence.
In the recent past Musk has been quoted as stating that the reason he supports blockchain technology and crypto currency (you never know with this influential individual as to his true intentions), he asked, ‘Why not? Why would you want to continue paying banks fees to exchange and to be able to use your money? When Crypto reduces this cost to a marginal and somewhat equal and agreeable amount. Because of the fear surrounding this new culture regulators in China, Japan, USA, India, and Singapore are all moving to stall ICO’s (Initial Coin Offerings) and the potential for illegal monetary laundering to take place. The Kapronasia consultant Zennon Kapron describes the situation like so,
“If China made moves on Bitcoin on the regulatory front the U.S. would almost be forced to follow to a certain extent because there’s such a large economic connection between the two [countries],”
However, he noted “Chinese regulators really aren’t taking a stance on Bitcoin right now because they’re still trying to figure out what the impact is…Kapron highlighted that in October Shanda Group’s real-estate development arm accepted Bitcoin payments for its first real estate investment project. Because Bitcoin is not taxable, if this practice became widespread and started eroding China’s tax revenues, authorities would step in.”i
Whilst in the west we wait for someone like the American Gary Genster to decide on exactly what regulations to impose on this brilliant development of technology. I want to show the reader why this move to decentralisation is necessary and to do this I will quickly provide a logical schematic to position the reader to fully observe the map of possible worlds where this necessity (it is necessary to decentralise finance because it presents an opportunity to correct vast systemic inequality) is self evident. The following is an amatuer use of Sual Kripke’s modal logic but I think these animated GIFs show the power of this pro crypto argument. The modal logic I am using is part of intuitionist logic and Kripke helped father this logical operation: First we must grasp the simple definition of what we will accept as being true. The truth value of the atomic sentence p at world w given the valuation v may be written v(p,w) and the relations between the various atomic sentences (single statements) will be defined by a couple of notations implying this argument that supports ‘decentralisation’:
iJohn Philips, ‘Could China Make or Break Bitcoin?’, published Friday, Nov 15, 2013 https://www.cnbc.com/2013/11/15/could-china-make-or-break-bitcoin.html