Private citizens will appreciate the inherent value of Bitcoin: Arthur Hayes
With the onset of the New Year, the cryptocurrency market is showing signs of recovery. The flagbearer of the crypto community, Bitcoin has gained nearly 0.87 percent in the last 24 hrs and is holding on to the $3900 mark after dropping to $3200 last month. Ethereum [ETH] is on a surge and has reclaimed the coveted second position from XRP and the rise has continued for the past two days. Currently, it’s down by 0.14 percent and is trading at $149.55 up by over 80% from its $82 low in December of last year.
Well, all these signs bode well for the crypto market in the New Year. Speaking about the future of cryptocurrencies in general and Bitcoin in particular, Arthur Hayes, CEO of BitMEX says, “Bitcoin, or something like it, is perhaps society’s best hope for a private form of electronic money.”
In BitMEX’s official blog, Arthur Hayes notes that the with the changing scenario, the first type of money that we’ll see is the centralized e-money, which is a direct offshoot of the current system where the current fiat currency is taken and is updated to the digital age.
Highlighting his point, Hayes says that WeChat Pay is the perfect example of where e-money is heading. WeChat Pay has completely taken over the use of cash in China and gives an insight into the future of e-money. WeChat Pay removes the friction caused by the use of cash and it’s very simple to use. Using QR codes and mobile phones, merchants can deduct credits from the user’s WeChat wallet, which is connected directly to his/her bank account. But then the fact remains that the privacy of the user can be easily compromised if governments or these large corporations want a chunk of your personal details.
Hayes further adds, “Although such a monetary system as I’ve just described may or may not be warehoused on a blockchain look-alike, make no mistake: it is centralized, top-down, and censored,”
He further states that Bitcoin is the best available option as it is decentralized, peer-to-peer, and censorship-resistant. It runs via a network of voluntary, independent, and self-interested actors, who neither demand nor require any favors or permissions; a few basis points in transaction fees is literally all they want from anyone.
Well, it’s been more than 10 years since its inception and Bitcoin is still more like an ongoing experiment. But even in this short span of 10 years, Bitcoin has not been hacked and it presents a brilliant example of several private individuals working towards a common goal.
Image via Shutterstock
Join our telegram groups