“Bitcoin, Bit by Bit” is the partial title of an article written by Forbes contributor Ralph Benko. The subject stirs up an interesting topic dealing with the endless war between politics and business, and right now, bitcoin is the key ground over which both parties are fighting.
In the article, the idea that the business capital of the world, the Silicon Valley located in Northern California, holds true power in the country, especially when compared to the power supposedly held in Washington, which is depicted as being somewhat farcical. The content later goes on to use bitcoin as an example. The digital currency is experiencing an all-time high in its popularity amongst business ventures in the Silicon Valley, which see it not only as the fiat currency of the future, but also as holding supreme and reigning technology. As a result, many Silicon Valley entities have invested millions in the digital currency, holding faith in the idea that it’s time to grow is now. Politicians in Washington, however, are still not quite used to the idea of bitcoin, and therefore the battle is growing.
The idea that bitcoin is pitching the Silicon Valley against Washington in the race towards the nation’s true capital is an interesting notion, and while Benko simply uses several quotes of techno bigwigs to make his points, it’s an effective method. Look at this quote for example, as said by CNBC correspondent Everett Rosenfeld:
“Most people think of bitcoin, if they think about it at all, as a currency – a means of digital exchange, or perhaps a speculative investment. But forget everything you know, because the technology underlying bitcoin has the potential to be a much greater disruptive force than the cryptocurrency itself. Investors and technologists think the technology could replace huge aspects of the financial and insurance industries, and eventually even corporate management teams.”
Now here’s a second quote, as said by Bitcoin: The Future of Money author Dominic Frisby. This time, the words deal less with the technology behind bitcoin, and more with the currency itself:
“This money system will grow bigger and better. It’s going to improve and increase commerce. It could unleash a huge global economic boom, as good for developing nations as it is for the developed.”
Recently, large companies such as Overstock, Dell and Microsoft have expanded their payment programs to accept bitcoin. The fact of the matter is that bitcoin’s popularity ranks particularly high amongst customers and many businesses are catching onto this little fact. Regulation via the BitLicense has yet to be fully integrated, but these businesses are not waiting, and have grown to include bitcoin on their lists of acceptable forms of payments. Furthermore, top figures in the world of digital finance feel that bitcoin is truly the currency of the future. Amagi Metals CEO Stephen Macaskill has gone so far to say of bitcoin:
“It’s going to replace the dollar in my lifetime, if not bitcoin at least another cryptocurrency.”
All this is happening while Washington is, according to Benko, still aiming to put a damper on the growth and expansion of bitcoin and its related cryptocurrency cousins, calling it untrustworthy and unsafe. Regulation has been slow, and Washington doesn’t look upon bitcoin as currency. When it comes to bitcoin and related technologies, the Silicon Valley has moved ahead.
What do you guys think? Is Benko on the right track with his thoughts? Will the Silicon Valley and bitcoin eventually reach a higher level of power? Post your comments below.