There will probably be a downturn at some point. But we can expect that the most functional cryptocurrencies will remain.
Bitcoin and Blockchain
Why do some commentators, all smart and competent economists, investors, and journalists, reach such vastly different conclusions about Bitcoin and blockchain technology?
To maintain a high value in the long run, and thus be used as a currency, Bitcoin's dramatic rise will eventually have to moderate.
This is the third and final article in a series about blockchain-enabled “smart contracts” and their ability to address retail fraud.
Imagine if every time you bought a sandwich for a few dollars, the IRS forced you to treat as capital gains or losses any change in value of those dollars on the foreign exchange market since the time you earned them. That’s the way the U.S. government treats two legitimate forms of currency: gold and cryptocurrencies.
The high price of bitcoin serves as a reminder of its rigid supply, which might ultimately be its undoing.
This is the first in a series of three articles about blockchain-enabled “smart contracts” and their ability to address retail fraud.
If widespread use of Bitcoin or another cryptocurrency is truly in our future, some series of events will have to disrupt the status quo. Broadly speaking, I see two possibilities, which I’ll call the revolutionary and evolutionary approaches.
On October 3, the Committee for Monetary Research and Education held a dinner in New York City featuring four distinguished speakers on the topic of blockchain technology versus fiat currency.