Bitcoin, a new currency created by a group of anonymous programmers.
Numerous websites are accepting it and monetary authorities don’t like it. But, some authoritative voices, like Virgin’s Richard Branson and PayPal’s Peter Thiel, support the initiative. Many investors are beginning to take Bitcoin seriously as well.
The time has come for members of Generation-Y to weigh in — check out these reasons Bitcoin is great:
Until 1971, each dollar was secured by its equivalent value in gold. Then, money supply became based on the arbitrary decisions of the bigwigs of the central banks (mainly the Federal Reserve, the ECB and the Bank of China).
And for those who criticize that Bitcoin is a fictional currency that exists only in the virtual world, it should be known that only 8 percent of money that circulates today actually exists physically.
The 2008 banking crisis revealed several faults in the system. For example, the maximization of profits was the banks’ highest priority, meaning the effort to provide a quality service to citizens was not as high of a priority.
While we don’t want to continue to pay crazy fees to banks (because we understand that in most cases, the rates are totally unjustified, and only intended to grow banks’ profit), we must establish our own alternative. Enter, Bitcoin.
Many Gen-Yers believe in a free and open monetary system. The idea is that citizens would manage the system so that no one could take advantage of system failures (which will always exist) by obtaining illicit profits.
Gen-Y believes in honesty, transparency and the power of the citizens to auto-organize without political systems and economic elite to control monetary fluxes in the economy.
Economic globalization leaves room for a universal financial system in which transactions are instant. In time, electronic money may prevail over physical money to make the operating system much easier and comfortable for everyone.