Bitcoin serves as a means to facilitate transactions between adversaries, eliminating the need to trust the other party to uphold their agreement.
Bitcoin serves as a means to facilitate transactions between adversaries, eliminating the need to trust the other party to uphold their agreement.
For instance, if someone is supposed to pay for a service, they can’t falsely claim they completed the payment.
They can’t simply say, "I transferred the money, perhaps your bank mishandled it," or "The cash I gave you was legitimate; you’re the one attempting to defraud me by claiming it wasn't."
Everything is recorded on the blockchain, making transactions verifiable and untampered with. There’s no chance of duplicating transactions or falsifying Bitcoin, and balances can be confirmed with ease.
One cannot acquire Bitcoin through coercion, unlike physical assets such as land or gold.
Currently, nations can impose sanctions on one another by freezing bond assets, as seen with the US and Russia.
If several countries decide to establish a currency backed by Bitcoin, they could set up a multi-signature wallet for storage, allowing everyone to verify the wallet's balance.
In contrast, gold lacks traceability and can be counterfeited, as seen with items like gold-plated tungsten bars.
It remains uncertain whether a nation actually possesses the gold that supposedly backs its currency.
For example, if BRICS were to support its currency with gold, the reality of that gold's existence would be in question, leading to disputes over ownership.
This is a significant reason the US managed to manipulate the system during the 1971 Nixon Shock.
The Federal Reserve issued more gold-backed dollars than the actual gold reserves they held.
This highlights one of Bitcoin’s greatest strengths as a universal currency that anyone can access, without enforcing personal ideologies on others.
Bitcoin is poised to be the foundational currency, regardless of personal opinions!