With the chaos in the financial market causing so much concern, it is not surprising that there is a move to adopt a financial system that is not subject to the manipulation of governments and banks. Bitcoin is deemed by some to be the answer to the predicament posed by the growing booms and busts associated with global currencies.
However, the expectations of the proponents of bitcoin are not being realized. The volatility makes it almost useless while ,as may be expected, numerous rogues are scamming the system to gain unfair advantage of its lack of resilience.
It is amusing to contemplate the arrogance of those people who believe they can invent laws to handle intangible symbols of value in a sound systematic manner. They have this belief because they are used to complex natural systems that behave in a sound systematic way and they think that humans are clever enough to be able to emulate natural forces. The operation of organisms, including humans, provides them with examples of the wonders of nature. Scientists are renowned for advancing the frontiers of knowledge when what they are really doing is acknowledging that there is still a lot they do not know about how natural systems operate after eons of evolution. To top this lack of understanding off, there is widespread belief in seemingly informed forums in the ability of mathematics to describe natural operations. Mathematics is a system devised by humans to roughly describe some natural operations.
So the bitcoin concept is based on a foolish misunderstanding of the ability of to develop a complex resilient system rapidly from scratch. The current financial market has its inherent weaknesses but its development over centuries has resulted in a degree of responsiveness, acceptance and resilience that bitcoin cannot possibly attain, despite the efforts of its proponents.
Denis Frith
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