Bitcoin is a superior currency that frees people, said venture capitalist Tim Draper in an interview with The Bitcoin of Crypto Street. “BTC frees people and is a cheaper and freer way to send value worldwide.”
Not bound by regulation or geography
Draper has looked at different forms of currencies in the history of the world, ranging from shells to gold. In the 21st century, currencies are based solely on trust in the government, he says. Bitcoin is different. BTC is a currency that does not rely on trust in a government or a central party, and is essentially a global currency. Draper:
“Suddenly we have a currency that is not tied to a government and is not tied to a geographical area.”
BTC also serves as a means to store value. Bitcoin is also cheaper than bank or credit card transactions, Draper adds.
“That frees us because governments have always used that currency to control us.”
The bitcoin network still carries out 800,000 transactions per day. This is much lower compared to the VISA or MasterCard networks, despite Draper’s claims that BTC may be faster. But the bitcoin infrastructure has also made it possible to send huge amounts with very low costs and without geographical limitations.
Bitcoin cannot be censored
Governments try to censor bitcoin as much as possible and come up with rules that make it bitcoin difficult. Logical too, because why would they be happy with a coin from the people over which they have no control? Consider the worldwide KYC rules under the guise of consumer protection (read: pay taxes). Or the ban on transactions in China or having cryptocurrencys in India. But the global network of bitcoin is resistant to censorship, as more and more nodes are added.
You can see that clearly on the live map of bitnodes.
In the Netherlands you expose your identity the moment you exchange your bitcoin for euros. It is possible that the tax authorities will become even stricter in the future and they will follow transactions and recipient addresses. In that regard, bitcoin is not entirely anonymous, you can track transactions and monitor addresses on a simple block explorer. Draper sees this transparency as something positive.
Draper was also convinced that, because the new technology is present, governments must adapt to the introduction of bitcoin. What is encouraging is that bitcoin has survived for more than a decade and continues despite the struggles of regulators.
As Anthony Pompliano often says so cynically:
“Bitcoin still not dead.”