Basically, for something to have value it has to have usefulness. The greater the amount of usefulness then the higher it’s worth. If something has a high worth people usually would be willing to part with their hard earned money to use it.
It takes a lot of research to dig through all of the nonsense to find something worthy. There are many writers, bloggers, casters, etc. that compete for advertising or payment money and need headlines that bring in advertising revenue. Sometimes understanding all of the facts takes a lot of time, and requires a commitment. Possibly the hours just aren’t there for these writers to employ full discovery.
Crypto currencies and blockchain technology are great examples. Much of the challenge with both of these topics is that they are something that is disruptive. Disruptive is something that challenges the status quo because it’s better, and brings to the forefront that there needs to be change or adjustment. Fortunately, the Bitcoin network or blockchain technology are technologies that are understood by the millennials who aren’t handcuffed by past beliefs and aren’t afraid of change.
In a recent podcast Ryan Leachman at JAI Energy provided an example of how an exploration company in Wyoming he worked for used bitcoin mining to meet Wyoming regulatory approvals for a new remote oil and gas well. He certainly considers bitcoin mining useful. El Salvador most likely considers the bitcoin network useful given its ability to offer their citizens a low cost digital financial network using Bitcoin along with Strike and the Lightning network. Twitter considers bitcoin useful as it is now also using Strike and the Lightning Network.
Bitcoin using Strike and the Lightning Network transactions fees are about .3% for a transaction, whereas a credit or debit card transactions can average about 2%. On a $250 transaction Strike would cost approximately $.75 verses $5.00 for the credit card transaction. Times that by billions of dollars for large retailers such as Amazon, and that adds up fast.
There’s a myriad of world businesses that are using, investigating, or participating in the blockchain or crypto space. Companies include Walmart, Amazon, Mass Mutual, Allianz SE, Anheuser Busch, Google, Microsoft, BBVA, BNP, Comcast, Cargill, Tesla, and many more. Certainly with the potential to lower costs they find it useful.
Naysayers focus on the coin of bitcoin rather than the fundamentals behind the technology and it’s uses. It is probably similar to when the internet started and they probably wrote it off as no more than a way to check stock quotes or replace the typewriter. The coin produced by bitcoin mining is the life blood for those that build the network through mining.
The token of bitcoin mining is logical for a decentralized world network of miners doing the work. A decentralized network with a centralized compensation system wouldn’t be decentralized as the payor would have all the control. The decentralized award system is another component that makes the system stronger.
As Mahatma Gandhi said, “every good movement passes through five stages: indifference, ridicule, abuse, repression, and respect.” Blockchain and crypto currencies are somewhere in the abuse and repression stages. A long time bitcoiner once said “bitcoin is like water.” No matter the ridicule or abuse it is given it’s decentralized system keeps it flowing which is exactly what a decentralized system is supposed to do.
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