Is Bitcoin dead?

Bitcoin hasn’t been in the headlines for a while, largely as a function of its decline in price – a decline almost as steep as its ascent. But does this decline reflect the fact that the crypto-currency has become a less volatile medium of exchange? Unlike modern fiat currencies which are backed by faith in the government that issues them, bitcoin are supposedly backed by an unimpeachable block chain which acts as a ledger against which bitcoin are priced. The argument goes that since the algorithm can’t be fiddled with, then bitcoin is “sound” in the same way that the classical gold standard was when paper currency could be redeemed against gold stored held by the issuing party. However, as we saw in Britain after the pressure put on the gold standard sterling at the outbreak of the first world war and the passing of the British Gold Standard Act 1925 which the gold bullion standard and repealed the gold specie standard, there was little to stop that issuing party from revaluing the price at which that gold could be redeemed. Ultimately, no matter how complex the algorithm behind it, or how many computers going to “mine” these bitcoin, the only way to have almost completely sound money is to revert to paying for things with physical gold and silver tender. Which is difficult when you’re buying things over Amazon. #Btc #Bitcoin