– One must be careful when dealing with crypto-currencies because you need to ask yourself who is controlling the huge amount of electricity needed for bitcoin’s blockchain verification or who is controlling the huge mining operations needed for that.
– Simon Parkes said that there would be alternative, better ways to use cryptos than just using “bitcoin”, appearing between January and March 2018. I think that points to the rise of proof of stake mentioned in this post.
– “Service to others” must be the keyword for 2018 as “Service to self” is fading away rapidly.
I do believe that 2018 will be the year when PoS will take off the ground for the following reasons:
- PoS or Proof Of Stake is less electricity wasteful than Proof of Work and energy efficiency is always good to have
- with PoS you do not need to have a geeky computer hardware at home since it is virtual mining, which means you just need to turn on your client and let him run in order to get rewarded.
- PoS is the only consensus that can induce Decentralize Autonomous Organizations (DAO), and DAO is the next big thing in the crypto world; it is when businesses can aboard…
Original link: http://www.zerohedge.com/news/2017-12-08/bitcoins-message-tax-reforms-hidden-agenda
– It seems that banks are starting to jump ships from FIAT to bitcoins (read: cryptos), big time. This is compatible with the idea that FIAT is losing its value rapidly.
– Crypto-currencies do not have value per se compared to rare metals. That is why we must be careful at not relying too much on them. This is why the BRICS are accumulating gold, not bitcoins it seems. However crypto-currencies can help Humanity tremendously in making the transition from a money-based system to a non-money-based system, I believe.
– We will soon see a massive financial crisis/meltdown of the FIAT money system which will cause some disruption but we will shift very quickly to a much sounder system, one based on gold and cryptos.
– Relying on pensions that use funds that give a few percents of annual interest per year for when you retire in the future is illusory now because the current FIAT system must use negative interests in order to sustain itself.
– Bitcoin’s proof of work system is very wasteful. In the end, it will be spending too much energy for the work it performs though I think it will still be useful. There should be other much more efficient systems in terms of energy consumption. Litecoin will face the same issue at the end. This kind of issue is being solved by the Proof of Stake consensus, which uses the stake that the node owns inside the network to secure it although some adjustment have to be made in order to make it properly. Some examples of Proof of Stake assets that are very promising: Peercoin, Tezos, EOS, NEO, Bitshares, Ethereum (from June 2018 it seems), NEM, NuShares, PoSW, PIVX, Stealthcoin, ARK, Teslacoin, and many others.
Proof of Stake will co-exist with Proof of Work in 2018 with the same importance I believe.