Bitcoin is not the Internet Banking
? – tide –
– although bitcoin does not, in the foreseeable future is unlikely to become a true sense of the currency, but the future of digital currency development is of important value “”. To be sure, the future operation of the frame of the digital currency must be on national digital currency, the currency is still concentrated in the right monetary authorities.
Since October 2008 31 Japanese name Nakamoto published “bitcoin: electronic cash system” a point to point, put forward the running idea of bitcoin, and dig out since the first batch of 50 bitcoins in January 3rd of the following year, bitcoin dispute has not been broken.
In these disputes, a relationship is unclear for bitcoin and Internet banking. Most of the views will bitcoin natural as Internet banking, and even that is the advanced form of Internet finance. However, if we return to the financial nature and their bitcoin, bitcoins can be found between the finance and the Internet there is an impassable chasm.
Finance from the view of connotation includes two aspects: one is the currency issue, circulation and return and other related activities, such as the Central Bank of the currency issue, the implementation of monetary policy, the economic activities in the currency payment, remittance; two is a variety of investment and financing and related activities, its essence is to complete the transformation from savings to investment, such as borrowing behavior, bonds, stocks, and a variety of financial behavior.
Internet banking is a new financial business model of financial institutions or Internet companies use the Internet technology and information communication technology financing, payment, investment and information intermediary services, its essence is still the financial, also includes the above two aspects. Corresponding to the reality in the form of business, investment and financing, there are many modes of Internet banking, such as chips, P2P, Internet, Internet trust fund issuance and circulation; currency, is currently the main Internet payment, all current Internet financial activities are based on the existing national monetary system.
Bitcoin is the data generated by the open source encoding encryption algorithm based on the production, exchange and payments are based on the Internet, essentially belongs to the technology innovation in foreign countries is classified as a category of financial technology (Fintech). Effect of bitcoin on economic and financial system is mainly limited to the technical level, rather than the financial level, bitcoin itself is not the Internet financial.
On the one hand, from the monetary attribute of financial activities, the monetary attribute of bitcoin is just a presentation. In May 21, 2010, the U.S. state of Florida programmer Laszlo Haunets used 10000 bitcoin to buy a $25 pizza coupon, produced the first fair exchange bitcoin, bitcoin worth 0.25 cents each, open bitcoin payment function can. Especially in Germany and the United States have allowed individual states bitcoin for payment and settlement of small scale, some people think that bitcoin has obtained national accreditation into real money. As of August 2013 the United States District Court in Dezhou ruled in a case in bitcoin currency in August 2013, the German Ministry of finance will bitcoin “unit of account”, etc..
But this just shows that bitcoin is accepted depends entirely on the state or the monetary authorities recognized by people outside of the game player, not recognized, bitcoin may not be the money in a large range. Bitcoin as a kind of data encoding, even more elaborate design, its own for ordinary people and no value, even as private can be printed out and exquisite “notes”, if there is no national credit as a support, it is a waste, no one will be regarded as currency. As of now, no country to give bitcoin currency status in most countries is classified as a kind of commodity. From this perspective, bitcoin is not money, bitcoin production (issue), circulation and other related behavior is not financial or internet financial behavior.
On the other hand, from the financial investment and financing connotation, bitcoin is currently just as speculative or investment goods circulation, which reflects the attributes of goods, does not have the attribute of financial investment tools in the sense of conversion cannot be systematically complete savings to investment function.
Further, bitcoin can not become a real currency, rooted in its inherent limitations.
One is the total amount of co.. According to the original design, the maximum number of bitcoin is 21 million. The fixed amount is considered to be a major advantage of bitcoin, can avoid the creation of money, but it will also become a real currency restriction. Gold is a currency substitution, the reason lies in the need to speed the increase in supply can not meet the economic development. More importantly, if the money supply is not monetary authority control, the macro-control will lose one of the most important policy tools, the open market operation, quantitative easing, the lender of last resort most impossible, this is tantamount to tie themselves. In theory, bitcoin can be split to eight decimal places, but the supply is always an independent economic performance variables, the monetary authorities to implement the regulation according to actual needs, especially the crisis, economic and financial buildings can only sit overturning.
The two is caused by social injustice. Go to the center of the currency production, will produce greater inequality, Seigniorage will be with the production capacity of a few people get. If the state monopoly right to issue currency unfair question, then by the miners and a few game player to control bitcoin if everyone has become a need to accept the money, not fair problem is undoubtedly more serious.
Three is not conducive to environmental protection. Bitcoin development, operation cost of power, will cause great loss of energy. This is a completely unnecessary waste of resources. You can imagine, if bitcoin really become more public money, nor, waste of resources will increase sharply.
Four is the transaction cost. At present, a bitcoin payment takes about 10 minutes, with the expansion of network scale, could be longer, simply can not meet the needs of social and financial development.
The five is security flaws. Bitcoin technical security issues have not been completely resolved, bitcoin is lost when the incident occurred. As of February 2014, Mt.gox lost 850 thousand bitcoins, in August of the same year, the domestic trading platform was stolen 50 million bit NXT, the value of about 10000000 yuan, in January 23, 2015, Egopay trading system has been compromised, causing a loss of $1 million 200 thousand. In addition, bitcoin is completely anonymous, unable to track, if it becomes a currency, will greatly facilitate the behavior of money laundering and terrorist financing to carry out the crime and bribery.
The six is not exclusive. According to preliminary statistics, at present, similar to bitcoin currency network of more than 50 kinds, some have disappeared, some still continue to emerge. All the technical advantages of bitcoin, can be imitated and copied, make only superficial changes to a different name. This also shows that in the non real monetary conditions, from the national credit support, no money to dependence.
Because of this, all countries have issued the relevant regulations or policies, strengthen the supervision of bitcoin, stop bitcoin threat to national currency. In February 2014, Russia announced the complete ban bitcoin; in December 2013, the people’s Bank and other five ministries issued the “notice” on guard against the risk of bitcoin, bitcoin in Chinese announced within the scope of government regulation will not be regarded as a effective tool for transaction settlement.
Although bitcoin does not, in the foreseeable future is unlikely to become a true sense of the currency, but the future of digital currency development is of important value “”. To be sure, the future operation of the frame of the digital currency must be on national digital currency, the currency is still concentrated in the right monetary authorities. In this case, the traditional currency has continued, including seigniorage owned by the state, for the public service, to solve the fairness problem; at the same time, because of the national digital currency traceability and other advantages, can improve the precision of monetary policy, and improve the financial crime of money laundering and other combat efficiency; at the same time. The efficiency of the national digital currency can greatly improve the all-weather, the use of Internet technology to cross regional payment.
When the running frame of digital currency construction after the completion of the Internet revolution and the transformation of traditional finance is not complete. But this mission is bitcoin can not bear. Li
(Doctor of economics, financial department Postdoctoral Science)
Bitcoin investment Exchange group: 221662679