Bitcoin really will become the future currency?
At present, the global bitcoin trading volume has reached 200 thousand a day or more, to accept bitcoin payments business has reached hundreds of thousands of households, and are growing rapidly in some developed countries, only the use of bitcoin has to meet the needs of daily life.
Source: Suning wealth of information
than Bitcoin Since its inception in January 3, 2009, more than 8 years, growing from obscure geek toys for the hot news of concern, the price also rose millions of times.
Bitcoin born Nakamoto bitcoin: “electronic cash system” a point of a text, the clear bitcoin is a kind of electronic cash, which is a new form of currency. But over the past 8 years, bitcoin is not money is full of controversy, the experts Public opinions are divergent. government’s attitude is also vastly different countries.
In December 5, 2013, China people’s Bank and other five ministries jointly issued a “Circular on guard against the risk of bitcoin” (hereinafter referred to as the “notice”), said: “the bitcoin is not issued by the monetary authorities do not have the law, such as monetary compensation of the mandatory property, not the true meaning of money, from the nature point of view, bitcoin is a a specific virtual goods, does not have legal status and monetary equivalent, can not and should not be used as currency in circulation in the market”.
At the time of the “notice” denied the monetary attribute of bitcoin, its definition is only a “virtual goods” in particular, which resulted in the not only focus on supervision, supervision from the angle of comparison of anti money laundering bitcoin exchange, downstream chain and others are free in addition to the regulatory perspective, as a result of the Chinese bitcoin industry speculation, the lack of real technology investment and industrial investment.
What is the nature of money? Tongsudeshuo, is in a wide range, when people need to buy goods and services, and are willing to pay is a kind of special goods generally accepted other people. There is a lot of money in the form of the core is “general acceptance”.
Before the Internet era, only generally accepted is a geographical concept, such as a tribe (Yap stones on the currency) and a community (community voucher), a country (Fiat), there are a few common currency is globally accepted, such as gold, the dollar. In the emergence of a national state, issued by the state monopoly of credit currency — currency has become the mainstream of the currency, let people gradually forget once had the every kind of currency, the credit money as the only viable form of currency.
With the advent of the Internet, electronic currency and digital currency can easily across geographic barriers in any global circulation, generally accept this kind of no longer bound by national boundaries, as long as the Internet can make use of commodity exchange bitcoin.
At present, the global bitcoin trading volume has reached 200 thousand a day or more, to accept bitcoin payments business has reached hundreds of thousands of households, and are growing rapidly in some developed countries, only the use of bitcoin has to meet the needs of daily life. I believe in the near future, bitcoin will become the mainstream currency on the internet.
Money is a kind of credit, as long as the currency of people believe that the money received the next time can still be used for equivalent payment, is not important whether the currency itself has value and use value.
Early currency such as gold and silver still has a certain value, but its value is far less than the exchange value, is rooted in the people believe that it can continue to use. With the development of the monetary form, the modern credit currency such as Fiat has almost no use value, but money can still serve as a general equivalent and other commodity exchange, which is guaranteed by the laws of the country and the people’s trust, once people lost faith in government, this guarantee will fail. For example, in Zimbabwe, because of the creation of money leads to vicious inflation, no one is willing to hold Jin Yuan, the government was forced to give up the national currency, allowing the use of foreign currencies.
Similarly, bitcoin does not have the same legal tender and use value, exchange value and its credit guarantee is unassailable cryptography algorithm and open issue mechanism.
Bitcoin was born more than 8 years, suffered numerous attacks, but has never been broken off, its safety and reliability has been fully verified. In the history of Mt. Gox hackers to steal bitcoin, bitcoin exchange was due to poor internal management, system security and embezzlement. Coupled with the natural scarcity of coins issued by the formation of the upper limit of 21 million, comparable to and even beyond the gold, worth more than most money trust.
Bitcoin is set at a fixed rhythm issue, to 2140 will reach around 21 million no longer limit growth, which can not be changed. This design ensures that the bitcoin scarcity, but also led to the deflation characteristics of bitcoin. This feature is set to imitate gold and gold, also criticized by many economists, is considered unable to adapt to the economic growth.
First down deflation is not conducive to the hypothesis of economic growth is not correct, after the collapse of Bretton Woods currency, although no longer tied to gold, but gold is still as an important international reserve currency is widely accepted. Therefore, deflation is not to deny that bitcoin as a currency for. Moreover, in quite a long period of time, bitcoin is actually still in a stage of inflation, the annual inflation rate of about 4%. Believe that after 100 years of economists and financiers can come up with a better solution to the problem of deflation bitcoin.
Now there is a saying that bitcoin is not money, but it is a quasi currency.
Quasi currency is a currency, although can not be directly used for circulation but can be readily converted into currency assets, mainly by bank deposits, savings deposits and short-term credit circulation tools etc.. Obviously, bitcoin does not meet the above definition.
Currently bitcoin in China can not be used for shopping is an executive order banning the result is not caused by its own nature, if you do not consider the administrative order restrictions, bitcoin can be used for natural circulation, so bitcoin currency is not quasi currency genuine goods at a fair price.
In recent years, bitcoin has been criticized by the reason and no central bank, exchange rate volatility is too large, not legal tender etc.. Even if these reasons are set up, can only say that bitcoin is not a very mature currency, and cannot deny the nature of money.
Therefore, the author suggests that countries can consider monetary attribute admitted bitcoin, as a foreign currency (Foreign Currency) to treat, and the dollar, yen and euro as regulated by the State Administration of foreign exchange, the use of the renminbi trading bitcoin’s behavior into foreign exchange management.
Considering the particularity of bitcoin, can temporarily by the existing better bitcoin exchange rather than the banks to take bitcoin exchange work, according to the bank management. Do at least have the following three advantages:
One is not the impact of RMB system. And RMB system compared to the total volume of the bit is small, only about $40 billion, which is really just a small part of the circulation for. You can also use the scope of bitcoin have some restrictions, such as: prohibited in China territory for the next line to pay for online payment; payment limit can be set, and use range, such as limited to the purchase of small online virtual goods and services; for cross-border payments is unlimited. This bitcoin payment accounted for the entire national economy proportion is extremely small, so don’t worry about the impact of rmb.
The two is to solve the bitcoin tax problem. With the common currency, enterprises and individuals to sell goods and services for bitcoin can be included in operating income, in accordance with the foreign exchange administration announced the price converted into Renminbi to pay taxes and get through exchange bitcoin without tax. If bitcoin is regarded as a commodity rather than money, is trading in bitcoin to pay consumption tax, business tax, value-added tax and income tax, it is not reasonable.
Three is to help maintain financial stability. Due to the bitcoin block chain technology, transparency, bitcoin transactions can be traced, and 70% mills in China, which is from the source of regulatory bitcoin provides convenient conditions.
After the establishment of the bitcoin currency, all around bitcoin financial services can also be carried out from the underground to the ground, must accept the financial supervision, on the one hand can promote the development of bitcoin peripheral industries, on the other hand can also be used as a part of financial inclusion, so that more people can not enjoy the traditional financial services benefit at the same time, the whole industry will also be incorporated into the regulatory perspective, it has played an active role in maintaining financial stability.