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Bitcoin Breaks $20k for the First Time, the Legend Continues

Kun Hu   Dec 16, 2020 14:54 2 Min Read


Bitcoin just broke $20,000 for the first time and reached a record high. This marks a milestone of an inevitable trend in money and finance. Bitcoin saves us from monetary enslaving, refines the money, reshapes the financial system, and more.

With Bitcoin, one does not need to rely heavily on trust-based money. Currently, the issuance of all fiat money is based on national credit and in hands of the central banks exclusively, as absolute power. As Bitcoin founder Satoshi Nakamoto once said,

The root problem with conventional currency is all the trust that's required to make it work. The central bank must be trusted not to debase the currency, but the history of fiat currencies is full of breaches of that trust. Banks must be trusted to hold our money and transfer it electronically, but they lend it out in waves of credit bubbles with barely a fraction in reserve. We have to trust them with our privacy, trust them not to let identity thieves drain our accounts. Their massive overhead costs make micropayments impossible.

Now, the Bitcoin market cap at around $380 billion; the gold market cap is around $9 trillion; the US national debt has surged above $27.44 trillion and we don't see any reversal signs.

As a new money form, Bitcoin's movement and township are guaranteed only by the private key, removing the need for a guarantee by financial institutions like banks. This is the first time in human history that the ownership is absolutely in hands of the owner.

Bitcoin also provides a new money movement system, simple, concise, and yet powerful, that is completely independent of the old SWIFT network.

With Bitcoin and Ethereum and other blockchains, it is possible to store assets and value on blockchains, futures removing the reliance on "trusted third parties". This guarantees "private property" by technologies besides laws, further enhances enforcement of the constitution.

With more and more people get familiar with bitcoin and more institutional investors joining in, a new monetary system independent of any governments and a new Wall Street are forming. What follows the monetary and financial system that bitcoin has changing are also our thought, new trust machine-based social structure, and more. The miracle is continuing and the sky's the limit. 


Image source: Shutterstock

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