There is a lot of negative press about Bitcoin flooding the mainstream media. It isn’t the first time disrupting technologies have come under intense fire from entrenched special interests. Take a look at a few doozies from days gone by.
In 1876 Western Union considered buying the telephone patents from a near bankrupt Alexander Graham Bell. Company officials turned it down saying, ”The idea is idiotic on the face of it. Why would any person want to use this ungainly and impractical device when he can send a messenger to the telegraph office and have a clear written message sent to any large city in the United States? We do not recommend its purchase.” I wonder if Western Union is saying the same thing about Bitcoin?
In 1948, Mary Somerville, pioneer of radio educational broadcasts — “Television won’t last. It’s a flash in the pan.” Replace television with Bitcoin and you have the headline of dozens of articles in the mainstream media over the past twelve months.
In 1977, Ken Olson the founder of Digital Equipment Corp (DEC) — “There is no reason anyone would want a computer in their home.” DEC, which is now defunct, was a leader in mid-sized computers in the seventies before being run out of business by the desk top in the eighties. It was a great company but they ran out of vision; and faster, cheaper better products dissected and stole the market from them. Just like what might happen to Western Union?
Bitcoin is going to disrupt the financial sector and will threaten the fiat money service business model — Bitcoin will offer better service for less cost. This will be the economic war of the millennium — cryptocurrencies and the techies Vs. fiat and the central bankers.
Bitcoin believers will need to get used to being at war and we are going to take hits because those being disrupted will not play nice. If it makes you feel better, the WW2 bomber pilots had a saying you should remember: “You don’t take any flak unless you’re over the target.”