Now that Bitcoin has, for the umpteenth time, risen again against the US Dollar after a market correction, the financial elite and establishment’s regulatory community is starting to worry about Bitcoin. It seems to be a digital remix of the movie “Rocky”, where it gets knocked down, but will continue to rise, until it has reached its goal of a psychological parity, if not outright victory. Yesterday alone, Bitcoin’s value rose over 20%, at one point crossing $450 US Dollars, before settling in the $430 range.
With many mega-corporations already in the Bitcoin fold, including ESPN, Paypal, Bloomberg LP, Yahoo Finance, Dell and Dish Network, it is highly unlikely an outright ban in the U.S. is in its future. There are also legal precedents like the Citizens United decision, essentially equating the use of money to an expression of free speech. At least in theory, the U.S. does still respect the freedom of speech, in written law, if not in practice. The encroaching sunlight of financial freedom that Bitcoin represents to many of the non-financial elite worldwide is troubling to the status quo, of which there are much powerful special interests invested in protecting. Sunlight to a vampire, if you will. So the swift annihilation of Bitcoin, a la Russia or Bangladesh, is not coming anytime soon. What to do?
Stefan Molyneux has an idea, playing Devil’s Advocate, on how Bitcoin may yet be derailed from spreading its mission of freedom and sound money to the masses. This toxic cocktail is already underway, with mandates like the infamous BitLicense popping up in New York, from un-elected, unaccountable pawns like Ben Lawsky. To put things into proper perspective, Stefan Molyneux uses the following analogy:
Is the Western Establishment plotting to rig the system against Bitcoin? Stefan Molyneux sees a future conflict of interests.
“They’re not going to try to take out [Bitcoin’s] revving engine with an airstrike. They’re just going to try to throw little bits of sand in it, little bits of sand in it, little bits of sand in it, until most people find it too difficult and cumbersome to use. That is a great danger. My concern is if they (the Establishment) make it very difficult, NOT IMPOSSIBLE, more and more difficult for honest, law-abiding citizens to use Bitcoin, then, of course, it will displace itself into the black market and grey market. Then they can say ‘Well, we told you it would be used for crime! Let’s get back to fiat currency!’, which is never used for anything destructive.”
Think of it in terms of boxing. The U.S. Dollar is the reigning champion of currency, Rocky Balboa in “Rocky III”, and Bitcoin “Clubber Lang”. Lang is the young lion, ready to show what he can do, and getting ready for a shot at the title of preferred currency for the masses.
Now that the dollar is weaker than it has ever been since the late 70’s, the establishment would rather not have the weakened champion fight Bitcoin directly, and fairly. So, they will set up many manufactured obstacles for users and the public to jump through, to make Bitcoin more unappealing and cumbersome, and protect their champion as long as possible. The champ will take it easy, and not be directly challenged by anyone that can dethrone it. So the dollar is constantly sheltered from reality that its day has passed, and young Bitcoin is kept down by the special interests.
“Because the beating you got from Apollo (2008 financial crash) should’ve killed you. It didn’t. It was my job is to keep you winning, and to keep you healthy. – Burgess Meredith as Rocky’s manager “Mickey” in “Rocky III”
Far be it for me, or Stefan Molyneux, to accuse the Establishment and Special Interests of rigging a financial system to keep things running just as they are, which is rather poorly and against the public’s best interests. The funny part is they hide behind “protecting the consumer from fraud” as the main reason for regulating Bitcoin or anything else innovative and superior in design. As if the current system is not fraudulent? Did the current regulators do their job when banks “too big to fail” ran amuck, and almost collapsed the country’s financial network. Who went to jail then? What changed since? The U.S. is in a much worse position now than back then, and this will all come to ahead in the not too distant future. The rest of the world is wise to this shell game being played in Washington and Wall Street. Hopefully, you are too, as I have gone over this before in previous articles.
My advice for the Bitcoin community? Don’t be so eager to fight the Establishment and the US Dollar right now. Play the background. The Dollar can’t run from every fight, and there are plenty of adversaries, stronger than Bitcoin, that can take the fight to the Dollar directly. Then Bitcoin can come in and pick up the pieces. This little puppet show is coming to an end, and Bitcoin isn’t going anywhere. Patience is providence. Bitcoin’s time will come.
I don’t foresee Bitcoin being a national currency of the United States, much less a “global reserve currency”. Yet, it doesn’t need either to have great global value and strength for decades to come. The Internet does not hold any such titles, but it is the most revolutionary protocol ever, and it helps people the world over do things previous unimaginable. That’s all Bitcoin needs; to be itself. A tool for the masses.
Some countries won’t want it around, afraid of this beacon of light. Some will grab it as a brass ring, designed to uplift crumbling economies to new heights. It’s not for everybody, but it’ll be there when you need it. And depending on where you are, you may need it much sooner than you think.
Will the subplot against Bitcoin work for the Establishment? Is it destined to be pushed out of the U.S. by regulators, only to prosper elsewhere? Share above and comment below.
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Last modified: November 14, 2014 13:43 UTC