Economic Applications of Ethereum vs Bitcoin
We’ve heard the buzz around Bitcoin and their activist movement to separate the state from financial control and citizen oversight.Cypherpunks are activists advocating strong use of cryptography and privacy-enhancing technologies as a route to social and political change.
In the case of Bitcoin, they plan to achieve this by onboarding as many people as they can onto using the cryptocurrency. This has been done by widespread recruitment of new members, be it through mining, running a node or straight up buying the cryptocurrency.
Recently it has become more of a cult following than a revolutionary movement. The community is becoming increasingly more attached to ideological beliefs with a blatant disregard for reality. Bitcoiners expect the world to change it’s business processes and use the new cryptocurrency instead, blatantly ignoring a few important facts.Bitcoin can only be used as a Medium of Exchange. A unit currency used to trade with for services and goods between people. It failed as a currency, due to the limitations of Bitcoin’s architectural design and its Layer 2 scaling solutions. It’s not turing complete, meaning it cannot run any automated programs which could execute some kind of business/financial logic. Thought leaders change the narrative consistently to keep Bitcoin seemingly relevant. Grandiose notions of Bitcoin being a Store of Value or “Digital Gold 2.0” followed up its catastrophic failures. Store of Value is a dead end as it does not offer any economic relief nor does it bring about any significant changes, because of the aforementioned limitations. One thing’s for sure. It keeps Bitcoin relevant because there are political implications in a decentralized, immutable cryptocurrency. It’s a great aid to political refugees, law-evaders and anyone looking to freely transact and manage their wealth without anyone’s intervention. It is a nice cypherpunk tool, but d...