Some people seem to say they know who the creator(s) of
bitcoin is/are due to conspiracy theories. In Japanese, “Satoshi” translates to
“clear thinking,” “quick-witted,” “wise.” “Naka” can mean “inside” or
“relationship,” while “moto” is defined as “origin,” “the cause,” or “the
foundation or basis.” Because of these translations, there are people that
believe bitcoin was created by the CIA (Central Intelligence Agency). There are
even conspiracy theorists that believe four companies were behind the creation
of bitcoin—Samsung, Toshiba, Nakamichi, and Motorola—whose names, when put together,
make up “Satoshi Nakamoto.”
The truth remains, however, that bitcoin is the brainchild of
a mysterious, unknown person or group known as “Satoshi Nakamoto” and that to
this day, nobody knows who the entity behind bitcoin is.
Bitcoin cannot be used to purchase anything of real value.
Bitcoin can actually be used to purchase anything in the world as long as it is
accepted by the seller. Bitcoin is a currency used by millions of people
everywhere, thus making entry to the global economy more accessible.
Most people say bitcoin is a “decentralized” currency while
many others argue otherwise. This is because four mining entities control more
than 50% of the hash rate. Regardless of whether or not you believe bitcoin to
be a decentralized currency, it has unquestionably been built on a distributed
system.
Bitcoin itself has no value. You might hear that bitcoin is a
hoax, that it has no intrinsic value, and is not backed by the dollar or by
precious metal. But wait a minute—how about our government-issued paper money?
What’s backing our fiat currencies apart from a central bank that has complete
control over how much money they can print?
With fiat currencies, governments can print an infinite
amount and inflate the value, which decreases our purchasing power and can even
lead to over a 100,000 percent hyperinflation, similar to what happened in
Venezuela.
After all, money has value simply because we believe it has
value. It could be shocking for you to discover that in the case of bitcoin, it
has value because it has been defined as both a type of commodity and a type of
currency. While it can be used to make purchases (currency), government
jurisdictions such as the IRS (Internal Revenue Service) may also treat it as a
property (which may make it taxable).
The United States does not support bitcoin. It might surprise
you to learn that the United States has the highest number of functional
bitcoin ATMs—even more than the total number of bitcoin ATMs in all the other
countries of the world combined.
Bitcoin is just an idea. If bitcoin were just an idea, it
would not have value. At the moment, billions of dollars of investment ride on
bitcoin. Moreover, what adds to the value of bitcoin is that there is a finite
and limited supply of 21 million bitcoins.
Bitcoin is a scam or bitcoin and MMM (Mavrodi Mundial
Moneybox) are the same. Bitcoin is open, decentralized, and borderless. It is
not a company and is not owned by anyone. It’s unfair and illogical to blame
bitcoin for the existence of pyramid schemes. If you understand the technology
behind it and how it works, you’ll know that bitcoin has no pyramid structure.
A lot of Nigerians who fell victim to the popular Ponzi
scheme “MMM” were advised to invest in bitcoin, as many people were converting
their cash into bitcoin during that time. These people invested in the Ponzi
scheme with high hopes of exorbitant returns. However, the capital invested was
lost and so was the ROI (return on investment). As a result, the victims
readily took to social media calling bitcoin a scam, when what really happened
was that the MMM platform exploited bitcoin for their planned exit scam.
Bitcoin was not, is not, and will never be a scam.
Bitcoin is used for illicit activities. Initially, bitcoin
was enthusiastically taken up by criminals to conduct a range of illegal
activities, and it became popular in
black markets like Silk Road and other dark web proponents. That is, however, a
good sign and we’ll tell you why.
According to crime historian Jérôme Blanchart, criminals are
usually the early adopters of emerging technologies. For example, cars were
first used by bank robbers as a means of escape, while police—the good
people—chased the robbers on bicycles or horseback. As bitcoin gained a
significant boost in popularity, criminals have abandoned bitcoin for another
currency. A report suggested that at present, less than 1% of bitcoin
transactions are related to “illegal” activities. Interestingly, and perhaps
not surprisingly, there are a lot more activities, both legal and illegal, that
are conducted with fiat currencies.
Bitcoin is more traceable, trackable, and less anonymous than
cash, therefore making it a surprisingly safer option. Though its reputation
may need some repairing, there’s no denying that bitcoin is the currency of the
future that will change the way people manage their finances.
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