About 2 weeks ago I posted an article about Bitcoin, where I drew attention to its inherent weaknesses. No sooner had I done that than 2 problems emerged for these services:
1. A bitcoin wallet was hacked in Australia
2. A bitcoin exchange was hacked in Czechoslovakia
The problem I even raised was not even the foundation for the problem. The problem is that the exchange operators themselves can appear to be 'custodians', but once they have set up their systems, you would have to wonder why they can't just attack them themselves, as 'independent hackers'. They know the system; they dare I say, know how much traffic, or how much business they are doing. It would make sense for them if they realise:
1. We can thieve because we are anonymous
2. This system is destined to break down, so we need to 'extract' money and set it before others
This is the end of bitcoin in its current form. At some point in time we can expect a bitcoin exchange to be developed where the money is based on gold; where your electronic credits are redeemable for gold. That will not happen overnight, and there may well be some legal obstacles to prevent money laundering. Bitcoin - its going down. It has a problem with its business plan, as we alluded to in our YouTube post above.
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1. A bitcoin wallet was hacked in Australia
2. A bitcoin exchange was hacked in Czechoslovakia
The problem I even raised was not even the foundation for the problem. The problem is that the exchange operators themselves can appear to be 'custodians', but once they have set up their systems, you would have to wonder why they can't just attack them themselves, as 'independent hackers'. They know the system; they dare I say, know how much traffic, or how much business they are doing. It would make sense for them if they realise:
1. We can thieve because we are anonymous
2. This system is destined to break down, so we need to 'extract' money and set it before others
This is the end of bitcoin in its current form. At some point in time we can expect a bitcoin exchange to be developed where the money is based on gold; where your electronic credits are redeemable for gold. That will not happen overnight, and there may well be some legal obstacles to prevent money laundering. Bitcoin - its going down. It has a problem with its business plan, as we alluded to in our YouTube post above.
Asian property markets outperforming Japan Foreclosed Guide Philippines Property Guide
Profit from mining with Global Mining Investing eBook
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