The Bitcoin Freedom Festival in Uvita, Costa Rica was a one-of-a-kind event that I had the pleasure of attending from January 18th to 20th. With over 30 speakers, it was a unique gathering that left a lasting impression on me. While I cannot cover every session, there was one panel that stood out to me, featuring indigenous women who spoke through a translator. During the final morning, they shared two statements that perfectly captured the essence of the festival. The first was that they were guided by the Great Spirit to be there on that stage. The second was a powerful reminder to always speak to that which gives us energy, whether it be the wind, water, or trees. These ideas may seem foreign to those who are fully immersed in their screens and disconnected from nature, but they hold great significance for those who understand the importance of our connection to the natural world.
Bitcoin: The Natural Money
One of the panel members described bitcoin in a way that I had never heard before. She referred to it as the natural coin or “natural money.” It was a moment of clarity that hit me like a bolt of lightning. “Bitcoin is natural money.” Did she really just say that? It may seem like a simple statement, but it holds a profound truth. Bitcoin is not backed by nothing, as some may claim. It is backed by the energy that is required to mine it. This energy comes from natural resources such as running water, methane gas, hydrocarbons, wind, and solar power. Without these resources, there would be no bitcoin. This makes bitcoin a truly natural form of money, unlike any fiat currency or top altcoin.
Fiat: The Antithesis of Natural Money
When we compare the production of natural money to the creation of fiat currency, the stark contrast becomes clear. Trillions of dollars can be created out of thin air in a matter of seconds by central bankers or those in privileged positions. This is the antithesis of natural money. Fiat is artificial, while bitcoin is natural.
Natural Money, Not Bitcoin
While the term “bitcoin” may be familiar to many, it has also been used as a derisive term by those who oppose it. This has created a negative narrative around bitcoin, making it difficult for some to approach the concept with an open mind. However, the term ”natural money” is much more approachable and neutralizes the attack surface on bitcoin. It also reduces the attack surface by bitcoin’s opponents, as it is much harder to attack something that is natural and of the people. Natural money is the first form of money native to the internet, and it is fueled by natural resources. Who could possibly oppose such a concept?
Call to Action
As the festival came to a close and we gathered around a bonfire on the beach, I shared the wise words of the indigenous woman with my fellow attendees. I invite you to consider implementing a “soft fork” in your use of language and start referring to bitcoin as natural money. This term resonated with many at the festival, and I believe it has the power to spark curiosity and open minds. Let us honor the wisdom of this indigenous woman by spreading her message and referring to bitcoin as natural money. As a gesture of respect, you can even use the hashtag #naturalmoney on social media to show your agreement.
This is a guest post by Mark Maraia. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.
Bitcoin or fiat currency, which of these two is the real deal? This is a hotly debated topic that has captured the attention of investors, economists, and the general public in recent years. The rise of Bitcoin has caused a stir in the financial world, with some heralding it as the future of money while others remain skeptical. In this article, we will take a deep dive into the differences between Bitcoin and fiat currency to discover the truth and determine which one is the real deal.
First, let’s define what Bitcoin and fiat currency are. Bitcoin is a digital or virtual currency that operates on a decentralized network called the blockchain. It was created in 2009 by an unknown individual or group using the name Satoshi Nakamoto. On the other hand, fiat currency is traditional currency issued by governments and backed by the faith and credit of the government. Examples of fiat currencies include the US dollar, Euro, and Japanese Yen.
Now, let’s compare Bitcoin and fiat currency based on some key factors.
1. Decentralization
One of the main selling points of Bitcoin is its decentralized nature. This means that it is not controlled by any government or central authority. Instead, it exists on a distributed network of computers, and transactions are verified by miners. This decentralization ensures that no single entity has control over the currency, and it is not subject to government manipulation.
On the other hand, fiat currency is centralized as it is controlled by governments and central banks. This gives them the power to manipulate the supply and value of the currency. Governments can also freeze accounts and impose restrictions on the use of fiat currency.
2. Supply
Bitcoin has a finite supply, with a maximum limit of 21 million bitcoins that can ever exist. This ensures that the currency cannot be devalued through inflation, as is the case with fiat currency. The supply of fiat currency, on the other hand, is not finite and can be increased or decreased by governments to control inflation.
3. Transaction speed and fees
Bitcoin transactions are fast and relatively low-cost, especially when compared to traditional banking systems. This is because there are no intermediaries involved, and the peer-to-peer nature of Bitcoin eliminates the need for third-party verification. On the other hand, fiat currency transactions can take days to complete, and fees can add up, especially for international transactions.
4. Security and anonymity
Bitcoin offers a high level of security due to its use of advanced cryptography and the blockchain. Transactions are verified by multiple computers, making it almost impossible to tamper with the records. In terms of anonymity, Bitcoin has a pseudo-anonymous nature, as transactions are recorded on the blockchain with no personal information attached. However, it is still possible to trace transactions back to individuals in some cases.
Fiat currency is less secure, as it relies on centralized banking systems that are vulnerable to hacking and fraud. It also offers less anonymity, as transactions are tied to personal bank accounts and can be easily traced.
5. Volatility
The value of Bitcoin is highly volatile, with sharp price fluctuations that can occur within a short period. This makes it a high-risk investment and can be challenging for merchants to accept due to the uncertainty of its value. On the other hand, fiat currency is relatively stable, with its value being controlled and regulated by governments and central banks.
So, which is the real deal between Bitcoin and fiat currency? The truth is that both have their advantages and disadvantages, and it ultimately depends on the individual’s needs and preferences. For example, those looking for an investment with high potential returns may prefer Bitcoin, while those who prioritize stability may opt for fiat currency.
In conclusion, Bitcoin and fiat currency are both valid forms of currency with their unique features and functions. While Bitcoin offers decentralization, security, and fast transactions, fiat currency provides stability and is widely accepted. It is safe to say that both will coexist and complement each other in the future, rather than one replacing the other. As always, it is essential to do thorough research and consider personal financial goals before making any investment decisions.
