- Posted October 22, 2013 by
Bitcoin surges; Fed Reserve Runs Scared
The real question isn’t where Bitcoin is going. That should be crystal clear by now, and if it’s not you haven’t been paying much attention. It is the future. It will become the new gold standard of money. It’s better in just about every conceivable way than government backed currency, especially the United States dollar. That sounds particularly bold, but rest assured it’s not. The real people who are scared to death of Bitcoin (and like alternate coins) is The Federal Reserve. The banking cartel that runs this country is scared to death of this new currency because it threatens not just their power, but their very livelihoods.
Let’s take one step back and make sure we’re all on the same page. It seems most Americans are somehow completely unaware that the Federal Reserve is NOT a part of the United States government. It is NOT a Federal institution despite it’s name. It’s actually owned and run by a secretive cartel of banking executives. Every single United States dollar that comes into existences does so with interest. Meaning, it is literally impossible to every pay off debt. There is more debt than money that actually exists. It’s what Andrew Jackson conquered and what Woodrow Wilson would later call the biggest mistake of his life. The Federal Reserve has held the United States government, and it’s populace hostage since 1913.
The Bitcoin breaks those chains in a way that is out of the reach of the most connected and powerful groups, organizations and individuals in the entire world. The reason these entities are trying to crush Bitcoin isn’t the illegal activity that happens with them. Google search Cartel Cash and click images. More United States dollars are involved in drugs, trafficking, arms dealing, etc. than Bitcoins could ever dream to. This Silk Road shutdown is a sham. It’s propaganda. If you doubt that, I write somewhat extensively about this as have many others, do 5 minutes of research and you’ll see. Bitcoins are created in a tech-nerd way, by using computers to solve math which is called mining. There is no interest on the creation. The value of the coin is based solely on the demand of them met with the scarcity. No government can interfere. SEC is completely powerless and it’s almost funny to see them trying to wrap their heads around how helpless they are. This is bad for all of the 1% people. It gives freedom to the masses.
This is still the infancy of digital currency. If you were one of the early adopters you are probably now a multi-millionaire. There will be billionaires in digital currency, and I’d contend in the next 10 years, we will see the first trillionaire, and it will be in digital currency. Bitcoins are expensive. It didn’t used to be that way. Back when I first got into the game, you could buy a single coin for under $6. Bitcoin will stay volatile until Mt. Gox finally collapses which will capsize the market (temporarily) and then once it stabilizes and returns from the brink, it will be a stable currency. Each day new startups come into the market to make them easier to use, to trade, to spend, to make tangible for real-life use.
If you are wondering what’s next, the next thing that will go big, the answer is Litecoins. Litecoins will be entering the big boy exchanges, and will likely increase their value by more than 100% when that happens which will create thousands of instant millionaires. Right now they are trading around $2 USD. Projections put their price at $25-$40, and depending on what happens with Mt. Gox and it’s coming collapse, it could soar to $100 in the aftermath. If you’re wondering what’s going to make someone a billionaire or a trillionaire, the answer is what’s just arriving. Bitcoin market cap (we’ll use that term for simple understanding though not entirely accurate) is just over $2B with about 11.89M coins in circulation. Zetacoins is little more than a month old. There will be 160M coins by end of the year, and that’s going to be about it. Right now they are worth less than a penny. In 5 years, it will be your every day trading currency, and truly the one the Federal Reserve should be worried about because it will replace the dollar. The Bitcoin will become like Platinum, Litecoin will become like Gold, Namecoin and Feathercoin will become similar to Palladium and Silver. I say this based on quantity, interest, and speculation from someone who has been in this for a while. The Zetacoin will become worth somewhere between $0.75-$2 USD. It will make transactions easier because you won’t be dealing in fractions of coins. Wealthy people and investors will buy up and sit on the other coins. I would not be surprised in 5 years to see Bitcoin worth $2k per Bitcoin.
That’s not as crazy as it sounds. The mining we talked about earlier is about to hit a point where it’s no longer profitable for people to do, thus leaving a shortage of almost 45% of total coins until technology is able to catch up. For a while, Bitcoins are going to surge through the roof. For $10 right now you can buy roughly 4 Litecoins or about 20,000 Zetacoins. You can do the math on the risk v. reward if you sit on them. If someone bought 20,000 bitcoins for under a penny when they first came about, they’d have $4M for under $10. I’d strongly advise going to Bter.com or BTC-E.com, or Cryptsy.com and throw $20 on Litecoins, and $20 in Zetacoins. Don’t watch their market price like you would a stock price. Take your username and passwords, save them somewhere you won’t forget them. In a year or two, come back and take a look. Enjoy that sum of money. Go pay off some debt from those dollars. When you do, they’ll probably be taking digital currency for payments.
Here is something else that may interest you. The Federal Reserve has to print new money all the time. They pass that cost on to us. They design these new bills because about $300M per year is counterfeited. You cannot counterfeit digital currency. North Korea can try as they like, but it’s not possible. More reasons to like digital currency than you’d believe at first glance. Tired of paying interest and transaction fees to banks? Those don’t exist in Bitcoins as well.