Bitcoin is now facing a year-on-year loss in value as the cryptocurrency continues to decline. This comes as it is celebrating its tenth birthday. Ten years ago, Satoshi Nakamoto, Bitcoin’s anonymous founder detailed in a document how Bitcoin would proceed and why it was needed.
Almost all of his predictions were incorrect. All of mine were correct. In 2015 I published a book Utopian Capitalism. In it, I detailed where I thought Bitcoin was going to go. As I predicted, Bitcoin became just a valueless asset to be traded like a stock. Yes, it has a price, but no inherent value like a stock does. It merely exists as something that just fluctuates in price based only on the perception of the thing itself. In fact, its value can only be measured in USD or some other fiat currency.
Secondly, it never posed a threat to the USD as was predicted by many a libertarian. They claimed that the non-regulated or state-controlled element to the currency would allow it to undermine the USD. Some were even so bold as to claim that it would defeat it. Such was utter nonsense. The USD reigns supreme because it has the power of the US government behind it. Domestically it’s legal tender, it legally must be accepted as a form of payment. Internationally it has power as the world’s reserve currency.
The real death knell for Bitcoin was its inherently unstable nature. Currencies are regulated for a reason because markets are chaotic and do not follow the logic the free market fundamentalists think it does. The whole point of Bitcoin was to avoid government regulation because it is supposedly inherently bad. That lack of regulation is what caused Bitcoin to fail. This is the very cornerstone flaw in such libertarian ideas themselves.