The reason Bitcoin is distinctive is not because it is a virtual currency but because it is a proof of the idea that a decentralized, digital currency is undeniably achievable. Nevertheless, the Bitcoin is blemished in a number of ways, but it proves the opportunity that virtual currencies can exist and might succeed in the near future. Trendsetters just have to learn from the challenges of the Bitcoin and build better digital currencies devoid of the flaws of the Bitcoin. Evidence points to the datum that in the near future, Bitcoin and other forms of virtual money will play an increasing role in the global payments arrangement.
Studies show that they are being used in North and South America, Europe, Africa, and Asia. The number of companies accepting Bitcoin is continuously rising and major players like Expedia, Paypal, and Word press are also accepting the virtual currency. According to the “UseBitcoin.info”, more than 2000 businesses worldwide are using the Bitcoin. A major concern with cryptocurrency is that of hacking, as with any software, but the Bitcoin has been untouched by this. All attempts at hacking the coding of Bitcoin have all failed although attempts at hacking Bitcoin exchanges and Wallets have been more successful.
Several individuals are buying Bitcoins as an investment option, hoping they’ll increase in value. There are numerous online “Bazaars” that permit people to buy and sell Bitcoins using different currencies. Coin-base, in San Francisco, runs the world’s largest Bitcoin exchange and operates 2.8 million Bitcoin wallets globally.
It is possible to do complex financial trades with Bitcoins, such as futures, options, and swaps. The price of Bitcoins on online exchanges has fluctuated widely, which has led to speculation in the digital currency.
According to its inventor Nakamoto, as long as the total computing power of honest nodes using the Bitcoin network outweighs the computing power of a group of attackers or hackers, then the network will remain unharmed. This does not mean that the Bitcoin software will not ever be hacked as someday; a genius like Nakamoto may just successfully crack the Bitcoin software. Conclusively, the Government of India has to see the Bitcoin as an opportunity and use this opening to improve the social and economic conditions of the country. The way the Internet symbolized an opportunity is also how Bitcoin is an opportunity itself. And according to the several supremacies, increases financial access and break down several socio-economic barriers. Though presently, the Government of India does not have legislative rights over the Bitcoin, if it does have such in the future, it should not legislate for the sake of regulating it.
Such regulations will only thwart the business transactions and lead to restraints, rather than controlling the business and leading to improvements.
Block-chain ledgers back the Bitcoin. All confirmed transactions are included in the blockchain. This way, Bitcoin wallets can compute their spendable balance and new transactions can be verified to be spending Bitcoins that are actually owned by the spender. The integrity and the chronological order of the blockchain are enforced with cryptography.
The Bitcoin is very dynamic and is here to stay and due to this, the government should also take into account the technological advancements that the economy is passing through. Legislations should be passed keeping in mind the E-future of the country.
About the Author
Pragun Akhil Jindal is an Indian Author, Speaker, and Entrepreneur. He is noted for his work in Black Money and in the Finance field. Pragun has been writing since the age of 19 and has presented papers, articles and solutions in various fields like Black Money, Curbing Tax Evasion, and Financial Literacy in the youth Jindal authored The Black White & Grey: Recoloring The Rupiah, which was published by Money Worries In August 2016. The book was listed in the top 5 books on Amazon in the Public Administration & Finance categories for close to 2 months after publication. He is based out of New Delhi and is a director in one of India’s most admired tax research company and PE fund – Jindal Equity Research Limited.