Cryptocurrencies have only been around for a very few years, but nothing has had the fundamental impact that blockchain technology has had in such a short period of time.
History of Money
For thousands of years people bartered items and services before simple forms of currency was created. The early currency being made of pretty rocks and gems. Later coins would be invented where the value of the coin lay in the value of the metal it was made of.
It wasn't until the turn of the 18th century that money began to become intangible. A line in a ledger was as valuable as gold in the hand.
The digital age saw an amazing advancement in how money was made, stored, and moved. It was now possible to make and spend money without anyone actually coming into contact with any physical money.
If not for the abstraction of money provided by the digital age, cryptocurrencies may have never succeeded. But they have. Boy have they succeeded. CoinGecko lists the current market cap of cryptocurrencies at just over 500 Billion dollars.
How Cyrpto is Changing the World
This post isn't supposed to be a history lesson, but a discussion on the changes that cryptocurrency is making in the lives of people every day. So lets get on topic.
First I will discuss some of the big winners I see.
With most things in life, it takes money to make money. Big time investors who have bet on crypto have made billions of dollars. The rich do tend to get richer and crypto has made that exponentially easier for some.
Unlike programming for a firm where you get a wage and that's it, with crypto projects, the developers are more like partners. Most white papers discuss the distribution of the cryptocurrency and a significant portion is normally dedicated to the developers.
One of the things I like about Hive and other social reward platforms is the impact they have on some of the poorest people in the world. Multiple times I have read posts from people who say they had made more on their blogging in a week than they had made in a month working in their country.
While the average average Joe probably doesn't even know much about cryptocurrancy yet, many of us joe-six packs have discovered it. Those of us who have are learning how to make a nice little side-hustle earning crypto.
Cryptocurrancy is a "disruptive" technology because it is upending the financial world. All disruptive technologies ahve losers and crypto has some big losers.
Banks could be the odd man out if crypto technology really takes over. Who needs a bank when you can store your life's savings on the blockchain. Loan's? DeFi has you covered.
Much of the upper echelon of the corporate world is held by lawyers. But read any white paper out there. Where are the lawyers? The fact that most crypto project leaves no real entity to sue means there is little need for lawyers. What do they call 100,000 unemployed lawyers? A good start.
Governments around the world are funded by taxes. Crypto makes it harder for Governments to track and thus tax the movement of money. Governments are doubly hit because cryptocurrancies are opening the doors to leave FIAT which will ultimately result in higher borrowing costs.
Cryptocurrency is changing the world we live in every day and it is only getting started. There are going to be winners and losers and if you are reading this post... you are probably going to be a winner.
Happy Monday all! Till next time, Cheers!
PS. Leave a comment and tell me how crypto has changed your world.
PSS. Don't forget to upvote and follow!