Monday, April 8, 2013

Bitcoin Augurs Global Rule of Organized Crime

 The Internet currency Bitcoin was supposedly invented by the pseudonymous Satoshi Nakamoto in January 2009.

It is not issued by any central bank or authority but is based on an algorithm and has come into increasing use to make electronic payments for all kinds of goods and services; it is also traded against the US$ on the Gox exchange based in California.

What makes Bitcoin more than a curiosity is that it seems to be seeding a new incarnation of the global money laundering system that Britain built as its Empire dwindled in the second half of the 20th Century.

That system, centered on London and run through some 70 “tax havens” strung around the world, has been under increasing pressure from regulators in the United States and Germany. The leak last week of an enormous trove of data on some 250,000 secret accounts held in tax havens is the latest sign that it cannot survive.

However, with an estimated $30 trillion in assets belonging to elite and criminal groups in countries around the world, the global black market is unlikely to disappear. Any vanishing act will be into the vaporous realm of the Bitcoin, and the effects will be dire indeed.

Just for starters, there is the prospect that the Bitcoin as the currency of the global underground will unseat the US$ as the repository of national reserves. That process would accelerate to light-speed if an opportune "leak" were to reveal that "Satoshi Nakamoto" is a high placed British Darth Vader masterminding an Empire Strikes Back scenario. Pointing in that direction is the debut of Bitcoin just as the United States Federal Reserve led Western central bankers into the massive "monetary easing" that staved off immediate disaster in 2009 but undermined the long term viability of the $ as the world's reserve currency.

Governments can try fighting such a disastrous progression of events with new rules and regulations or by subverting the Gox exchange, but given the range of elite groups invested in the underground economy nothing less than closing down the Internet is likely to work.

The only other alternative will be for the 99% to organize at the community level to insulate their families and homes from the Criminals Without Borders regime augured by the onset of what will, at some point, probably be dubbed the Britcoin.

1 comment:

Anonymous said...

Heya i'm for the primary time here. I came across this board and I to find It really useful & it
helped me out much. I hope to offer one thing again and aid others
like you aided me.

Look at my page :: BTC Robot - -