European Central Bank continues to develop ‘digital euro’ – IT Pro – News

The disadvantage of Bitcoin is that only the very technical people can run their own wallet. The painter who recently painted my wall here beautifully and with great craftsmanship, but who had great difficulty reading, will not succeed. Those people use an app + a central exchange but don’t really know what they are doing. They see a chart on your monitor and ask if you do crypto.

The decentralization of bitcoin is therefore only reserved for smart people, for the rest there is a central bankexchange, which are currently largely unregulated and often shadowy enough to suddenly be gone with all your money, or where you cannot exchange your coins because the exchange is not liquid enough.

In addition, bitcoins are the ultimate way to track every transaction ever. Every transaction is in the ledger and as soon as you can link a bitcoin address to a person, you can sift through his entire payment history (and if bitcoin ever becomes usable, you can be sure that the tax authorities would like to have your addresses). And if you then try to hide your transactions by routing them through many accounts, you are immediately suspected of money laundering.

The disadvantage that assets are yours and only yours has quite a few disadvantages that you do not mention, but I would like to mention them: Suppose a few criminals know that you have a lot of assets in bitcoin, visit your house and they have all your assets. Unlike at a bank, there are no security mechanisms, large transactions do not have to be reported and if the bitcoin is gone, you can no longer access it. The criminals may be a fringe case, but what will happen much more often is that people die without sharing their keys, or that relatives don’t know what to do with it and just ignore it.

In this way millions of bitcoins have already been ‘lost’, they still exist, but nobody can get to them and nobody can spend them, they are dead bitcoins. And the longer the coin exists, the larger the portion that is “dead” will become and the more valuable the “living” bitcoin is. Until the miners stop, inflation will hit hard. And you’d be crazy to spend bitcoin before that point, because so far, they’re only getting more valuable every year.

And bitcoins can also be easily borrowed to buy a house, for example, so I wouldn’t know what your last advantage entails, but that sounds more like a general rant than something that solves bitcoins.

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