One of the most revolutionary aspects of Bitcoin lies not in the bitcoins themselves, these digital fiat currencies, but the Bitcoin network itself which allows for simple fee free trading around the globe independent of a centralized monetary authority. This is not only huge for businesses and governments but for immigrants around the world working in foreign countries but still supporting their families abroad. Bitcoin essentially allows them to bypass middlemen like banks and wire transfer companies to get that money directly into the hands of their families.
Digital transactions like credit and debit cards already have a foothold replacing cash as the cost of using paper currency continues to grow and more and more people around the globe continue to favor digital and electronic payments. The growing use of the internet around the globe has also helped to accelerate this process.
During Bretton Woods the world used gold as the internationally accepted standard for converting their currencies, Bitcoin has many qualities similar to gold and many have taken to referring to Litecoin as the silver to Bitcoins gold.
There are still flaws however to Bitcoin and a new cryptocurrency or multiple will have to make up for its failings and as dozens of currencies battle for supremacy Bitcoin could very well be the myspace of digital currency but the reign of the digital currency has far from hit its peak and will likely lead to an international currency in at least an alternative to those currencies offered by central banks around the world. The international acceptance will lead the way to a new Brtetton Woods type model.
The acceptance of an international currency could also work to undermine the dominance of the $US which is currently the recognized backing currency for the IMF, OPEC and other groups. In recent years countries like Iran and Venezuela have worked to abandon the $ as the currency oil is tied to. The acceptance of an international currency could also lead countries to further diversify away from US Treasuries further tainting the greenbacks appeal.
We'd love to hear what you think. Please leave your comments below and share this article if you liked it.The digital currency bitcoin has become increasingly recognized and accepted by governments and businesses alike, as bitcoin becomes internationally accepted it increases it chances at becoming the worlds de facto international currency.