The Guardian news daily reports that Bitcoin will be functioning well beyond the reach of the governments and lawand if Bitcoin, or a currency working in a similar way to it shows stability or a large user base, it could take cash flows forever out of the hands of the government – which every pro-democracy person wants.
Bitcoin has received supporting voices from the pro-democracy activists operating in countries run by autocratic regimes. Now, they can receive funds and operate more effectively which would have not otherwise been possible under the national currency of the country as it is regulated quite a lot.
The world has already seen the speculative nature of foreign exchange; however, the promoters of Bitcoins claim that the real transformative power of Bitcoin lies not in a speculative bubble, but in its potential to put currency outside of the control of governments, or law enforcement agencies.
The report published in The Guardian further reveals that there are various vulnerabilities associated with Bitcoins. For instance, attacks on the major exchanges shake people’s faith in the currency which is quite damaging for the future of Bitcoins. Similarly, a major sell-off could cause collapse.
The report also claims that the central infrastructure is creaking which in fact, is a major issue that Bitcoins facing. However, the report ends in a light note and claims that this is all irrelevant as Bitcoins could well overcome its current challenges to gain stability and scale.
The best part about Bitcoins according to the report is that Bitcoins have shown what a decentralized currency could do and getting wide acceptance around the world.