December 13, 2019

Jill Carson on Mainstream Adoption

Jill Carson stirred up quite some controversy saying: “By design, cryptocurrency does not solve mainstream problems”.

At the beginning of this week, there was an article published by Coindesk. With its catchy title “Cryptocurrency Is Most Useful for Breaking Laws and Social Constructs” the piece stirred up quite some controversy. In it, Jill Carson - a rather well-known female expert in the crypto scene - made some very expressive and meaningful comments.

One sentence we take issue though: “By design, cryptocurrency does not solve mainstream problems”. Carson explicitly states that “decentralized systems forsake scale, speed, and cost in favor of one key feature: censorship resistance”. We certainly agree with this but feel urged to add: Seeing Bitcoin as a mere cryptocurrency might very well lead you to conclude that it will not solve mainstream problems of scales, speed, and cost. But considering Bitcoin as a new financial infrastructure, where the slow and clunky censorship-resistant base layer is only the foundation to build an entire financial order on top, changes the view. In a Bitcoin powered financial order things would be naturally interoperable, which would most likely enhance scalability, and speed, while diminishing costs.

So in this regard Bitcoin as a new financial infrastructure would not only solve mainstream problems but just as much solve problems for mainstream people. What do we mean by this? As Bitcoin is developing into a new financial order, it will serve as an alternative to the world of today. With Bitcoin as a cryptoasset, there is something of great value that can be controlled outside the traditional monetary order. This way Bitcoin serves as a check on monetary experiments done in the traditional world. The sorts of experiments currently conducted by central banks ever more turn into a systemic burden mainstream people are afflicted by in many different perverse ways. With Bitcoin, a new option to potentially opt-out is emerging. If you do not consider this a mainstream problem-solving instrument, we do not know what else it should be.

Latest Articles

Social Consequences of Negative Interest Rates

June 26, 2020

Is Switzerland following in the footsteps of Japan?

June 18, 2020

Webinar on the Effects of Negative Interest Rate Policies

June 17, 2020

Webinar on the Japanification in Europe

June 9, 2020

Deflation and inflation - all at once

May 15, 2020

Swiss Finance Institute’s Webinar on Negative Interest Rates

May 13, 2020

Ultra-loose Monetary Policy and the Japanization of the World

May 7, 2020

Fed Chairman Powell: "We're going places."

April 30, 2020

COVID-19 and the Systemic Challenges of our Financial Order

March 20, 2020

Bitcoin: Security or not?

February 11, 2020
The latest in financial technology. 
Read