bitcoinsberlin.com / Philip Lucsok / 2014/07/07
As the mathematics philosopher Ludwig Wittgenstein said, “‘Concept’ is a vague concept,” and agreeing on a definition is just the start. Critics have argued that Bitcoin cannot be considered money, while Bitcoin evangelists claim its features make it a superior form of the money we’ve known.
The standard definition accepted by economists of money requires three properties being a medium of exchange, astore of value, and unit of account. These three properties of money (arguably) sufficiently define the Dollar, Euro, and all other currencies the world has been using, but should it define the money that changes the rules?
Medium of Exchange
The work that payment processors such as Bitpay and Coinbase have done to get tens of thousands of merchants to accept Bitcoin is astounding. When companies like Overstock.com and Expedia start accepting Bitcoin, it becomes increasingly easier to convince your neighbors to accept it.
Bitcoin is accepted all over the world, and our startup All4Btc allows people to spend bitcoins on anything they want, regardless whether your favorite shop accepts bitcoins. It can be exchanged from anywhere, to anywhere, for as little or as large of value as you want, going above and beyond what dollars can do as a medium of exchange.
Store of value
“It has to hold its purchasing power over time.” I wish I could predict the future, and I’m sure the people in Argentina, Zimbabwe, and Weimar Germany wished the same (see: Hyperinflation).
All Bitcoin needs to do to is remain at the current exchange rate or increase in value, and since past performance is our only measure, Bitcoin is young but booming. - READ MORE