11 Mar '13, 11am

Bitcoin – the future of money?

Bitcoin is a massively disruptive innovation. The key is in the first sentence of the definition above – Bitcoin bypasses central authorities and issuers – meaning it replaces governments as the issuers of money. If it becomes widely used it will undermine the power of many of the economic policy instruments governments use today, including setting interest rates and quantitative easing. By now you are probably wondering how it works. The short answer is that the inventors of Bitcoin developed an algorithm which determines how many Bitcoins are in circulation and put in safeguards to prevent third parties abusing the system by creating fake Bitcoins – there is more detail on

Full article: http://www.vccircle.com/blog/2013/03/11/bitcoin-%E2%80%93...

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Bitcoin – the future of money?

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