Paper Money and Coins, which is also referred to as Fiat Currencies was backed by gold in earlier years. In 1971 Jimmy Carter took the US dollar of from the gold standard. This gave the Federal Reserve the ability to freely print money at will and as such depreciate the value of money.
Bitcoin is about to disrupt the entire paper money system and (in my opinion) will cause the entire Bank System to collapse making the Fiat Currencies worthless. It is already taking away the flow of money from the fiat currencies into Crypto Currencies or Altcoins (Alternative Coins) at an astouding rate rate. For a visual representation of the flow of Fiat currency to Bitcoin visit http://fiatleak.com
In the following video, Andreas Antonopoulis explains why the Bitcoin will disrupt the Banking system and is a real threat for their monopoly.
Bitcoin is a Technology, Digital Currency and it is an International Network of Payments and Exchange that is Completely Decentralized. It does not rely on Banks or Governments. This invention is truly revolutionary. This is a Worldwide Social and Political Revolution in the making.
Bitcoin is Digital Money. It is money like Dollars or Euros but it is not owned by any government.You can send it from any point in the world to any other point in the world instantaniously, securely and for minimal or no fees at all.
Transactions as large as $ 150 million between two Bitcoin accounts has been recorded. This transaction happened in one second for zero fees. This transaction alone should let you realize how disruptive Bitcoin is to the International Banking Systems. This is just the beginning.
Bitcoin is a digital currency that came into existance in 2008 as an invention by a person called Satoshi Nakamoto. He published a paper where he stated that he found a way to decentralized network that could achive concensus (agreement) without any central authority.
Bitcoin is not a company or an organization. It is a Standard or a Protocol. It is not owned by anyone. It is operated by simple mathematical rules that anyone who participate in the Network agrees on. Through this simple mechanism, Bitcoin is able to allow a completely decentralized Network of Computers to agree on what transactions have occured on a Network. Essentially agreeing on who has the money.
If you want to know more about Bitcoin, how you can own and trade with it and much more, then Register for my free Online course below