Bitcoin scores high in terms of ‘moneyness’ compared to other forms of money as it has some technical advantages and social inertia. In an interview with Bitcoin.com’s Humans of Bitcoin podcast, brilliant contrarian thinker Sean Walsh shared his opinion about cryptocurrencies and their place within the global financial system. The crypto investor believes decentralized digital money can utilize a greater percentage of human energy and help return our civilization to a more sustainable equilibrium.
Bitcoin Is Money, but What Is Money?
What backs Bitcoin, why is Bitcoin valuable, what is Bitcoin anyway – these are valid questions that mainstream market participants, Joe Sixpack on main street USA or China, are asking, early adopter Sean Walsh noted speaking to host Matt Aaron. “What I’ve learned is that people do understand Bitcoin. The confusing concept is money. Bitcoin is just a new kind of money you can use on the internet and on your phone. The question that matters is what is money,” Walsh emphasized.
Bitcoin is money because it serves its primary functions – unit of account, means of exchange, and store of value, stated the CEO of Hyperblock, a company that runs a large crypto mining center in Missoula, Montana. Besides, it also scores the highest against other forms of money which in terms of “moneyness” can be evaluated according to several key characteristics such as scarcity, durability, divisibility, recognizability, fungibility, and transportability.
During the first part of his interview, Walsh elaborated that Bitcoin has certain technical advantages and social inertia that would hardly dissipate. The contrarian also likes what he describes as the dual monetary system that contains both bitcoin core (BTC) and bitcoin cash (BCH) and thinks it’s similar to the historical bimetallic monetary systems that were pretty popular throughout the antiquity.