Why Bitcoin will not be the only cryptocurrency

Traditional currencies are unsuited to use Bitcoin today but not enough to cover all needs. Different needs and different uses will cause the spread of different crypto-currencies.

The Internet of today is characterized by a multitude of uses, in particular a multitude of ways to communicate, themselves made possible by a multitude of tools.

It reacts to the news on Twitter. We share his photos on Instagram. It publishes very short videos on Vine, longer videos on YouTube, videos of any length (but dirty) on YouPorn, and live video stream on Meerkat. We are looking for ephemeral ass plans Tinder, but the soul sister on OKCupid. On balance links on Reddit, but those stores we want to keep on Evernote, and those we want to emphasize on Paper. Almost everything that could be done with a single tool, but it is not. Each type of use, or even microwave use, is a dedicated tool.

And this is even more true when it comes from person to person communication, now uses segmented into the requirements of different communities: we talk with family about WhatsApp, Viber with his family, with potential employers on LinkedIn with work colleagues on Slack, with strangers met on the eve Facebook …

The email might have been the means of universal communication (and has been for a while), but it has been complemented by a multitude of tools, platforms and protocols, preferred by surfers. However, the email has not disappeared. It remains the simplest way to initiate contact, verify his identity or to subscribe to newsletters. But it proved insufficient to handle the multitude of uses have emerged in the last ten years on the Internet.

I see no reason than it is not so for the money.

Rigidity and constraints

Until now have a single currency for everything, like the euro or the dollar, proved practical. But the constraints inherent in the means of payment and current financial networks have reached their limits, while new uses have emerged with the democratization of the Internet.

While electronic money largely dominant for decades, many things are not possible with the money in its present form, or are too heavy to be implemented to be relevant. If you just opened a blog, would you easily accept payments by credit card in order to market what you produce? Can we quickly send 100 € to someone in another country, without paying prohibitive cost and without leaving home? Can we sell someting worth a few cents?

It also seems absurd to me, basically, think of only one type of currency can be adapted to such distinct purposes, and constraints in essence also different, as can be the purchase of an apartment a million or a piece of music on the Internet at € 0.29.

Added to this are the uses that are not currently possible with traditional currencies. Encourage an unknown surfer by a few cents as a tip sent instantly via Twitter, buy a book for 5 euros directly from its author (and securely to both parties), playing on an online site without provide countless personal data or send the electronic money to a person unbanked … none of this is possible with the Euro or the Dollar, or with any existing payment means, reputedly universal, available to these currencies.

And this is further amplified by the multiple walled gardens, built by large companies that now govern the global Internet. There are some days I discovered for example that it is impossible capita in Malta (a European country, two hours by plane from France) to buy music on iTunes to offer it to someone a living in France. Incredible (and unpleasant) experience of being stupidly, her blue card in hand, before the biggest shop selling music in the world to be told that it is impossible to buy. Unless they have a payment and a mailing address for each recipient country, you can not offer songs to your loved ones if they did not live in the same place as you. Absurd – and a complete break with the practices of today


Banking, and corporatist state monopolies have so far prevented the liberalization of money, channeling its flow through narrow pipes and according to procedures also centralized and rigid.

The crypto-currencies will fly all to pieces -. And we can only rejoice

Use a currency

It seems clear that many users have had enough of these walls, these banking and administrative burdens, these draconian constraints and so little respectful of our private lives and our personal data. often forgotten, with few exceptions, the vast majority of crypto-currency, starting with Bitcoin, were created by individuals, not businesses. What are Internet users, in so doing, calling for the establishment of new tools, better adapted to their needs than are the traditional tools.

Bitcoin solves many problems. It removes unnecessary intermediaries (and related costs), ensures the separation between money and personal identity (but not 100% anonymous) and reorganizes the circulation of money and financial flows (by dispensing with any centralization). But for powerful and versatile it is, Bitcoin does not do everything and, by construction, some of its features will prevent to generalize for certain uses. In particular, the time of confirmation of Bitcoin transactions (a few minutes) prevents its use in cases where the transaction has to be almost immediate (within seconds), a highway toll booth, for example.

The democratization of electronic currencies principle will bring out many alternative currencies, which are each well suited to specific uses. These “altcoins” also have also the advantage of providing solutions to some of the limitations of Bitcoin.

It is therefore likely to impose own currencies for different types of use. We will have crypto-currencies devolved to social uses, to send very small amounts between users. One or more other currencies are only used to make purchases from purely anonymously. Some currencies will be acclaimed by players online, both within existing games (prizes, goodies purchases, add-ons …) as a means of exchange between players from different communities. It is even likely that some currencies will be required on specific niches, like PotCoin only used by medical cannabis users.

For the same reason I use email to communicate with my professional relationships, Skype to talk with my family, Facebook to speak to my friends or local knowledge, Twitter to follow the news and share what me looks interesting, and a dozen other social tools and forums to participate in specific communities, I already use different currencies to suit my individual needs. For shopping online, I try whenever possible to use Bitcoin. For a more social use, I have chosen for now Reddcoin , which I use daily to send or receive tiny amounts exchanged with others. And for investments or long-term investment, I rely on NXT .

Bitcoin is the currency of tomorrow that email is the internet today. The email is somehow the “base layer” of electronic communication, complemented by a multitude of other tools dedicated to different types of communication. Bitcoin is a universal way to pay, buy and exchange money, which will be suitable in 75% of cases. But, in addition, will develop other solutions, supported by other crypto-currencies that Bitcoin better suited to cases and specific needs.

Bitcoin and alternative crypto-currencies will not replace traditional currencies, but it will superimpose, increasing opportunities to infinity. The single currency era is over. Money becomes multiple and plural, as are Internet users, their needs and their uses.

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