Bitcoin

Bitcoin | aka World Reserve Currency “Died” Nearly 300 Times

Bitcoin has been reported to be dead several times in the past, but on the contrary, it is rising back stronger and growing bigger than ever to become the “World Reserve Currency”. At the time of writing, it has been reported dead 278 times. Let’s look at some of the famous quotes and statements by some prominent people and how they made a wrong judgment in predicting that Bitcoin will be dead forever awaiting the bubble to get burst.

Jamie Dimon calling Bitcoin a Fraud

Jamie Dimon calling “Bitcoin a Fraud” was one of the most famous Bitcoin obituary stories because he is the Chairman and CEO of JPMorgan – One of the four biggest banks in America and well-respected and highly followed personality in Wall Street. The moment he called Bitcoin a fraud and predicted the bubble to burst, the price dropped considerably in September 2017.

He also went one step ahead in warning his employees that they will face severe consequences if they were found trading Bitcoin. But he admitted the fact that his daughter has invested in the currency against his wishes. Many people panic sold their Bitcoins and the price fell considerably. In Cryptocurrency space, this act of selling at the bottom price is termed as “Getting REKT”. Many people got Rekt and the price of bitcoin rose again to ATH within few months. It also went ahead and made history by nearly touching 20k in December.

Later, Jamie Dimon regretted calling Bitcoin a fraud and admitted that the technology is here to stay. “Bitcoin Karma” won’t leave anybody, considering that recently JPMorgan was hit with a class-action suit for charging high fees and interest rates for customers buying cryptocurrencies using credit cards.

Lead Developer Hearn saying “It Failed”

One of the Lead BTC developers, Mike Hearn, announced that he is leaving his BTC development team and sold all his Bitcoins. He further announced that he will no longer continue in the project because “It failed”. Hearn argued with other developers over the “Block Size Increase”. The size of one block was “One MegaByte” and he proposed an increase in size to accommodate more transactions per second. Below are his exact words from the medium post.

“Despite knowing that bitcoin could fail all along, the now inescapable conclusion that it has failed still saddens me greatly,”

This was during 2015 when the price of one BTC was trading at $430 and it fell to $390 due to his statement. Many gave up and sold their holdings thinking that the currency will never recover and will go back to zero, rest is history.

Mt.Gox got hacked

Mt. Gox is a famous exchange in Japan launched in 2010. There were very few exchanges during initial years and Mt.Gox was considered the biggest exchange of that time handling 70% of total lume in circulation. In February 2014, the exchange announced that 850K bitcoins were missing and feared stolen. Then they found out that their exchange was hacked and lodged a complaint.

As a result, the price fell considerably and Bitcoin was again considered dead. As usual, it raised from the ashes like a Phoenix and currently it is moving towards the prestigious “World Reserve Currency” title.

China Exchange Ban

Chinese people are in the forefront in adopting any new technology. One can blindly invest in anything that Chinese adopt first. Likewise Chinese were dominating in global volume with 90% of the BTC volume coming from China during late 2016 and early 2017. China was trading 90% of the volume at the beginning of 2017 when the government started to crack down on exchanges. Many people were moving their Chinese Yuan outside the country using Bitcoin, and so to avoid capital flight, Chinese government made strict regulations and forced exchanges to follow KYC norms for new customers.

These things didn’t stop people from trading BTC, so the government took the decision of shutting down all the exchanges in the mainland China. People again declared it dead since major volume is getting generated from China. Governments and banks always fail to understand that “Bitcoin is Antifragile” that can neither be confiscated nor be banned completely. The price fell sharply since many panic sold and declared it to be dead. But this proved to be another “Crypto Noise” and the Chinese people continued to trade secretly in foreign exchanges and even trading now at the time of writing by using Wechat Mobile app and Telegram. All major exchanges moved outside China to Hong Kong and Korea and continue to operate. Chinese Ban has proved that currency cannot be banned or abolished since they are decentralized and operate peer-to-peer.

Andreas Antopolous always says 

“You can keep your country away from Bitcoin, but you cannot keep your Bitcoin away from your country”

The above are only a few samples were it was declared dead. There are hundreds of other incidents and events that also declared that “Bitcoin is dead”.  For example,  “There was a rumour that Bitcoin will head towards chain split before Segwit got activated“, “BCH forking from BTC and claiming to be real Bitcoin one “, “2X hardfork in November that was dropped at the last minute“,”Indian RBI requesting banks to seize support to exchanges recently“.

In spite of so much negativity, Bitcoin continues to grow in popularity across the globe due to its “Sound Money” property that no other asset or currency in the world possess. Bitcoin has never been hacked and the bitcoin network has been functioning for 99.992209701 % right from its time of inception in 2009.

So next time when you hear the “Bitcoin is dead” narrative, just smile at them and ask “Again?”

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References: 

https://www.bloomberg.com/news/articles/2018-04-11/jpmorgan-sued-over-cash-advance-fees-for-cryptocurrency-buys