International Business Machines Corp is considering adopting the underlying technology behind bitcoin, known as the “blockchain,” to create a digital cash and payment system for major currencies, according to a person familiar with the matter.
Unlike bitcoin, where the network is decentralized and there is no overseer, the proposed digital currency system would be controlled by central banks.
– From the Reuters article: IBM Looking at Adopting Bitcoin Technology for Major Currencies
Many activists and thinkers in the anti-status quo world were understandably very suspicious of Bitcoin when it first entered mainstream consciousness during its run-up from $10 to $260 in spring 2013. I myself had heard of Bitcoin years before I publicly expressed my interest and support of the technology. With no tech background, I was immediately overwhelmed with the concept, and so I initially dismissed it and forgot about it. It was only in 2012, that I started asking questions of tech experts who I had become friends with it about it in order to calm my concerns. Considering these people have similar political leanings and are even more paranoid than I am about the corporate-gulag state, I felt somewhat reassured. Then, when I recognized the powerful political implications of the technology, I wrote my first public thoughts on it. The post was titled, Bitcoin: A Way to Fight Back Against the Financial Terrorists?
Here’s a key excerpt from the post, and what really got me interested in Bitcoin:
Although I have followed Bitcoin over the years a bit, I am admittedly pretty ignorant on the subject. What really caught my eye in the last couple of days was an article in Forbes detailing the fact that when the big financial institutions initiated a blockade on Wikileaks, the whistleblowing organization was still able to accept donations via Bitcoin.
The problem with Bitcoin, was that once it exploded onto the scene, everyone suddenly had to have an opinion. Whether or not this opinion was informed, or based on even the most basic understanding, wasn’t important. What was important is that you had to take a stand: yay or nay.
This was unfortunate. It led to many well-meaning, but technologically challenged people to claim Bitcoin was the currency of the anti-Christ. The dreaded “one world currency” that would usher in the reign of Lucifer. These opinions were almost always based on ignorance, and it led to decent people who care about freedom to dismiss Bitcoin.
In contrast, the real status quo was able to see Bitcoin and understand the threat it posed to the control system. Now IBM is working on a solution for Central Banks, and if this takes hold, it could be very, vey bad for liberty. From Reuters:
(Reuters) – International Business Machines Corp is considering adopting the underlying technology behind bitcoin, known as the “blockchain,” to create a digital cash and payment system for major currencies, according to a person familiar with the matter.
The objective is to allow people to transfer cash or make payments instantaneously using this technology without a bank or clearing party involved, saving on transaction costs, the person said. The transactions would be in an open ledger of a specific country’s currency such as the dollar or euro, said the source, who declined to be identified because of a lack of authorization to discuss the project in public.
“When somebody wants to transact in the system, instead of you trying to acquire a bitcoin, you simply say, here are some U.S. dollars,” the source said. “It’s sort of a bitcoin but without the bitcoin.”
The company has been in informal discussions about a blockchain-tied cash system with a number of central banks, including the U.S. Federal Reserve, the source said. If central banks approve the concept, IBM will build the secure and scalable infrastructure for the project.
The project is still in the early stages and constantly evolving, the source said. It is also unclear how concerns about money-laundering and criminal activities that have hamstrung bitcoin.
Unlike bitcoin, where the network is decentralized and there is no overseer, the proposed digital currency system would be controlled by central banks, the source said.
“These coins will be part of the money supply,” the source said. “It’s the same money, just not a dollar bill with a serial number on it, but a token that sits on this blockchain.”
“We are at a tipping point right now. It’s making a lot more sense for some type of digital cash in the system, that not only saves our government money, but also is a lot more convenient and secure for individuals to use,” the source said.
I ask all those who have remained on the sidelines or skeptical of Bitcoin to read the above and think about it deeply. Bitcoin doesn’t lead to your biggest fears, but the project IBM is working on very well may. The Bitcoin community needs your support so that the ecosystem can become advanced enough and sufficiently adopted so that schemes like the one planned at IBM cannot compete. While the internet isn’t perfect, it is relatively free and decentralized compared to what it could have been. The same can be true for digital currencies.
Do you want a decentralized, dynamic, free market system controlled by no one, or do you want a centralized, banker controlled, closed and potentially totalitarian currency system? The real battle has now begun.
For related articles, see:
Bitcoin: A Way to Fight Back Against the Financial Terrorists?
Video of the Day – Hologram Julian Assange Talks George Orwell, Bitcoin and Preserving Human History
As Wall Street Looks to Copy Bitcoin, The Department of Defense Studies it as a “Terrorist Threat”
In Liberty,
Michael Krieger
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anything the central bankers have control of IS A VERY BAD IDEA!
Run Forrest, RUN!!!
Bitcoin is a development of Democratised Money which is Non Government Issued Money. The corporate sector is already far ahead of any competition with the creation and disbursement of Derivatives, which are another form of privately issued money. So called crypto-currencies have simply paved the way for corporations to spring the trap and complete the next stage in privately issued money creation.
Read it all here:
http://www.smashwords.com/books/view/312882
Thought experiment: What if, instead of wondering about how to impact a monolithic federal government when it introduces technology that is antithetical to freedom, We the People just focus our attention on the private companies, their employees and management that provides the offending high tech?
IBM is a lot more decentralized than the federal government. Their outposts are easy to identify, as are those who work there. Shouldn’t we be more about making our feelings known througth their manifest presence, along with Raytheon, Lockheed Martin and all the other “supply siders”? The government doesn’t produce drones, CS gas, evesdropping equipment, urban assault vehicles, etc… they buy them. Is there a modern form of shunning that has more profound consequences than the old variety? Shouldn’t we be making our displeasure known more clearly through some process like that?
These are all questions any thinking American may wish to explore.
hostile seed nodes taking over the network,upto 5%.
https://bitcointalk.org/index.php?topic=978088.0
“It is also unclear how concerns about money-laundering and criminal activities that have hamstrung bitcoin.”
Propaganda BS. According to a report from the U.N., the financial community had laundered 300 billion in drug money (at the time of the report, it’s undoubtedly higher now since they are still doing it).
So it’s okay to launder drug money via the Wall St. Vampire Mafia Families, but not okay to do it through BitCoin.
Propaganda, scare tactic, hypocritical BS.
But all of this is nothing new. “Digital cash” or “electronic money” was first proposed back in the 80s, and first introduced IIRC before Sir Tim invented HTTP.
In the 90s, IBM, Visa, Compaq and W3C were all working on “micropayment” systems – even trying to integrate them into the HTTP protocol itself. When Java was first introduced, one of the selling points was that “applets” could be purchased on an “as needed” basis using micropayments.
The blockchain is just the latest battle in a decades long war for control of digital currency. A war in which the incumbents have the home-field advantage – and have been fighting, and winning, the war for more than 30 years.
And let’s not forget folks, a blockchain currency is just as much a “fiat currency” as a Federal Reserve Wall St. Mafia Note.
Actually, this is untrue. Bitcoin was a zero and then chosen by the market in a decentralized manner to be worth billions. It’s the opposite of fiat currency. If in the future a government requires it to be the currency of the land, at that point it becomes a fiat currency.
fi·at (fē′ət, -ăt′, -ät′, fī′ăt′, -ət)
n.
1. An arbitrary order or decree.
2. Authorization or sanction: government fiat.
Why should I care what IBM or banks do–or waste my time worrying about them? Blockchain technology is now available for ANYONE to use for ANY application. (Bit-message, anyone?) There is NO WAY to prevent anyone from using it!
Furthermore, there is no threat to bit-coin mentioned in the article–and none that I can see. The facts in the article are interesting, but the alleged threat analysis is just way wrong.
The threat is that once this system is ready to roll, the Central Banks will aggressively attempt to legislate alternative blockchains out of existence.
Personally, I agree with your conclusion. The main point of the post was to convince Bitcoin skeptics that Bitcoin blockchain was never the realizations of their deepest fears, but that a Central Bank controlled, closed, totalitarian currency Blockchain is.
Any system that permanently tracks anyone who touches it, lost me at Hello…
The total number of possible coins (21m) was ARBITRARILY DECREED when the code was written.
They can change that by altering the protocol, but any number they choose will also be an arbitrary decree.
That is PRECISELY the first definition of fiat that you quoted.
(And why can I “Reply” to my own posts, but not yours? Lastwordism? 🙂 )
Not at all. People reply to me all the time.
As long as a state or government that can put you in jail is not legislating it as currency it’s not fiat. You can try to invent your own definition, but that is what it is all about.
Bitcoin was adopted by the market, there was no “order” or “decree” related to its use.
Yea, but I have to reply to you, by replying to myself. Makes me feel like Ouroboros. 🙂 Solipsists Unite!
We’ll have to agree to disagree. I’m going to stick by that “arbitrary decree” definition that *you* posted.
(And hope that no one catches the error in what I initially said. I was aware of it, but it wasn’t rhetorically useful to include a caveat. 😀 )
“With Bitcoin my only concern is that government has the guns, tanks, and the pen. All I can do is warn about how the government let the tax-straddles go for years when people started using futures to push profits from one year to the next. Then they came in and fined the brokers for selling them and hit everyone retroactively with interest and penalties going back to the beginning.
So all I can do is look at is how these people play with us. The idea that Bitcoin can circumvent government currencies and taxes I just do not buy. I suspect these people are licking their chops to rush in. That is my only concern. You cannot withdraw $3,000 in cash without them freaking out. They will an underground economy exist? I seriously doubt it.” – Martin Armstrong
Armstrong Economics
Is Bitcoin a Setup or a trial ballon?
Bail-in = masses move wealth into Bitcoin = ‘captured revenues’ (every transaction is permanently recorded) to be harvested by government = muppets = losers.
The masses that moved wealth into hard assets = winners
If you don’t understand it and/or have no control of the cloud it is in and the government keeps changing the rules, I would say there are 3 major red flags saying don’t get involved in it. And once you do a transaction, it’s permanently recorded and that’s not all, seems every few months ‘something else’ new threatens it.
Started out that Bitcoin’s biggest attraction point was … it was ‘anonymous’ … then we find out it isn’t (unless you’re an expert and then it’s just a matter of time before even you are toast).
Every transaction is recorded forever, all the IRS forms (in the US)WILL be your responsibility at your peril and new laws and regulations can instantly make you a retroactive criminal.
Other countries will follow the most revenue lucrative model, just a matter of time, your transactions are permanently recorded.
Putting your wealth in a cloud, not knowing who is controlling and tracking it or about to attack it while TPTB are aggressively using their endless resources to corral you, … why?
Of course the NWO corporate police state elites want it, they’ll have your pound of flesh.
The FED & IBM can’t see that they are Zombies(walking dead), cluelessly locked up in their centralized, hierarchical existence. Said Zombies will soon be seen in the dinosaur exhibit in your local museum. p2p decentral ftw.
u can count on IBM fcking such a project up big time. IBM is where good companies(and individuals) go to die. Their software is garbage, requiring legions of “professionals” and endless sucking out of revenue from software. Let them build their FED coin, doesn’t negate the fact that their word is still served on a platter of lies and excrement. Their system would be centralized, essentially changing nothing. They cannot change the fact that this is a battle between decentralization and centralization when you boil it down. Let them eat their own regurditation.
You have hit the nail on the head….it is a centralised system. Yet another incarnation of the current and failing system and IBM…what a joke.
I’m sorry, but Bitcoin (while not controlled by Central Bankers) is still FIAT currency – not paper, in this case, but digital – whereas, gold and silver represent VALUE (in terms of the human labor required to mine, refine, and issue them, in the form of a coin, or (bullion) round, or bar). Any currency on paper, or that is digital – is still subject to outside control, or even confiscation, remotely. INFLATION is the remote “confiscation” of a currency’s value, by the “Fed”, while digits on a computer screen, can, in fact, be “confiscated” by simply being erased, or by Bitcoin-mining operations. If you don’t hold it, the saying goes, you don’t own it. In this case, if the U.S. dollar (really, “Federal” “Reserve” Note) were printed via the U.S. Treasury, and NOT AT INTEREST, then the American people would “hold” (possession of) their currency. Since the “Fed” is a consortium of privately-owned/controlled banks, which produces “Federal” “Reserve” Notes, AT INTEREST, the American people DO NOT have control over (do not “hold”) their currency. IF our currency were digital, and still controlled by the Banks behind the so-called “Federal” “Reserve”, then, what would happen in an EMP attack, or similar (electrical) grid-down situation? Oops. Some physical silver and gold would come in rather handy, n’est-ce pas?
Can we all start to admit that Bitcoin was never a real threat to the banksters?
It is merely a test for something much worse to come.
As if arch silver fiend joining Bitcoin Digital Asset Holdings out of tel aviv was not screaming enough…
Real tangible wealth is the only way out of an out of control world build on digital illusions.
“something much worse to come” !!!!!!
More Doom Porn- so Turn of the Century…… borrrrrrrring
Michael K, the internet was developed as the worldwide wiretap; it never was a platform meant to remain free by the elitists. Open source means anyone can read, monitor, and access the materials in addition to copying it under service agreements burying its Local Alternative Currency and Local Alternative Network roots funded by Rothschild-Rockefeller Chatham House and others beginning years ago as a zero interest credit in which the beta test utilized a peer-review board with Rockefeller as Chair.
Interestingly, Bitcoin and many Crypto-Currencies operate the exact same way as well as a digital world currency already in testing for the last decade.
It is precisely the same way the medium of exchange or Greenback decoupled normalcy as the US currency by becoming legal tender in competition to not only precious metals but other backs like the Blueback, Redback, Greyback, and etc. It also further aids in zapping demand for Dollars out of circulation ignoring currency digitally stored is readily viable to be replaced in the bank as another currency, which in Germany’s case further destroyed confidence with the currencies changed after the Mark prior to World War II and the rise of Nazi party.
To shorten:
1). Bit means temporary or short-scene like a cameo in a movie or 1 liner in theater.
2). It follows the historical precedent decoupling the Gold and Silver Standard of intrinsic value, but it does normalize the ambition of a currency capable of interchanging multiple currencies at 0 interests and agreeable parties, which the present exchange rate doesn’t encompass, it is simply defined as a basket of currencies. The UK nearly coupled Bitcoin specifically to Gold a few years ago but decided against it as the US regulators decided to go against it.
3). In the same way 2 is a ambition of a basket of currencies or SDR, the exchange or fiat is merely a currency backed by nothing of intrinsic value, and every Crypto purchased also removes the currency from circulation in the same fashion using simple numbers if every Dollar on the planet translated to lets say for simplicity 10. When the Dollar dies as is inevitable, you convert it to the new legal tender spacing out total volume of 10 across the accounts (Your only counter is that we both know every Dollar value exchanged to a Crypto right now isn’t 10, but it’s simple to follow).
4). The FCC has to attack the worldwide wiretap net neutrality to normalize central bank control over the net and digital currencies aka Crypto-Currencies as the Dollar and Euro die. Do you need martial law when you control not only barter but access to food at a computer across the board?
5). No, it was not decentralized. Crypto-Currencies got its popularity as central banking controled currency was being digitized and increasingly designed regulation and legislation designed to minimize or prevent physical currency within the system in a manner that presently requires some level of additional monitoring. This is why credit is easier than cash withdrawals beyond Debt used as Credit, EBT, and EPPI. It is also why it costs more to transfer to foriegn currencies or otherwise capital flight opposed to just join a Crypto-Currency.
If it wasn’t for the drive to digitize the legal tender, would Crypto-Currency a digital currency mirroring LAC and LAN out of Chatham House become so popular under the multiple of claims along with it like an attack on the Federal Reserve, pre-empting the Cashless Society, and my personal favorite before I parted ways ‘the Federal Reserve told me that they fear Crypto-Currencies like Bitcoin’ in a leaked document. Well, if the Federal Reserve is scared of it, it must be good despite ample contradicted evidence… With the researchable points above, the Federal Reserve leaking a memo stating it fears it is reverse psychology plain and simple simultaneously normalizing Cashless Society and keeping inflation further artificially suppressed…
The DOABLE & REAL Solution is here:
http://www.IVAMU.com/
In this later 11th Hour of the Economic Crisis, we dare not do anything else but to get it right.
Billions of Human Lives now hang in the balance.
The collapse of the current system is nothing short of a mathamatical certainty.
Get RID of the FED and get rid of ALL their machinations.
They are Fraudster Banksters.
All they know how to do is to expand their SCAM.
Any system vulnerable to a Solar Flare induced EMP is too dangerous to pursue. Bitcoin IS controlled by ONE man and he has shut it down in the past leaving all at very high risk of total loss.
What keeps him from dong it yet again? Nothing.
What could the Central Banksters do to persuade him to shut it down forever?
Mister Kreiger is the censor who moderated my remarks out of existence when I had something to say about Collier County, Florida and Barron Collier, the Pilgrims Society member it’s named for. Now comes Mister Kreiger again ignoring “Pilgrims Society Takeover of Bitcoin” which I presented earlier but is covered by websites that don’t act as censors http://srsroccoreport.com/pilgrims-society-takeover-of-bitcoin-the-high-tech-monetary-booby-trap-has-been-set/pilgrims-society-takeover-of-bitcoin-the-high-tech-monetary-booby-trap-has-been-set/
I am being offered several interviews and I think I’ll mention this Mister Kreiger and how he won’t allow mention at his site of The Pilgrims Society. Naturally this post won’t see the light of day either but I can relate my experiences elsewhere with this DISMAL site, Liberty Blitzkreig.
Please try to spell my name accurately when you invent fantasies in the future.
One thing’s for sure, sounding like a low IQ lunatic in the comment section of websites won’t encourage people to read your material. Good luck with your tactic though.
Oh yeah, by the way, I’m completely terrified of you mentioning me in interviews. In fact, I encourage you to mention me as often as possible. Being demonized by an insane stalker can only help my credibility.
Mr. Krieger has told me by mail that it was not his site that blocked or deleted the original reference I made. I was certain it was, but I could make a mistake, same as anyone else. As far as the rest, I do dispute that any demonization by an insane stalker is taking place. That’s just a belligerent backlash, podnuh. I’ve been known in the metals community for over 15 years and we must realize that disputes take place, personality clashes and so forth. No findings I’ve presented have been challenged as to content. Naturally by taking a stance against Bitcoin, site operators who get donations in Bitcoin will dislike this, and start tossing invective. It’s just another tactic to distract people buying precious metals. There is not perfect consensus in websites and to brand those taking issue as “low IQ lunatic” is mere rhetoric. That’s enough on this matter.
You could provide proof, such as a screenshot of being blocked or deleted, but of course you won’t because it didn’t happen.
I could care less about what you think about Bitcoin, and I’m more than happy to allow you to publish your comments. What I will not accept are accusations with no basis, such as your spastic and emotional rambling earlier. You are like so many others out there, quick to demonize and criticize without any proof because you are so unhinged. You are a perfect example of why so many people who believe in precious metals as an investment can’t stand goldbugs like you. Emotional basket-cases.
In a personal correspondence I invited you to apologize in the comment section, but you failed to do so. Typical of people with your type of mentality. Can never admit to being wrong.
Best of luck to you Charles Savoie, in what’s certain to be an eternally frustrating existence of dogmatic paranoia and obscurity.
Moreover, just to prove how much of a total clown you are. Here are links to all the APPROVED comments you have made about the “Pilgrims Society” on Liberty Blitzkrieg over the years:
http://libertyblitzkrieg.com/2014/10/31/ray-mcgovern-cia-analyst-for-27-years-is-arrested-and-roughed-up-in-nyc-for-trying-to-protest-retired-general-petraeus/
http://libertyblitzkrieg.com/2014/09/04/do-you-receive-free-lunch-at-work-the-irs-wants-to-tax-it/
http://libertyblitzkrieg.com/2014/08/10/dead-broke-meet-the-clintons-100000-3-week-hampton-rental/
http://libertyblitzkrieg.com/2014/07/22/meet-theranos-inc-the-blood-testing-company-with-henry-kissinger-and-a-cadre-of-military-and-political-elite-on-its-board/
http://libertyblitzkrieg.com/2014/07/10/former-nyc-mayor-michael-bloomberg-calls-colorado-a-rural-and-roadless-backwater-for-challenging-his-gun-control-agenda/
http://libertyblitzkrieg.com/2014/06/20/ex-nsa-chief-keith-alexander-is-now-pimping-advice-to-wall-street-banks-for-1-million-a-month/
http://libertyblitzkrieg.com/2014/06/03/eric-holder-announces-task-force-to-focus-on-domestic-terrorists/
http://libertyblitzkrieg.com/2014/04/25/say-goodbye-to-net-neutrality-new-fcc-proposal-will-permit-discrimination-of-web-content/
Not only are you an imbecile, you have the memory of a gnat. People take advice from you?
There’s no use resorting to psychiatry and its lingo when you have friction with someone. That establishes nothing besides you dislike the person you have a beef with! In fact, around mid February, I definitely did post under the Collier Florida item around mid-February. We both overlooked that it may not have appeared due to a system failure in causing it to post. As stated, there are and will be in-fighting among people who appear to be mostly on the same side of the fence. I find little here I disagree with. There was a big blow up when Jeff Nielson of Bullion Bulls Canada concluded Gold Antitrust Action Committee was being funded by the Rothschilds http://beforeitsnews.com/gold-and-precious-metals/2013/11/gata-now-funded-with-rothschilds-dirty-money-2548024.html
Many sites carried or linked my Bitcoin presentation—including sites that link to Liberty Blitzkreig. There is this phenomenon that Bill and Ron dislike each other, yet both Bill and Ron are in favor with Harvey. That is likely to remain the case. I remain one of two spokesmen on the long side of silver to ever be mentioned by the Silver Users Association—page 2, January 2006 Washington Report and my work cannot be dismissed by resorting to psychiatric rubbish talk.
http://www.silverusersassociation.org/news/January_2006.pdf
This is the end of my participation in this ping pong match.
I don’t dislike you, I dislike what you did.
You should have apologized and I would have let it go.
Mike, you sent out a Tweet calling me “unhinged.” Can’t you get past psychiatric rhetoric when you have friction with someone? I’ll say the post I attempted failed due to a tech issue rather than censorship. People have become weary of seeing someone using psychiatry to try to prevail in argumentation. Additionally, there is a widening rift between persons who want to back Bitcoin plus precious metals and those who take the metals and avoid Bitcoin. When the banking system fails, TPTB will tell people “just move into Bitcoin” then at that point their control is restored. On this matter of psychiatry and psychiatric labeling, if psychiatrists had a look at your site, they’d be tossing mud at it—and at you too. The liberty community is misguided to do anything to resort to psychiatry. No one is going to take a screenshot to prove they made a post at a moment when no friction had as yet taken place. Almost no one would even have the idea occur to them. There are several sites posting my work who also post from other sites who have censored me. My work stands on the merits of its own content without being sunk by personality clashes.
Move on already. I have.
Here we are 1 year+ on. have there been any further developments with the IBM caper? In that period a really good peoples cryptocurrency with 2.0 tech has launched, is growing globally and has some industry ‘leading features’ that make it highly desirable to members and merchants alike!
IBM doesn’t have a good history of building software products. In the end ppl will still come out to say under this system IBM wants to centralize that “it’s not my money” it simply will not be accepted amongst crypto supporters due to it’s lack of anonymity as well!
follow http://stratisplatform.com the next generation of crypto/bitcoin (with bitcoin core developer on the team: Nicolas Dorier) decentralization in C# programming language! IBM is no competition for this.