Bitcoin and the dream of a global financial system

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Bitcoin

Bitcoin began with a dream, a dream of a global financial system. It originated in the philosophy of a free global market through a public, distributed ledger called the blockchain.

In its whitepaper, the first sentence of its abstract goes:

A purely peer-to-peer version of electronic cash that allows parties to send direct payments from one party to another without going through a financial institution.

The eradication of traditional financial institutions in this currency was what made Bitcoin so revolutionary, so beloved by its early adopters. It called for a truly global ledger of accounts, one that would not need to go through third-party financial institutions. Peer-to-peer, they would work with individuals, rather than institutions, no matter where they’re located–making bitcoin anti-institutional, and international.

What’s the state of Bitcoin from its infancy to now? What is its journey towards being a global currency? Ready for more? Let’s go.

Bitcoin began with a dream

Bitcoin came into existence in 2008, with a white paper by an unknown person/s by the name of Satoshi Nakamoto. Here’s some context:

Its creation occurred at a time when people could only link their bank accounts or credit cards and use a platform like PayPal for online payments. Thus, third-party authority figures like banks and payment processors became necessary to ensure the necessary transactions.

It became useful as open-source software in 2009 after its release. When it was first introduced to the global market in 2009, it was worth $0 dollars. The year after, when early adopters began trading in the digital currency, it was worth less than a cent.

Bitcoin was created as a reward for Bitcoin mining, the act of solving extremely complicated mathematical problems that verify the transactions in the currency and thus create new Bitcoin. After mining for Bitcoin, the miner receives a specific amount of Bitcoin.

Bitcoin as a currency was first introduced in 2009 when it was worth $0. In November 2013, it was worth $1000 already, marking the steady increase of Bitcoin. Now, it’s reached a record high of 65,895 on April 14. Now bitcoin is worth 57,689.1 dollars, at the time of this writing.

Bitcoin is now used in almost all forms of digital exchange and is positioned to become the dominant form of currency.

The Reality: Financial outcomes for Bitcoin to date

A little over a decade later, Bitcoin is now the number one digital currency.

According to Nasdaq, “Bitcoin is king — it is still the best performing asset of our lives. It has silenced its harshest critics and only continued to grow in adoption, usability, and relevance. The fact that bitcoin has achieved all this in only 12 years is remarkable.”

The same article notes that its adoption has grown exponentially, nearing 13,000 nodes and $60 million in total locked bitcoin. Bitcoin’s scalability to places like El Salvador, Vietnam, the Philippines, and many other nations in desperate need of alternatives to their national currencies.

Financial outcomes for Bitcoin continue to soar high. Especially as Bitcoin becomes the first currency in cryptocurrency adopted by newcomers.

But, how is it being adopted as a global currency? As far as regulation is concerned when it comes to Bitcoin, there have been no global consistencies, but more global debate on Bitcoin. Its peer-to-peer decentralized technology is being used globally for fiat currency. But Bitcoin’s completely digital existence makes effective regulation of digital currencies challenging for various governments.

There is, to this date, no clear governmental legislation on Bitcoin or other digital currencies–except for El Salvador. The case for El Salvador is certainly a special one, with the President and lawmakers behind the move. They are allowing for the installation of more than 200 Bitcoin ATMs nationwide. But another country has yet to follow this move.

Reasons cryptocurrencies are illegal:

  1. They have a highly volatile nature
  2. The unpredictability of changing from fiat to Bitcoin
  3. Unable to universalize the currency all over the world

While the governments of India, Japan, the US, and Canada are allowing digital currencies for trading, among other nations, some nations, like the governments of Russia and China, will not even allow the trade. However, this has not stopped individual trading, as the top 5 countries of cryptocurrency owners are in Asia.

The Expectation: How translation services can overcome global barriers for Bitcoin

Translation can help overcome global barriers for Bitcoin if Bitcoin has ambitions to be a global currency. The current literacy rate of English is low. There are only 12 countries with very high English proficiency rates. While only 29 hold high and very high English literacy rates, globally. All involved with Bitcoin, which started in the US, has to rethink the strategy of spreading to a global currency.

With this comes the financial analysis of markets and translation of a financial nature. There are services that have excelled in cryptocurrency, and Bitcoin translations in particular, which includes Lionbridge, a localization provider who has had enormous experience with Bitcoin, and Tomedes, a translation services company that has had over a decade of experience in Bitcoin specialization.

Cryptocurrency is quite different from traditional banking and finance, which means that only cryptocurrency specialists can interpret this currency. Tomedes’ cryptocurrency experts play a special role in cryptocurrency adoption–specializing in this US currency, both in industry and in language. Lionbridge, in turn, helps to localize financial markets for Bitcoin.

With the help of technology, Bitcoin is past the peak of early adoption, but rather in the midst of large-scale adoption. It’s almost at its peak now–everyone has the tech to use bitcoin. Translation services companies like Lionbridge and Tomedes will be important for points of contact for those interacting with Bitcoin, as well as for understanding Bitcoin.

Bitcoin, among the most popular financial services, could become extended by businesses to the international market, through the help of translation services. In turn, translation services could help turn the tide for cryptocurrency and Bitcoin adoption, translating for leading financial institutions and digital markets internationally.

The Wrap-Up

Bitcoin started as a dream. And while in reality, still enjoying its heyday, it is far from its preliminary expectation of being a global currency.

Since some of the reasons for Bitcoin being barred from adoption by the united international community and various national governments is that it’s volatile, difficult to universalize, and unpredictable to implement, translation services could close the gap between hesitant national governments and Bitcoin.

Translation services could serve as a way to safely implement Bitcoin as an understandable global financial currency and could make it easier to universalize, which could, in turn, lead to its greater stability.

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