Why Cryptocurrency will not bring revolutionary societal change

There are some in the world that hope cryptocurrency will re-define social structure and bring revolutionary change to the world. I do not think that will happen because I see cryptocurrency as more of a natural evolution of money rather than a revolution on society.

For one, cryptocurrency isn’t going to all of a sudden take over because of a sudden collapse of financial and social systems. If that were to happen, there would be mass chaos and our infrastructure would be damaged or crumble and since cryptocurrency is a product of technology, it is also dependent on that technology to function. If our entire system crumbles, we would descend into anarchy which would in turn effect our network and grid. If our satellites go down or our internet network goes down due to no one maintaining it, then cryptocurrency wouldn’t really function that well as cryptocurrency depends on a strong world wide network to verify transactions and maintain the integrity of blockchains. The only real way for crypto to replace fiat is the slow integration and takeover of the monetary system which will probably take decades to happen.

Second, switching to crypto is not going to change the distribution of wealth, so societal structure will not be effected that much. What may change is who the financial elite are perhaps with Justin Sun or Vitalik replacing Bill Gates or Jeff Bezos at the top but it will not change the fact that a small amount of people hold most of the World’s wealth. We will still have a small class of Elites and a lot of poor people who have almost nothing at the bottom and since distribution of wealth has almost always determined social structure throughout history, there will not be some great revolution that occurs with the transfer of money to crypto.

What cryptocurrency will do, however, is make our transactions cost less and be faster and give us more privacy(although not complete privacy) for the watchful eyes of the government, but it will have provoke the massive changes in society that some may be hoping for.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s