Bitcoin is backed up by the largest Super Computer in The World!!

Simon Dixon, the CEO of BnkToTheFuture.com and Funding Manager of Bitcoin Capital was hosted in an interesting interview on Money Talk, a program broadcast by Radio Television Hong Kong. Simon explained bitcoin in a simple way to the listeners who might have never heard about bitcoin before and commented on the enormous computing power endorsing the blockchain.

Here are a few interesting quotes from that interview:

There are 3 fundamental properties that are different when depositing your money at a bank rather than convert your money to bitcoin:

  1.  When you deposit your money with a bank, the bank becomes the legal owner of your money, so in countries like Cyprus, they experienced what happened when banks reclaimed ownership of your money; you deposits vanish! With bitcoin, you actually own your own money, so it is much like storing cash or gold under a mattress!! It is on your smartphone; on your computer; on your hard drive, you own it and it can’t be taken from you.

  2. With banking, when you deposit your money at a bank, the bank spends this money and speculates on it and if the bank’s speculation go wrong, then your deposit is actually is at risk and it has to be guaranteed by the government. With bitcoin, you spend your money as you wish directly from person to person, there is no bank in the middle and no governmental intermediary; you just transfer value from one person to the other.

  3. The monetary policy. With banks, they create money when they issue loans and so, most money are created privately by a bank. With bitcoin, it is created in a very geeky, hard to understand way. Basically, hundreds of thousands of computers, all around the world, are connected to the blockchain network and they verify bitcoin transactions and every time a miner verifies a transaction, new bitcoins are created but it acts much like gold, where there is a fixed supply, so it is a “deflational currency” and the value tends to go up overall because the system can’t be manipulated and the supply of bitcoin never changes.

Simon also believes that Bitcoin is backed up by the largest super computer in the world.

“If you sum up the 500 largest computers known to mankind and you multiply their computing power by 5000, you get the size of bitcoin’s blockchain computing power, so it is an amazing thing”

After listening to that amazing interview, I reached out for Simon Dixon and I asked him a couple of exclusive questions for NewsBTC:

Tamer: How do you secure your Bitcoins’ capital investment? Do you use cold storage? Do you use desktop wallets? or rely on online wallet providers as blockchain.info?

We use a cold storage multi signature wallet to store investors coins when they leave them with us.

Tamer: How can you evaluate Bitcoin ventures during 2015? Were they promising?

“When investing in Bitcoin companies, we look for teams of dedicated entrepreneurs that have stuck with their business throughout the Bitcoin bear market. We look for those that have customers and products rather than those with ideas. We also see how popular they are with our 15k plus professional investor community on BnkToTheFuture.com. We have a lot of smart investors investing through our platform and we like to make sure other smart people are investing in the companies we invest in so we can increase the odds of success. I like companies that make banks less significant rather than the companies making it cheaper for banks to perform Business as usual using Blockchains.”

Conclusion:

In my opinion, I also agree with Simon that BTC is backed up by a hashing power that is endorsed by the world’s biggest computing power, which why I believe that bitcoin has way more value than Fiat money, which sometimes doesn’t even worth the cost of paper and ink used to print it!!

mm

TheBitcoinNews.com – leading Bitcoin News source since 2012

Virtual currency is not legal tender, is not backed by the government, and accounts and value balances are not subject to consumer protections. The information does not constitute investment advice or an offer to invest.