WHY GOVERNMENT CURRENCIES WILL BECOME OBSOLETE
If enough people have a demand for a particular product, whether it is prostitution, gambling, drugs and alcohol, or an anonymous, instantaneous and low-cost money transfer, it will be supplied.
The big issue at the moment is money transfer. Governments want to know both the source of everyone's money and how it is spent in order to collect more taxes, regulate behavior, reduce certain types of criminality and increase political control.
The IRS and other government agencies claim that all of the financial information they collect is strictly confidential -- which is a laughable claim in an age when Lois Lerner, Edward Snowden and all of those Chinese and Russian hackers flout the rules.
As the government has become more and more intrusive in the financial affairs of individuals and businesses, the incentives for those who can develop ways to either legally or illegally get around the increasingly costly and abusive regulations has grown.
This dynamic promises to create alternative private currencies that will make government currencies obsolete.
