5. How to really kill bitcoin

USD $10.00

This paper examines bitcoin’s survival chances critically. It begins by examining two of the common ways in which people imagine Bitcoin could be killed, and why they are not very likely: software bugs, government bans, and the failure of fees to generate enough security. I argue that these are unlikely to kill bitcoin because they do nothing to undermine the economic incentives that people have to use bitcoin. To successfully undermine bitcoin one needs to undermine the economic incentive that people have for using it, and two such scenarios are discussed: world governments improving their monetary & financial policies; or a hyperinflationary collapse of national currencies before bitcoin has acquired significant liquidity. (11,406 words)