In 1983, a researcher named David Chum published a research paper that showed the concept of digital money, which existed in theory from that date until 1990, when Digikash in Amsterdam founded an electronic payment company aimed at marketing David Chum’s research ideas.
In 1997, Coca-Cola offered customers the option to buy its product through vending machines using mobile phones, and by 1998, PayPal had hit the market. Other names of several companies were then rolled out at the same time as e-mail, and by 2008, Bitcoin was born.
The digital currency Bitcoin was launched in 2009, and its popularity has doubled in a short time and has been moving from strength to strength, illustrated by its value, that moved from $1 to over $16,000, and perhaps the features of this boom appear to you in some countries where you can find Bitcoin ATMs, and many online trades where you can buy their products and services using digital currency.
In 2011, LITECOIN, second only to bitcoin, and called LightQuin, was launched in silver currency, and created by MIT graduate and former Google engineer Charlie Lee. It represents an open-source global payment network, controlled by no central authority, such as Bitcoin, which uses blockchain as its encryption platform and the ledger on which mining operations are recorded.
In 2015, Ethereum was established, a decentralized platform through which smart contracts can be used, protected from the risk of fraud, or control by any third party, that can be used for “blogging”, and decentralized for mining operations, as well as trade.
From the humble beginnings of cryptocurrencies and evolution, there has been a wide variety of cryptocurrencies, including PayPal, Icash, Web Mane, Pioneer, Kasho, Vian, Bitcoin, Letsuan, Ripple, Dogsuan, Munero, Zakash, Utah and Ethereum. Consumers can also choose from digital wallets that are stored on their mobile phones without any payment difficulties.
The concept of digital money has evolved into decentralized systems such as hidden currencies and is expressed as a symbol of cryptocurrencies that facilitate both mining, as well as their transfer through peer-to-peer networks.
Governments’ attitude towards cryptocurrencies has been somewhat negative. Some have refused to recognize cryptocurrencies as a financial form, and some have gone on to deal with them through prohibition and restriction of use; talking about the future of these currencies, however, tells us that it is only a matter of time for all these governments to accept the fait accompli and make a decision to start using cryptocurrencies.
Bitcoin’s benefits of decentralization and anonymity have been exploited in transactions in a range of illegal activities, including money laundering, drug sales, smuggling and arms purchases. The Department of Financial Services of countries that allow cryptocurrency trading have issued subpoenas to emerging electronic payment companies, many of which dealt with Bitcoin, and searched for measures to prevent money laundering and ensure consumer protection.
The growing concern of these governments about dealing in digital currencies has been caused by money laundering offences that were carried out through electronic gold, and Liberti Resource, but what the days have shown us about this kind of economy, plus the continued refutation of these concerns, make the future of digital currencies very bright and, when forward-looking, both positive and possible.
Although talking or predicting the future of anything, including these cryptocurrencies of more than 740 species, seems difficult by all accounts for many human beings, and even economists themselves, what can be agreed upon is that this number, which has emerged in a record period in addition to the development of ARTIFICIAL INTELLIGENCE devices and systems and the trend towards a knowledge economy, necessarily confirms its continued growth, and to say, as many believe, that once one currency dies, or is made illegal, it will pop up incorrectly, and the way things and science evolve at the moment confirms this, in the sense that the digital economy will not die with the death of one of these currencies, and the truth is that after several global financial crises, and the growing distrust in the banks, people love the idea of a currency that is not controlled by anyone, especially with that constantly growing feeling that Big Brother is watching, and then digital currencies become a safe and uncensored route during purchase, sale, conservation, investment and trade. It is not accountable to third-party observations, so dealing through digital currencies gives people the freedom to secede from central systems and authorities, and it restores power once again to the public to control their wealth and the value of their money.
As the risk of economic collapse continues at present, cryptocurrencies ease the pressures of the collapse of the real currency, but their popularity will not be significant for the time being, in the sense that they will increase in stages rather than at once. The popularity of these cryptocurrencies is expected to continue to flourish. The masses have a monster nature in that they are adaptable, they finally respond, adapt to technology, to the fullest, plus the developers are ready to overcome any obstacle that may be put to them.
Author : Manahel Thabet
Published December 25, 2017
Al Bayan Newspaper