20140301 Bitcoins will replace modern currencies.txt

Bitcoin will replace modern currencies. March 1st, 2014. Proposition. Win.

Good afternoon honorable members of the house, chairman and the opposition team. 
As it was said, our motion for today is "Bitcoin will replace modern currencies". According to Wikipedia, cryptocurrency incorporates principles of cryptography to implement a distributed, decentralized and secure information economy. I'm going to compare crypto currencies with existing fiat money like paper currency and traditional coins (let's call them cash), bank transfers as well as e-commerce payment systems like Yandex.Money. So let's get started.

+ Let's begin with cash. Big advantage of cash is that if you have them, you really have them. They might be in your pocket or under you mattress but you physically own them and they are acceptable as long as government that issued them exists. Using cash for trading is plain and simple. One side has goods, the other has money. No third party, no hidden fees. They exchange directly. 
! The same is applicable for crypto currencies. There is a thing that is called wallet, as safe as vault, but can be accessed from anywhere via Internet. You can't lose your wallet because every node in Bitcoin network keeps every wallet. Only the owner of the key has access to his or her wallet. Cryptography helps us with that.
- Cash was good way to trade locally for a lot of centuries but it is not suitable for digital world. You can't buy music and programs from, for example, iTunes or different App Stores, from companies that are on the other side of the Ocean. It is not only about digital stuff. You can't buy nice little presents on Ebay directly with cash.

+ To solve these problems you can use bank transfers. Now you don't need to contact with the other side of the deal directly. You put your money on your bank account, ask bank to send them to the other side's account and that's it. Bank does the rest. 
! What's about crypto currencies? Well, you open your wallet via desktop client or web application, paste wallet number of the other side, press "Send" button and it is done. Bitcoin software will perform all required operations. It is reliable because software is open sourced since 2009 and has been reviewed by a lot of specialists. 
- The problem with banks is anonymity. You should sign a lot of contracts and provide documents to authenticate yourself. Bank will know everything about you. What you buy, where and when. This data is not as good secured as they pretend. The other disadvantage is centralization. Bank organizations could do whatever they want if it corresponds to the official line of policy. You might remember that Wikileak's Paypal account was blocked from receiving donations. Wikileaks hurts.

+ Were there any solutions before crypto currencies? A kind of. You can create an account on WebMoney or Yandex.Money site and use it. There is no need to identify yourself. 
- The problem is that you can't exceed the amount of money on unverified account. The limit was 15 thousands rubles for Yandex.Money for a long time. Is it enough? The government think that is it quite  enough for terrorist financing that's why they decreased limit from 15 to 5 thousands yesterday. 
! But, you can create any number of crypto-wallets. No need to prove anything to anyone. A couple of clicks and you have new identity. No limitations. You can send money to Wikileaks because they are doing great job, to any opposition party like "Pirate Party of Russia" without afraid of being prosecuted. You are also free to donate to charity organization like Song Of Love because it accepts crypto currencies, or, as it was done this Wednesday for Brain Preservation Foundation, to support any science research. It is what we call freedom.

To sum up, crypto currencies are fully protected with cryptography, could be accessed from anywhere, and does not require any third party to perform transfers to anyone all around the globe.