Shervin Pishevar discussed the uncertainty in Washington D.C. There is no surprise that the political landscape is changing. It always has, but the Internet and a real global economy are bringing about a new world, unlike anything that has been known before. More people recognize this than are willing to openly discuss it. Shervin Pishevar is one of the few fueling debates like whether bonds are still capable of carrying equity markets. He says no. Shervin Pishevar believes the time has finally come for real change.
Irrational behavior can accompany power structures. It certainly accompanies a lack of understanding technology. Put together both, a threat to power structures and massive technological innovation, and it is any wonder that the global economy has held together this well.
Shervin Pishevar also forecasted that Bitcoin will fall before steadily rising again. This makes sense when considering that blockchains are at the forefront of innovation. Cryptocurrencies employ blockchains that solve problems in the financial markets. More than this, they aim to revolutionize digital transactions.
There are many types of digital transactions. Take for example the difference between financial and actual goods transactions. Finance is used when sales are not finalized. Trading goods are an actual exchange of ownership. The latter is where blockchains target their technological applications of digital transactions. This is why it is so important that every transaction involves cryptography. With blockchains, there is no centralized accounting ledger that can be adjusted on a whim, or when all else fails, bailed out by a powerful institution.
Few argue that bailing out the big banks was a mistake. This is an example of how modern financial instruments have failed. It is no coincidence that the Bitcoin paper was written right around this time. Banks use cryptography, but not every banking transaction necessitates it. Blockchains, on the other hand, do. At least truly decentralized, transparent, and immutable ones.
An economy based on cryptographic digital transactions alters power structures and political landscapes. It cuts waist and rewards value. The main reason it can do this is that it adds certainty to transactions where none existed.