Bitcoin and Hive are innovations in banking, money transfer, and point of sale architecture.
They are the New and improved Money Rails.
If you have never heard of Money Rails, it is a metaphor which compares trains moving on railroad tracks to money moving on the money railroad the system of banking and money transfer that all commercial activity must use.
It also includes banks, specifically bank accounts where you hold your money.
The blockchains of Bitcoin and Hive literally are an alternative to the traditional money transfer system, and banking system.
They are the New Money Rails.
They literally are structures which allow you to transfer money anywhere in the world, to anyone you want to transfer money to, and quickly.
And they are structures where you can keep your money, like a bank account.
But in order to understand and truly grasp the revolutionary nature of Bitcoin and Hive, you need to understand the traditional money rail system, which encompasses money transfer, banking and point of sale purchases.
That is the huge purpose of this anrticle, to help you understand a few very important things about the current or traditional global financial system, which are huge limitations and have a huge impact on the world, but which are very simple to understand.
Tradition money transfer system or traditional money rails
The Global Banking system has a private money transfer system, which is privately run, privately owned, and is a closed system, which means it is joined by invitation only.
This closed system excludes entire countries and even entire continents, from having access to the global money transfer rails, excludes them from having bank accounts and excludes them from loans for economic development, which are provided to other countries.
In terms of the global point of sale system, the big four credit card companies Visa, Mastercard, and American Express are Global entities which dominate the point of care purchase system globally, use a private system, which they own and control.
All participants pay fees for the use of the system, and must collect and store private data on their customers.
The big four credit card companies can exclude entire countries from this system if they wish, as it is private and they control access to this system, so it is also closed.
The tragic impact of this system.
The tragic thing about this is that without open access to banking and money transfer many countries in the world languish in poverty, despite their abundant nature resources and motivated populations.
This isn’t personal , it is just business, and it is amazingly impersonal.
These two groups ignore the economic plight of countries languishing in poverty because extending banking, and money transfer rails to these countries and continents is risky from a business standpoint.
It reminds me of organized crime movies, where the bad guy murders his competitor. They always say it’s not personal, it’s just business.
Most importantly to understand, is that the current banking, money transfer and point of sale purchase system is based on a debt or promise to pay.
The system is about debt and requires trust
Paper money like US Dollars, Euros and Japanese Yen cannot be transmitted electronically. So traditional electronic payments are not a payment. They are a promise to pay. They are a debt. Debts require trust and constant verification of trustworthiness.
So in the traditional system money transfers are not money transfers. They are messages.
The message is a debt, and the debt is the message.
Because of this inherent demand for trust, and economic vulnerability there is risk in extending these services to developing countries, which literally make up the majority of the world’s population.
So the developing countries and their populations have restricted access to or are excluded from these systems.
So even though these countries develop their own banking systems and money transfer infrastructure. They don’t have the same access to global systems, and this restricted access hurts them financial, and has been cited as one reason for their economic poverty.
Well now the current global money rails have competition.
That competition is Bitcoin and Hive.
And it is personal, because poverty is personal.
Bitcoin and Hive introduce to the world new money rails
Bitcoin
Bitcoin, as the first cryptocurrency, and Bitcoin as the first blockchain represent the following:
public, not private money rails,
open, not closed money rails,
uncontrolled, not controlled money rails,
and the system is based on electronic money, so transactions are not debts or promises to pay, they are payment.
The message is not debt, it is payment.
The payment is the message.
Wait a minute.
The message is no longer a debt. The message is payment. Yes.
Now it is a whole new ballgame.
Now you don’t need trust, or private information to prove trust worthiness.
Now the money rails are risk free, and can go anywhere.
And what’s also incredibly important is that you can do this on Hive, cheaper, faster and without a second layer solution like Lightning Network.
It is time for the revolution.
It is time to introduce the world to an open, public money transfer, banking and point of sale purchase system.
Where the message is the money, and the money is the message.
Where debt and the ability to pay a debt, no longer exclude millions of people from economic prosperity
Imagine a system, which accepts everyone and excludes no one.
It is time to say to the majority of the worlds population living in poverty No More
No closed systems
No exclusionary policies
No lack of banks.
No lack of money transfer infrastructure.
The not so quiet Revolution
This is a not so quiet revolution due to people like Jack Maller, who literally travel the globe explaining to audiences about the debt and trust based Traditional Money Transfer system, traditional point of sale money rails, and how it hasn’t changed since 1949.
And then explaining to them that technology has created a system without the limitations of the old system, and that the possibilities are now limitless.
Amazing, really amazing, and this innovation is spreading worldwide because people are waking up.
They are starting to understand how the current system literally keeps them poor.
It’s tragic.
It’s sad.
It raises ethical and moral questions once you understand how restrictions on banking and money transfer cripple countries.
Even American and European businesses which move to poor countries and set up businesses find out that restricted access or no access to the global systems of money transfer and banking, kill their businesses, despite the businesses being profitable.
The systems to retrieve capital, pay bills, purchase resources annd pay employees are broken.
So the businesses fail and employees are laid off.
The light at the end of a long dark tunnel through time 1949 to 2008
1949 when the current system was born.
2008 when Bitcoin was born.
2016 Hive was born.
But the light at the end of the tunnel is here, using cryptocurrency and money exchanges, and either Bitcoin rails or Hive rails to transfer money, people all over the world can bypass traditional closed private money rails.
The world’s first public, open money rails are here, and they can help the entire world prosper.
Remember there is nothing to prevent the owners of the existing traditional money rails from using these systems. They are open and provide a pathway to profits for both old and new businesses.
This isn’t a system built to hurt the traditional system, it was built to free it of it’s limitations and because of it’s very nature, it makes it safe for traditional institutions to expand their business to a huge new customer base.
We are talking about a revolution
Bitcoin, as the first cryptocurrency, and Bitcoin as the first blockchain represent the following:
public, not private money rails,
open, not closed money rails,
uncontrolled, not controlled money rails,
Wallets which act like bank accounts,
Transaction messages which are not debts or promises to pay, they are the payment.
The message is the money and the money is the message.
Hive
public, not private money rails,
open, not closed money rails,
uncontrolled, not controlled money rails,
Fast, free transfers
Wallets which act like bank accounts
Wallets secured by multiple layers of security.
Transaction messages which are not debts or promises to pay, they are the payment.
The message is the money and the money is the message.
Innovation : The Future is now
Example one
Strike has a Bitcoin phone application, which uses allows money transfer via the bitcoin blockchain instantly, and allows point of sale purchases with bitcoin, and of course your bitcoin wallet is your bank account.
Example two
Hive has a phone application, and the Hive blockchain, also allows you to transfer money, perform point of sale purchases and use your Hive wallet as your bank account.
As an added bonus the Hive wallet has four additional layers of security not found in other cryptocurrency wallets.
As an additional bonus, Hive doesn’t need a side chain like Lightening Network for lower fees or faster transaction times.
The new innovative money train is here, and it has new money rails.
You have a ticket to ride
So now you have another or alternative money, and alternative money rails to ride.
And every body has a ticket to ride.
There is no conductor to throw you off the train because it’s open to every one.
This train goes anywhere the internet goes, so destinations are almost unlimited.
This is the true financial freedom train.
The only question is will you ride this train to freedom?
