Part Six – Cryptocurrency as a Disruptive Technology
The business meaning of “disrupt” is “to change the traditional way that an industry operates, especially in a new and effective way:
“Dell Inc. disrupted the traditional way of selling computers by switching to the internet.”
These articles do more than discuss banking system disruption. They also provide a window into the underlying animus of proponents of cryptocurrency about the banking systems of the world. Be prepared for some strong statements about banking in general and central banks in particular. These articles run across a fairly large range of dates. Of note the predictions and the angst have not changed.
Important Note: We, here at ASI, are not advocating for disruption of the banking system in any country. We also are not suggesting major changes need to be made to our banking system. We are here to server our customers. What this series is about is providing information to community bankers so you have a basic understanding of cryptocurrency and the motivations that generated its very existence.
The first article is from 2013 and is prescriptive in nature. Considering it is over four years old and uses a PC analogy from 1978.
We move forward one year to 2015 and dive into how Blockchain itself could be a disruptive technology.
The next article tries to make the case that central banks, through what it describes as bad policy, will in the end force collaboration into the Fintech space where Bitcoin resides. You will start to see the animus of the Bitcoiners towards banks in this article.
Here we have an article focused on the European Central Bank (ECB). The acronym DLT is referred to in an obscure way to maybe refer to cryptocurrency. We start to see the beginnings of banking industry disruption midway in the article although it is not referred to as that. Not much animus in this article although there is no love either.
In this article PricewaterhouseCoopers, a Big Four” accounting firm lays out it directional change into Blockchain stating, “these disruptive FinTech technologies will trigger a huge increase in demand for blockchain expertise and we intend to be a leader in exploiting these disruptive new technologies.”
In this last article you will find pointed comments about banker’s lying about technology and the services they provide. Granted this is one writers article. The reality he points to in the closing is his alone but I have seen it echoed throughout many other articles.