Quote from: ktabb on June 22, 2017, 10:22:08 AM

Quote from: mczarnek on May 30, 2017, 03:19:27 AM

I'm trying to summarize in as few words as possible, what is the problem with centralized currencies? Writing an article about why decentralization is important. I would like a good problem summary to start.

I would say:
- Someone always has the ability to counterfeit
- Controlled by centralized authority who can change the rules as they see fit
- Centralized authority can print more money
- People can have their bank accounts frozen

Ideally a sentence or two to summarize. Maybe something like "Centralized currencies can always be cheated by someone and manipulated in a manner that most benefits those in control, to the extent of locking you out of your account or taking away your money if you do not behave in the manner those people would like. When the people control the currency, the people decide the rules that govern it and no one person can touch your money without your permission"?

Anything else I'm missing?

Thank you!

To be honest, I don't think any of the reasons you listed here are significant. The main reason that decentralization is appealing is because of trust. With crypto, people place their trust in the regulation of the currency into algorithms, as opposed to trusting a government that can be corrupt and manipulate the currency.

1. Counterfeit is an extremely minor issue.
2. The fact that a centralized authority can change the currency is actually arguably a positive, since it means the government guarantees a certain value for the currency.
3. The ability to print more money is necessary with any physical money.
4. I don't know what you are talking about with people's bank accounts being frozen or how that would not apply to bitcoin. In fact, bitcoin wallets are SIGNIFICANTLY less secure and reliable than bank accounts.

i completely agree with 1, 2 and 3 you nailed it. but you screwed up in number 4 because it is total nonsense.
there is nothing more secure than a properly created bitcoin wallet.

you can obviously use a web wallet, use a wallet on an online computer riddled with malware but that doesn't mean bitcoin wallet is insecure it means you had some cash with you and put it in a see through plastic and left it on a park bench and closed your eyes wishing nobody takes it!

a cold storage that is created right can not be penetrated. and it is SIGNIFICANTLY more secure than anything else you can ever imagine.