Crypto Biz Magazine—July, 2014/Issue.02

CRYPTOGENIC BULLION AND
THE CONSULTANCY CULTURE
by BRIAN VERESCHAGIN
Trends: Obscurity, Capitalization,
Mining and Speculation, Adoption
If the advances of Bitcoin and its ecosystem of
altcoins have been like a meteor shower, what
comes next may be an extinction-level
event for debt-based fiat currencies.
In this article, we will try to break
down some of the fundamentals of
the cryptosphere, and the logical
conclusions of what’s next. Our
position is to embrace the diversity of
altcoins while accepting that one coin
cannot perform all necessary tasks.
Page.30 July.2014
Crypto Biz Magazine
Bitcoin’s trailblazing efforts have left it
in a unique position as a highly liquid
market gateway which we all rely so
heavily on. The Bitcoin crowd bridges
the divide between the heavily
regulated fiat markets and the new
realm of digital currencies. So long as it does this
well, it will maintain its value. With the protocol a
solid foundation, a flexible and dynamic community
can only boost the effect.
Cryptocurrencies began to see a real capitalization
phase in early 2013, which carried on to its blow
off top by the end of the year. This mainstream
attention led to hundreds of new altcoins and an
overall focus on mining and speculation. Cryptogenic
Bullion, now a year old, was designed with the properties
of money, and modeled after the supply of
gold, making it a better store of wealth. Other coins
work better for spending, like Dogecoin, whose
major innovation is a welcoming, highly organized
community with an adorable dog for a mascot; it’s
not to be underestimated.
The explosion of the altcoin scene was met with
the outflow of capital aided by constant negative
signals from media and government around the
world. This has really become a survival of the
fittest, though positive news is taking hold again.
In times like these, we can more easily consider
working together to transition from the current
focus on mining and speculation, to the capital
that awaits “mainstream” adoption. Our goal is
to show how this is possible, through education
and consultation.
As an investor, it helps to know some fundamentals.
Cryptocurrencies can be held to spend, held to
save, held to invest, and used to move funds from
one person, place, or market to another. Predicting
changes in this demand is one way that an investor
can generate a return. As we become more aware
that adoption is at hand, we can invest, and then
push capital towards the projects that are making
it happen. With these fundamentals in mind, we
can better understand the financial services which
will satisfy the increasing demand.
Adapting Financial Services to Meet
Demand
Gold and silver are called honest money for a reason,
and it’s the same reason that you can apply to crypto
currencies; they pay special favor to no one. They can
be stored in a safe, or removed and sent across the
world in minutes. We are now able to create decentralized
trading markets which facilitate trades on
a peer-to-peer basis. As the pendulum swings we
seek balance between centralized convenience and
decentralized freedoms.
As awareness is expanded and major demand is
realized, some of the largest financial institutions
begin to offer accounts denominated in cryptocurrencies.
These financial institutions will be wellconnected
to foreign exchange markets, including