B.Y.O.B. – Advantages & disadvantages of Bitcoin loophole

In the crypto world, B.Y.O.B. does not stand for “Bring Your Own Beer”, but for “Be Your Own Bank”. Under this consideration, B.Y.O.B. represents the original mantra behind Bitcoin – the vision of Satoshi Nakamoto’s independence from state-run currencies. But freedom does not come without a price. This sentence is often used in a wide variety of contexts – including the universe of Bitcoin & Co.

Your own Bitcoin loophole

The 2008/2009 financial crisis gave the banking system a deep rift. Lehman Brothers bankruptcy was the biggest in world history. In 2008, the US government adopted a “rescue package” of 700 billion US dollars. In addition, the US Federal Reserve Bank launched the so-called “Quantitative Relaxation” and printed around 3.5 trillion US dollars as a result. This money ultimately comes out of taxpayers’ pockets. The population has no choice – the legal tender must be used (for example to pay the tax burden). The people are hostage to an economic Bitcoin loophole experiment of epic proportions. Here is the Bitcoin loophole review.

Bitcoin comes just in time. Thanks to Satoshi Nakamoto, there is now an alternative means of payment that people can use if they wish. Bitcoin offers each of us an opportunity: You can be responsible for your own money – your own bank. What’s the catch?

Don’t pay for the mistakes of others

Given the experimental monetary policy of the central banks, the advantage of Bitcoin is obvious. The amount of money in Bitcoin is given by the source code and cannot be arbitrarily changed. In Bitcoin, a state cannot decide to print several trillions. Confiscation of the population’s funds is also impossible. In this respect, Bitcoin is a safe haven: the rules are clear, no central authority can change them. That is why Bitcoin is independent of state money systems.

Bitcoin users are also independent of trustees. Apart from a missing publisher, users can also manage their money themselves. In short: B.Y.O.B. This protects against eventualities such as Lehman Brothers bankruptcy. Not to forget that many retirees lost their old-age provision at that time.

Thus: The own holding of the money extinguishes the counterparty risk. This means the risk of losing one’s money through mismanagement by another party (e.g. the bank). In addition, Bitcoin is independent of a central issuer of the currency. Bitcoins are automatically and impartially distributed according to the rules of computer code.

Buying Bitcoin alone does not offer independence. If the digital coins remain on a centralised exchange, nothing is gained. Only those who have sole control of the private keys have financial freedom.

“Forgotten password” is not an option in the Wild Crypto West
What a power! – be your own bank. The “disadvantage” is that you are responsible yourself. If you lose your private key, send a transaction to the wrong address or take bad security precautions, you are on your own. There are no responsible persons who can be asked for help. This circumstance requires that one is sufficiently familiar with the technology, that one can estimate the risk and that one protects oneself accordingly with back-ups.

So you are responsible for yourself. A disadvantage for all those who don’t know where is up and down – an advantage for all those who are up to the responsibility. BTC-ECHO has set itself the task of closing the gap as far as possible. That’s why we report news daily and place them in the overall picture.

Finding Nemo: Swiss food importer tracks tuna with blockchain

Another case of acute blockchain adaptation has occurred in Switzerland. The Swiss food importer Gustav Gerig AG has teamed up with the blockchain service provider Atato to enable blockchain-based tracking of MSC tuna.

Food tracking and the Bitcoin secret

A Bitcoin secret with a future: Is Bitcoin Secret a Scam? Beware, Read our Review First After US retail giant Walmart has been using the technology for lettuce supply chain monitoring since September, competition from Europe is slowly but surely following suit. Customers of Europe’s second largest retailer, Carrefour, have been able to track poultry products by QR code since the middle of the month.

The Swiss food importer Gustav Gerig AG is now planning something similar. In cooperation with the blockchain service provider Atato and the tuna marketing company Pacifica, MSC-certified tuna is to be added to the blockchain. This is stated in a press release issued by Gustav Gerig AG on November 28. Specifically, it concerns products of the “Raimond Freres” brand, which in future will be able to reveal their origin to consumers via a QR code scan.

Unlike Walmart and Carrefour, who rely on the Hyperledger Fabric from IBM, de Gustav Gerig AG uses Ethereum. The Thai blockchain service provider Atato is responsible for the technical implementation.

Everything in the spirit of sustainability…

The background for the decision for Gustav Gerig AG was ‘above all the attitude to offer sustainable goods’. It is to be assumed that the decision is not based on good humankind, but on economic interests. For example, the clarification of the causes of food scandals can be carried out much more efficiently and cost-effectively by means of blockchain-based monitoring of supply chains. At Walmart, an E. Coli scandal forced the company to turn to Blockain technology.

At Gustav Gerig AG, there was a food safety problem last August. The company had to start a recall campaign together with Nissin Foods, Migros and Migrolino. This involved Nissin instant noodles in which pieces of glass were found. Cases like these will not be prevented in the future. But the blockchain technology will significantly speed up the investigation. Under certain circumstances, this can save lives.

Exclusive information on the status quo of the blockchain ecosystem in Germany can be found in a new study by BTC-ECHO and BlockState.