Chapter 5 Math-Based Currencies How Bitcoin May Prove Transformational to The Financial Services Industry

George Peabody


“I’m a big fan of Bitcoin. . . . Regulation of money supply needs to be depoliticized.”

—Al Gore, Former U.S. Vice President and Nobel Peace Prize Recipient

[T]hese types of innovations [such as Bitcoin] may pose risks related to law enforcement and supervisory matters, there are also areas in which they may hold long-term promise, particularly if the innovations promote a faster, more secure and more efficient payment system.

—Ben Bernanke, in a letter to the chair of the Senate Committee on Homeland Security and Government Affairs, November 12, 2013

Entering the Age of Context

In the fall of 2013, tech industry observer, blogger, and cloud computing advocate Robert Scoble and his coauthor Sal Israel published their book The Age of Context. Exposed to almost every Next New Thing from the minds of Silicon Valley entrepreneurs, think tanks, and enterprise-scale tech firms, Scoble in particular has had a front row seat to what’s possible coming from the Valley, New York, Austin, Seattle, Boston, and other innovation hubs. Based on that exposure and their own experience, the authors identified five technologies, the union of which they believe will fundamentally change how we live, interact, market, sell, and navigate through our daily and transactional lives.

The five technologies are:

  1. Mobile devices and communications. With well over 60 percent ...

Get Virtual Banking: A Guide to Innovation and Partnering now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.