Crypto Capitalism

Capitalism is the economic system that is based on private ownership of the means of production, in which the market serves as a mechanism to allocate scarce resources efficiently to generate wealth that goes to private individuals and not to an organization such as, for example, the state.

Understanding this concept of capitalism, how do cryptocurrencies affect this system?

Thanks to the blockchain system we could say that we have been entering a new stage of capitalism that is marking a before and after in the way we live and consume things as the internet and smartphones did.

As we mentioned before, what capitalism seeks is that the goods belong to the person who is working it without the intervention of politics or the state, which is exactly what the crypto world has been introducing to us with its blockchain, which in the transactions there is no institution of any kind that sticks its spoon, but everything is between those involved in the transaction and the block that remains in the public record.

To talk about crypto capitalism let’s take into account the ICOs.

These tokens are used by companies to sell through individuals, the work as a financing activity of the company, and that you can use for products or services of this same.

This allows starting funding new businesses this way since they not only do not need to meet with investors to get their funding since they do not have any kind of border and anyone anywhere in the world can contribute the amount of money they want to support the business.

While this is a reality that has begun to be adopted, there are still things to consider such as political leaders calling for some form of regulation of the cryptocurrency market so that they are taxed, although this of course does not seek to regulate generalized money.

Experts comment that although ICOs are born as a form of financing, some do not have well-marked limits and end up attracting more capital than they said they needed.

We are just beginning to understand everything about this type of capitalism that is going to revolutionize everything we know today.