In 1867, Karl Marx published the first volume of Das Kapital, his magnum opus on political economy. In it, Marx laid out his theory of “capitalism”—a system of economic production characterized by private ownership of the means of production and the exploitation of labor power for profit.
For Marx, capitalism was a dynamic and contradictory system that was both the source of great wealth and poverty, innovation and exploitation.
Nearly 150 years later, a new form of capitalism is emerging: “cryptocapitalism.” Cryptocapitalism is an economic system in which the production, distribution, and exchange of goods and services are based on cryptographic protocols (such as blockchain technology) and facilitated by decentralized networks (such as Bitcoin).
Like traditional capitalism, cryptopapitalism is a dynamic and contradictory system. It is both the source of great wealth and poverty, innovation and exploitation.
And like traditional capitalism, cryptopapitalism will be shaped by class struggle.
NOTE: WARNING: This article discusses the potential implications of introducing Bitcoin into a Marxist economic system. It should be noted that this is purely speculative and should not be taken as an endorsement or criticism of either Marxism or Bitcoin. Furthermore, it is important to understand that the views expressed in this article do not necessarily reflect the views of all Marxists. Please read with caution and use your own judgement when formulating your opinion on this topic.
So what would Marx make of Bitcoin?
On the one hand, Marx would likely be impressed by Bitcoin’s potential to disrupt the existing order. In Das Kapital, Marx argued that capitalism would eventually lead to its own downfall—as workers became increasingly exploited and alienated, they would rise up in revolution.
Similarly, Bitcoin could be seen as a tool that enables workers to overthrow the “exploitative” banking system.
On the other hand, Marx would also be critical of Bitcoin. He would argue that Bitcoin is just another way for capitalists to exploit workers.
For example, while Bitcoin may allow workers to avoid banks fees, they are still paid in a currency that has no value outside of the cryptocurrency market. In other words, workers are still being exploited—just in a different way.
Ultimately, it is impossible to say definitively what Marx would make of Bitcoin. But one thing is clear: he would be both impressed and critical of this new form of capitalism.
5 Related Question Answers Found
In an article for American Consequences, Jim Rickards says that Bitcoin is not money. He says that Bitcoin is a speculative asset and that its price is based on nothing more than speculation. He goes on to say that Bitcoin is not a store of value and that it is not a unit of account.
Morgan Stanley, one of the largest investment banks in the United States, has released a report on Bitcoin entitled “Bitcoin Decrypted: A Brief Teach-In and Implications for the Investor.” The report is authored by Sheena Shah, head of technology research for the bank. In the report, Shah acknowledges that Bitcoin has come a long way since its inception in 2009, and that its underlying blockchain technology has the potential to revolutionize how we store and transfer value. However, she also warns that Bitcoin is still a very volatile asset, and that investors should be cautious when considering investing in it.
What is Bitcoin? Bitcoin is a digital asset and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain.
Bitcoin is a digital asset and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain. Bitcoin is unique in that there are a finite number of them: 21 million.
Since its inception, Bitcoin has been surrounded by controversy and debate. Is it a Ponzi scheme? A digital currency?
