China ready to dominate the CryptoCurrency markets of the future using supercomputer power superiority
Max Keiser and Stacy Herbert discuss China's superiority in supercomputer power field and the possible impact on China's domination in the CryptoCurrency markets of the future. As Herbert describes based on a related article from Technology Review:
If you want to crunch the world’s biggest problems, head east. According to a newly published ranking, not only is China home to the world’s two fastest supercomputers, it also has 202 of the world’s fastest 500 such devices—more than any other nation. Meanwhile, America’s fastest device limps into fifth place in the charts, and the nation occupies just 144 of the top 500 slots, making it second according to that metric.
The world’s fastest supercomputer is still TaihuLight, housed at the National Supercomputing Center in Wuxi, China. Capable of performing 93 quadrillion calculations per second, it’s almost three times faster than the second-place Tianhe-2. The Department of Energy’s fifth-placed Titan supercomputer, housed at Oak Ridge National Laboratory, performs 17.6 quadrillion calculations per second—making it less than a fifth as fast as TaihuLight.
The American government is painfully aware that it’s now a laggard, and a $258 million funding injection into the Department of Energy’s exascale computing project is supposed to ready a system capable of performing one quintillion operations per second—10 times the capacity of TaihuLight—by 2021. But, er, China reckons it will achieve the same feat as soon as 2020. Right now, then, China has America’s supercomputing industry beat.
As Keiser points out:
This is very important because competing power and speed are the defining characteristics of a superpower. It's not about weapons, it's not about infrastructure so much, it's not about having cultural soft power. It's about having really fast supercomputers.
One obvious application is that China will be in a position to dominate the CryptoCurrency market, and CryptoCurrency market is the de facto 21st century economy and finance and currency, so this is part of the Chinese 21st century program, China 2025.
The article from the Technology Review also describes a fierce competition between China and the United States in the supercomputer power field. However, concerning the CryptoCurrency markets, China has already a big disadvantage against the US, not only because of its current superiority in supercomputers, but mostly because of the different policies adopted. The United States insists on the obsolete system of the traditional US dollar as the global exchange currency, while struggles to maintain that system through wars and devastating interventions around the globe, exactly because the US foreign policy has been totally surrendered to the financial-military-industrial complex.
As has been described recently, Russia also made a first move to issue its own CryptoCurrency. While Vladimir Putin implied that CryptoRouble comes as a natural attempt by Russia to participate in rapid developments in the sector of monetary and commercial transactions, it is quite probable that there are other reasons too. At the time where Russia struggles to overcome continuous sanctions by the West and BRICS seek complete independence from the Western monetary monopoly, the move could contribute significantly towards the achievement of both of these goals.
Previously, we had the first serious attack against Bitcoin by the Western banking cartel through JPMorgan CEO Jamie Dimon, which was a serious indication that Bitcoin and other CryptoCurrencies could become a real threat against cartel's monetary monopoly, which gives significant power to the mega-banks of the West, even up to the point to 'design' major financial crises.
Dimon's attack could be related to a recent statement made by the Head of the Russian Direct Investment Fund (RDIF), Kirill Dmitriev, that the BRICS are considering to create their own CryptoCurrency for the purposes of global commerce.
Such a move could help BRICS to decouple economies from the Western neoliberal monetary monopoly, even faster. With the technology of more powerful computers in close future that could 'mine' CryptoCurrencies at much faster rate, the number of people who will choose to abandon traditional currencies may rise rapidly. Those who will set-up such a de-centralized financial system, will gain a great advantage against the obsolete system of traditional currencies controlled by central banks.
Petrodollar already struggles to maintain its dominance as many countries have chosen to 'revolt' against it and proceed in major transactions with domestic currencies, or suggest such an alternative. Latest example, Venezuela.
As the BRICS bloc grows economically quite fast, the prospect of a BRICS CryptoCurrency will contribute to the quicker demolition of dollar domination. There is a deeper reason for which the US empire is terrified in such a case. Since the early 70s with the abolition of the gold standard, dollar became the dominant currency in global scale. This fact permitted the US financial-military-industrial complex, expressed by the neocon/neoliberal ideology, to design economic and military wars in every corner of the planet to maximize its power and profits. All it needed was just machines printing dollars. The rest was the easy part.
Therefore, the prospect of a global economy flooded with decentralized CryptoCurrencies and other CryptoCurrencies issued by a major rival bloc, will become the worst nightmare for the US empire and its Western allies.
As one can understand, the CryptoMarket anarchists have nothing to fear. A CryptoCurrency issued by BRICS, or some member-states, or even other countries separately, will not be a threat for the decentralized nature of the rest of CryptoCurrencies. On the contrary, it will give them a significantly wider field and greater opportunities for all kinds of transactions inside a dynamically growing economic bloc which, if nothing else, does not rely on wars and destruction to maintain its dominance.