Consider that if all the drug dealers in the world refused to accept dollars and began demanding payment in bitcoins, the world dollar economy would collapse.
Wiki tells us that the global drug trade generated an estimated US$321.6 billion in 2005.With a world GDP of US$36 trillion in the same year. Most of that flowing into the US of course. The illegal drug trade constitutes nearly one percent of the entire global economy, and an even larger percentage of the US economy. Pulling the plug on that many dollars would facilitate the widespread adoption of the currency by legitimate private enterprises.
Obviously the nature of Bitcoin makes it custom tailored to the sale of illicit products, so it comes as no surprise that sellers of illicit goods are a sizable part of the early adopters of the new currency.
Of course, that does not mean the currency is bad in and of itself. Drug dealers also accept dollars as payment today, yet we don’t demonize the dollar because people buy drugs in dollars.
I personally really don’t care if drug dealers are going to be the ones to push this currency into the mainstream or not. It is unfortunate that it must be this way, but it is what it is.
The world needs to be freed from the control of the bankers and their oppressive governments.
May free markets and freedom reign supreme.
As a side note, I recently updated my How To Use Bitcoin – The Most Important Creation In The History Of Man article to address some of the unfounded allegations by libertarians who did not actually bother to do any research on the subject before claiming it is junk. The problem comes from the over-hyping of gold as a currency among libertarian organizations. Libertarians must remember that Austrian economists only want a gold backed currency because that is what the free markets have traditionally chosen. If an alternative comes along that the markets like even more than gold, Austrian economists would be in favor of that – such as the economist in the Reason Magazine video listed below.
Bitcoin is not a scam, it is not a ponzi, it has no owner who is profiting from it, it has no central bank managing it, it isn’t going to inflate itself to the moon, it isn’t going to be cracked by 15 year old kids, etc.. etc.. etc..