If you RTFA, you'll see the author sneers at Krugman because he
said he doesn't like the "sound" of bitcoin, but if you actually
read the Krugman post, you'll note that he actually has an argument
To be successful, money must be both a medium of exchange and a reasonably stable store of value. And it remains completely unclear why BitCoin should be a stable store of value.
Daniel Jeffries (the author of TFA), essentially argues that
there are multiple competing digital currency systems and we should
let the market choose which one it wants to use.
It's difficult to know where to start with someone this naive,
who hasn't been paying any attention to real world events in the
last several decades.
He's stuck on the idea that people are rational actors, that they
don't get carried away by fads ("irrational exuberence"), they
don't create bubbles, con themselves that this time it's
different, then get really dissapointed when the bubble pops.
He's looking for a technical fix for the need for something like
the Fed without quite knowing what it is that the Fed is doing...
Try this point: bitcoin is the standard
bearer for every digital currency, if bitcoin crashes and burns, no one is
going to be willing to trust any of the others. Talk about it's
technical advantages until you're blue in the face, no one will
listen to you...