Bitcoin and Wonders

In its journey, Bitcoin became the virtual world currency. Bitcoin (BTC) transactions exploded and shocked. The product is selling well and becomes a prestige of individual wealth in the international world. The Bitcoin Organization of Indonesia says the total value of all BTCs in circulation penetrates US $ 1.5 billion with Bitcoin exchange transactions worth millions of dollars every day, even though only four years is declared publicly. In the United States alone the circulation of Bitcoin reaches 35 percent of the circulation of Bitcoin worldwide. While China 5 percent and in Indonesia is still about 1 percent.

The value of Bitcoin is also astonishing. Initially 10,000 Bitcoin was only worth two pieces of pizza when tested first traded in January of 2010. That means 1 BTC valued US $ 0.0025 equivalent to Rp23 using the January 2010 rate at the level Rp9.200 or Rp33.75 with the exchange rate Rp13.500 in the medio February 2016. Now with a total of 10,000 BTC, the coffers of money can soar up to US $ 3.9 million or equivalent to Rp52.8 billion using the highest exchange rate of Bitcoin on February 12, 2016 for US $ 391.24 per 1 BTC.

Nominal growth is already relatively normal. Price 1 BTC has jumped to Rp1.216.73 on MT Gox Exchange on November 17, 2013. But at other times a Bitcoin is only worth US $ 13-US $ 100. Bitcoin prices have plummeted to a range of US $ 500 per BTC from US $ 1,100 per BTC when the Chinese Government banned the use of Bitcoin or even free fall to US $ 3.50 when Bitcoin MT.Gox and MyBitcoin agents hacked into hackers that led to leaked information and theft of the virtual currency .

But in other periods the price of Bitcoin could soar to US $ 1,242 shortly after the Senate and the United States Government affirm for the first time that Bitcoin innovation should not have any obstacles in its developmental process.

Bitcoin exchange rate fluctuations are closely related to world economic policies including the regulation of a country, the perceptions of hope and worry (panic) of Bitcoin owners and the number of Bitcoin demand and supply in the market.

As bitcoin demand grows, it can boost price increases and when demand for flagging prices weakens. Bitcoin is limited in number and new bitcoin is made with predictable levels with a downward trend, so that demand must follow the inflation rate to keep prices stable.

Bitcoin was once named the currency of the year, then crowned as the best investment of the year. [But] has also been named the worst currency or the world's worst currency when the price falls.

However, many of Bitcoin's pessimists will be able to shift the conventional currency both locally and globally. The reason is Bitcoin has a problem because it has no underline and is not centralized. In addition, Bitcoin also does not have a deposit and credit mechanism like any other currency.

Poltak Hotradero, Head of Indonesia Stock Exchange Research Division, said that the use and status of Bitcoin is just as an alternative currency that is used by a group of people. In terms of function, bitcoin is considered only able to meet a small portion of the function of currency that is as a means of payment.

"So I'm not saying that Bitcoin is only for hobbies, but its use and status as an alternative currency will only continue to be an alternative. Because Bitcoin to date is only a form of payment only to fulfill some of the functions of a number of functions of all currencies, "he said.

Poltak added that the utilization of Bitcoin that does not require banking institutions is also considered not to be able to shift the banking function, because the exchange rate is very volatile. "Though on the cheap transfer side but the exchange rate risk is very high. So I do not see that Bitcoin can replace the mainstream currency functions, "Poltak said.

For that, he considered Bank Indonesia not yet need to issue a special policy related to this digital currency. If in this case BI reacts and over reactive, it will invite even greater interest from the community.

Meanwhile, Vice Chairman of Legal and ASEAN Chamber of Commerce, Bernardino Moningka Vega rate digital currency is closely related to e-commerce transactions, so it is more urgent to set the electronic transaction system first. Along with the increase of e-commerce transactions in the country, the government should properly regulate the system and record all transactions through the internet.

According to him need to create an accounting format that combines the data of all transactions via the Internet as an electronic transaction platform that has been applied in the United States, so that its economic potential can be optimized.

He said the Bitcoin digital currency system is difficult to become the currency of the future