Lavalley 1

Austin Lavalley
DeBock
Block 2
March 11, 2015

Research Question: Are online currencies better than traditional currencies?

Working Thesis: Online currencies are better than traditional mediums of exchange.
Refined Thesis: Online currencies are more efficient and more reliable than traditional mediums of
exchange.
Annotated Bibliography

Hennessey, Ray. "Why Bitcoin Is Better Than Other Currencies." Entrepreneur (2013).
Ray Hennesseys article explains the reliability of Bitcoin as a currency, while combating
doubts made by those opposed to online currencies. In the article, he explains how Bitcoin
contains all the key properties of a successful, sustainable currency. These properties include
having a limited supply, being easily divisible, portable, and have the ability to stay valuable
over time. All successful mediums of exchange throughout history have held these properties,
which only leads to the assumption that Bitcoin, along with similar online currencies, have the
potential to thrive. This article will help support my position by illustrating how Bitcoin stacks
up against other successful mediums of exchange.

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Shandrow, Kim Lachance. "Bill Gates: Bitcoin is 'Better Than Currency'." Entrepreneur (2014).
Shandrows article highlights an interview with Bill Gates, who openly supports not only
Bitcoin, but all online currencies. Shandrow explained Gates position on cryptocurrencies in a
positive way, explaining how he believes they are the future of financial transactions. Shandrow
also addressed how Gates believes online currencies will catch on in India and parts of Africa,
helping poverty stricken people over the next five years. Gates foundation has already
implemented a money transfer service in Kenya. This article will help support my position by
illustrating the power and influence behind cryptocurrencies, and showing how online currency
has the potential to grow in the near future.

Whelan, Karl. "How Is Bitcoin Different From The Dollar?" Forbes (2013).
Karl Whelan's article explains the reasoning as to why Bitcoin is superior to traditional
currencies, for example the dollar bill. Whelan begins by explaining the biggest difference, that
Bitcoins are decentralized, or that the currency is not backed by a central power or government.
He states that when backed by a central power, there is a demand created for that currency which
forces it to stick around. When decentralized, there is no need for the currency, only preference
of using it over another. This article will help support my position by illustrating the differences
between decentralized currencies and those backed by a government.