I’ve been watching intently the developments this weekend in Cyprus.  In case you missed it, the government is raiding the bank accounts of its citizens as part of a bail-out agreement with the EU.

Look at your income statement.  Now look at it without sales taxes, employer payroll taxes and Obamacare penalties.  Then tell me Bitcoin is irrelevant.

Cyprus needs the money to save itself from excessive government spending.   Sound familiar?   It should, and cash intense businesses like staffing should take note.

Take note and act, that is.  If your Euro and USDollar aren’t safe, what is?   Welcome to the Bitcoin revolution. “There is no turning back now”.  Bitcoin does not operate like typical currencies: It has no central bank and it solely relies on an internet-based peer-to-peer network.

[update 3/19/2013 5:30am CST  … Reddit carried this post and resulted in comments that I’ve reformatted here as a Q&A]

Are there competitors to BitCoin?

[–]Julian702[S]  There are forks of bitcoin, but I don't consider them "strong" competitors. They don't offer anything new or innovative that Bitcoin doesn't already do. And they suffer from a lack of adoption. The only crypto currency alternative I put any faith in is NameCoin because of its ability to create unseizable domain names and such.

[–]miscreanity Ripple is a clearing network that allows market creation between arbitrary individuals. While not necessarily a competitor, it is one of the only cryptocurrencies other than Bitcoin that has real potential.

At the moment, Ripple is under heavy development and is awaiting source code release. Until then, the promise resulting from its structure remains just that.

the textbook case of what will inevitably happen to your staffing company’s bank account when the US government comes to terms with its over-spending

Has Bitcoin gone mainstream?

[–]17chk4u Naaaah. we are still waaaaay before mainstream. You can safely buy now, knowing you are an early adopter.

It WILL go viral in the world, but until you hear it talked about at cocktail parties or mentioned casually on TV (like facebook is), you are still very much in the early adoption phase. There are only about a million or 2 participants, and this can easily grow to 100 Million or 500 Million participants. Plenty of room for growth.

[–]DrMandible The news media is state propaganda. If and when they report on it, the only stories will be about how it funds terrorism or gives children heroine or some other nonsense.

Where Can I Exchange USDollars for Bitcoin?

[–]greggdourgarian I installed Bitcoin on my Windows computers and it pretty much hung the thing while it synchronized. That pretty much put me off on actually ponying up USD to buy some. Is that a common experience?

[–]Julian702[S]  Yes that is a common experience unfortunately. The Bitcoin-QT client is not recommended for new users anymore. It has recently had an upgrade that makes startup quicker, but it's still not recommended for people just starting out.

Better to try Blockchain.info, Multibit, Electrum, or one of the clients available on smartphones.

[–]DrMandible Using the big official bitcoin program to use as a basic wallet is a little like establishing an entire bank branch to house your personal checking account. I strongly recommend using one of the many "light" clients.

So What Does This Have To Do With Staffing?

[What is your profession?   Wealth-confiscated staffing dollar exchanger or savior of free market labor?]

What does this have to do with staffing?

Nothing and everything.  You can look at Cypriot levy as a temporary tax maneuver by a small country, or you can look at it as the textbook case of what will inevitably happen to your staffing company’s bank account when the US government comes to terms with its over-spending.

You can look at Bitcoin as a nerdy way to pay for stuff on the internet, or you can look at it as a way run a staffing businesses in the grey economy.

Look at your income statement.  Now look at it without sales taxes, without employer payroll taxes, and without Obamacare penalties.  Now how many people can you hire?

Tags: News