Is the National Security Agency behind Bitcoin?

Recently a 1996 NSA report surfaced, ‘predicting’ a crypto-cyber unit eerily close to Bitcoin. So eerily close, that, knowing their M.O., the question arises whether this report is a prediction, or a plan.

The report can be found here. I don’t know how long it has been circulating in the Alternative Media, but it seems it just surfaced. It is stunning. It looks very much like an architectural design of the kind of issues this cyber unit should solve. It is stunning not only because it so closely resembles the architecture of Bitcoin, but also since it so conspicuously avoids all the real problems with our monetary system, i.e. Usury, scarcity of money and the manipulation of volume.

If we look at similar ‘predictive’ reports on for instance population control, which have had such a major impact on the Truth community, we must conclude that this particular NSA report on crypto-cyber currencies looks more like a design than a prediction.

Meaning that Bitcoin just officially became a Money Power meme.

Bitcoin architecture
The NSA report goes deeply into the challenges a crypto currency faces and lists the various security and implicated regulatory risks. Both from the point of view from regulators and developers of such schemes.

Amazingly, a key writer of the report is called Tatsuaki Okamoto. In the Bitcoin community this has been picked up as remarkably similar to Satoshi Nakamoto, the pseudonym of the enigmatic developer of Bitcoin.

As we have been discussing, Bitcoin was designed to be scarce and deflationary. Interest-free credit is impossible with Bitcoin and this year we have seen wild trading in the cyber-unit, with a massive bubble and the unavoidable crash. Nonetheless, Bitcoin’s rate at this point is about $110 today, up from $5 November 2011. Its total market capitalization topped $1 billion at its peak and is still substantial.

Implications
An interesting issue is In-Q-Tel’s involvement. In-Q-Tel is the ‘not for profit’ investment arm of the CIA. Undoubtedly just another control mechanism. In-Q-Tel is investing or planning on investing in Bitcoin, presumably by buying some of them. The CIA has been involved in an extensive dialogue with Bitcoin people. It is unclear as to what this ‘dialogue’ amounts to, but obviously, combined with this shocking NSA paper, the whole thing looks pretty suspect.

So what are the bad guys up to? Are they creating a unit with which they can finance their international drug trade without risking money laundering in the banking industry, which is forced to be more and more transparent?

Perhaps it’s not for nothing that American legislators have shown alarm at the uncontrollable flow of funds?

Or is it all just a ruse to undermine free market currencies and regulate them to death, using Bitcoin as some sort of monetary false flag?

This latter scenario would explain the heavy handed and totalitarian way the DHS recently seized some account owned by Mt. Gox, the biggest Bitcoin exchange. Note the DHS is not some financial regulatory body, but the Gestapo itself.

Conclusion
Even today it’s too early to come to conclusions about Bitcoin. Perhaps it’s still a well-intentioned try, destined to failure by its faulty design, or destroyed by the agencies. Or it was designed from day one as a tool to help maintain control of the money supplies of the world.

But it is amazing how the NSA report addresses the ‘need’ for privacy with transactions as the main monetary issue, ignoring all the far, far more important problems we have with our money, and how Bitcoin answers exactly the challenge put forward.

Knowing the ways these people think and operate, this NSA report basically puts to rest the notion that Bitcoin was a completely innocent ‘free market’ or ‘human action’ kind of thing to begin with.

Related:
Bitcoin: Blessing or Trap?
Baffling Bitcoin
Bitcoin, impressive but flawed

Anthony Migchels is an interest free currency activist and founder of
the Gelre, the first regional currency of the Netherlands. His
articles can be found at http://realcurrencies.wordpress.com. Contact
him at [email protected]