Bitcoin has risen to prominence as the most popular cryptocurrency globally. Its decentralized and non-fiat currency nature makes it a popular option for individuals seeking financial freedom. However, one question that remains is whether Bitcoin could survive an apocalypse. This article explores this topic, and whether Bitcoin could remain a viable option during a global crisis.
Can Bitcoin Survive an Apocalypse?
If an apocalypse were to occur, it is hard to predict whether people would turn to Bitcoin. However, decentralized non-fiat currencies like Bitcoin are adaptable in ways that others are not. Let’s assume a catastrophic event rocks the globe, such as a new financial crisis, an invasion of a country, a pandemic, or a nuclear war. Would Bitcoin still be a viable option in a destabilized world? The answer is probably yes.
Bitcoin’s network consists of a series of nodes that verify each transaction and block. As it is built on an immutable blockchain, every transaction and block must align with the Bitcoin protocol’s rules. If a transaction or block does not comply, the node will reject it, preventing it from being added to the blockchain.
Fortunately, the Bitcoin network requires relatively few nodes to operate effectively. Any apocalyptic scenario would have to wipe out virtually every single node to render the network unusable. However, in an unthinkable event of a nuclear war, many Bitcoin nodes would go offline permanently, making it challenging to validate transactions and blocks. A reduction in nodes would also make the network less decentralized and more prone to manipulation. However, the network would survive, and new nodes would follow.
Bitcoin and the Internet
Bitcoin is a digital currency that was born on the internet, and it would not have been invented without it. But could it survive without it? Yes. As of 2018, a solution exists if the internet suddenly becomes unavailable. Blockstream operates a network of communication satellites that broadcasts the Bitcoin blockchain worldwide. The network allows people without internet access to receive validated transactions and blocks. The network is free to use, but users need a computer and antenna to gain access. Nonetheless, the Blockstream satellite network has limitations as it does not provide universal coverage, including some notable dark spots.
Moreover, Bitcoin users can also send their coins over a mobile network. Last year, South African developer Kgothatso Ngako launched a new SMS-based service called Machankura that allows users to access Bitcoin using their feature phones without internet access. The service uses the GSM network to enable users to send and receive Bitcoin by dialing a number and entering a five-digit pin, thereby creating a Lightning address. However, Machankura is a custodial service, which goes against the Bitcoin ethos of “not your keys, not your coins.”
Would We Use Bitcoin?
While we have established that Bitcoin could survive an apocalypse, whether we would use it is a more challenging question to answer. The first barrier to Bitcoin becoming a de facto world currency in the event of a cataclysm is the current state of Bitcoin adoption. As of March 17, 2023, Glassnode estimates that the number of active Bitcoin addresses is approximately one million, which is about 0.0125% of the world population.
TripleA estimates that crypto ownership is at roughly 4.2%, which is a better figure. However, this still leaves 95.8% of the world population that does not own any cryptocurrency. Even if we assume that 20% of the global population has used crypto in the past, that still leaves 80% who have little familiarity with this technology. This lack of familiarity will affect how many people use crypto as a store of value or to transact. It will also limit Bitcoin’s adoption during an apocalypse.
Conclusion
Bitcoin could survive an apocalypse, but the question of whether we would use it
