"We risk becoming the best informed society that has ever died of ignorance"
- Rubén Blades

"You can't make up anything anymore. The world itself is a satire. All you're doing is recording it"
- Art Buchwald

"It's getting exciting now, two and one-half. Think of everything we've accomplished, man. Out these windows, we will view the collapse of financial history. One step closer to economic equilibrium"
- Tyler Durden

"It is your corrupt we claim. It is your evil that will be sought by us. With every breath, we shall hunt them down."
- Boondock Saints

Thursday, August 25, 2011

Banking 2.0: Prepare For A New Style Of Banking Coupled With New Ways To Rob You Blind

Fiat currency is under attack and rightfully so.  With the threats of inflation (Weimar) from old days to the current (QEn) humans have sought protection from the fallible actions of men with over-sized egos and bullshit degrees.  The world is facing a paradigm shift.  The old style of banking where money represented gold held by the banker is dead and its replacement is being threatened by a newer style of banking taking place no-where else but Kenya.  The Kenyan mobile phone company Safaricom released a banking system that operates through mobile phones.  The M-Pesa (Mobile-Money) enables users to quickly transfer money through brick and mortar shops.  Users drop off cash at the outlet and a text message is sent to the recipient.  The message contains a pin number that is entered into an ATM and cash is withdrawn.  This process, once elaborated, will be the lead in to tying money into RFID chips.  

Think about it.  Mobile phones are everyone and people need them.  Whether you're a business man or a housewife or someone in between, a mobile offers the ability to access information, family, and a plethora of other things good and bad.  People have reported feeling "naked" without their phones and just imagine the teenage daughter who spits hate and frustration at her parents over a missing phone.  The connection we have established with mobile technology has offered the opportunity for banks to open themselves up to a whole new group of people and a whole new set of Linda Green scams.  I can see the headlines now about News Corp. monitoring money transfers.  This will further open people up to being robbed.  Imagine the people that will create programs to take the encoded information and enable them to steal it from unsuspecting victims.  Now phone manufactures will be able to roll out news phones daily with new security upgrades and less structural strength.  With phones becoming wallets, calendars, todo lists, newspapers, banks, and maps, the future is doomed to be servant to technology.  Expect the shift from machines providing electricity to us for existence to become one of us producing electricity for the machines.  Soon we won't even need to exist, machines will build products, interact in financial markets, drive cars, spoon feed information, and perhaps wipe your ass in the near future.