The Silk Road & Bitcoin

The Silk Road has received an abundance of negativity due to it being an online marketplace where nearly anything can be bought. I found an article on the Guardian which talks to the creators of the online currency known as Bitcoin.

"Bitcoins are a currency controlled by no government, no company, and no group, but rather by maths: a series of complex cryptographic calculations rule how many Bitcoins are in existence and how many are traded."

The fact that there is no intervention from the government or another group is an obvious instant appeal to anyone performing illegal activities or someone who is very worried about their privacy.

"At the currency's birth, Bitcoins were almost worthless – five cents each. Today, a single Bitcoin trades at $70 (£46) – and the total value of all the world's Bitcoins has topped $800m (£500m). On the face of it, this makes Bitcoin the fastest-growing currency in the world."

Bitcoin is the faster-growing currency in the world due to it's structure and the way it is operated. Even the developers aren't making much money from it due to the fact, they claim, that there will be a cap on Bitcoins when there are around 2 million in circulation.

Although there is a lot of scrutiny about buying drugs online, let alone drugs in general, the Silk Road serves as a middle ground and has been described as place for 'connoisseurs'.

"Johnson said his view was that Silk Road was a site for connoisseurs: an easy way to track down better quality – not cheap – drugs. The site "isn't easy to use", but doesn't require particular expertise: "If you can set up a direct debit and follow a recipe for risotto then you'll work it out."
Once you're in, it works much like eBay: sellers' reputations are verified through feedback, building trust. Money is typically held in an escrow (a trusted middleman) until delivery, with missing packages qualifying for partial refunds.
In all, he concludes, the quality is more consistent, the sale is safer, and the experience better than trying to find a street dealer. Johnson even claims the site helps combat addiction."

 Public perception of the site is a lot different to that of the authorities. The Silk Road is built on a base of trust where the buyer can purchase what they what they want directly from the original seller, as opposed to a sketchy individual on the street. It keeps a distinct boundary of 'on a need to know basis' where the buyer and seller both remain unknown to one another, which highlights the fact that it's strictly business.