But it may have a different affect. Silk Road may be doing to the drug cartels what Bitcoin is doing to the central banks.
exactly. i think one of the reasons (among others) drug cartels and gangs resort to violence is because they dont face serious competition. they dont face serious competition because the state prevents it. they state cant prevent competition such as the silk road. i dont know of any case of a silk road employee being gunned down in a drive by, have you? silk road is completely peaceful. the state is violent. bitcoin has facilitated the transformation of something that has up until this point been violent, into something completely peaceful and voluntary. cant it do the same thing for other illegal activities as well? should we resist the transformation of normally violent, coercive, or involuntary activities into something peaceful and voluntary?
and of course a bump in purchasing power is usually a good thing...