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You may love it, or you may hate it. You might even think this next-generation investment is only for computer geeks, or those with serious gambling addictions. But irrespective of your feelings, Bitcoin and the rise of so-called cryptocurrencies will change the entire financial paradigm.

View photos The Not-So-Crazy Case for $10,000 Bitcoin More

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I argue that in many ways, digital currencies have already rocked the often stodgy and slow-to-change financial infrastructure. Back in 2013 when Bitcoin prices first eclipsed quadruple digits, the mainstream viewed the cryptocurrency in a speculative, negative light.

For instance, CNN Money made sure you knew that Bitcoin was the “currency of choice” for drugs and illicit transactions. The mainstream media also cited criticism that Bitcoin could be worth a fortune, or nothing at all.

It’s fair to point out the seedy side of cryptocurrencies because that element actually exists. At the same time, focusing strictly on the negatives prevents viewing the digital markets through a broader perspective. Any new technology is susceptible to unlawful or otherwise illegitimate use. But over time, greater exposure leads to integration of that technology. More importantly, integration leads to cultural and societal normalization.

The latter point is already occurring. Today, it’s not at all uncommon to see reports from CNBC, Bloomberg, or other mainstream business publications discussing Bitcoin prices. And personally, I’m happy to see more of my InvestorPlace colleagues give cryptocurrencies a fair shot. Even Dana Blankenhorn, who doesn’t necessarily fit the stereotypical image of a Bitcoin trader, has written a number of articles about the technologies underlining cryptocurrencies.

What distinguishes me from many other writers, though, is that I’m extremely bullish on the cryptos. In fact, I see a case for $10,000 Bitcoin. And I’m not afraid of going long, even at these “ridiculous” levels around $4,700 or so.

Here are a few reasons why you too should go digital!

The Blockchain Technology

You can’t truly appreciate cryptocurrencies without acknowledging the blockchain technology. As Blankenhorn explains, the blockchain is “the idea of an encrypted ledger, with an audit trail to resist manipulation, and an Internet-like structure to resist attack.”

What makes the blockchain unique from other ledger systems is that the verification process is conducted not by authorized administrators, but rather, decentralized agents called miners. Utilizing top-grade GPUs from Nvidia Corporation (NASDAQ:NVDA) and Advanced Micro Devices, Inc. (NASDAQ:AMD), miners compete with each other to verify blocks of transactional data.

“Upon completion, the verified data block is entered into a sequentially-ordered ledger chain; hence the term, ‘blockchain,'” Blankenhorn explains. “Miners who successfully verified the blocks first receive a cryptocurrency unit, such as Bitcoin, as a reward.”

From an investor’s perspective, the granularity isn’t that important. What is important is that the blockchain exponentially improves upon our current transactional infrastrucure.

Eliminating the Middleman

As soon as the internet was launched, people began to devise ways of conducting online commerce. The problem with e-commerce at the time was that digital money or tokens could be replicated easily. To prevent fraud and the “double-spending” problem, middlemen offered services to validate online transactions’ legitimacy.

But the blockchain technology renders middlemen unnecessary. Each transaction is verified through the mining process, and thus, no one transaction is identical to another. That eliminates the double spending of the same digital currency.

Today, businesses no longer need to submit themselves to the mainstream financial hegemony. Some companies may view credit card overhead and maintenance costs to be onerous. Whatever the reason, the blockchain opens up alternative financial services.

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