I like your writings but super lazy article. Anyone can see how toxic the Bitcoin/crypto community is. Tell me about proof of work, the upcoming halving, Middle East investments into mining, etc. You saying it’s another fiat currency shows your true lack of knowledge of the subject. In this context, if it’s not proof of stake, it’s probably not fiat.
Unfortunately, discussing Bitcoin can be like punching into the wind. So I understand your frustration on the subject and the discussions you might have had with Bitcoiners. On the surface you appear right. But if you do a deep dive into mining, proof of work, history of money, attributes of money, scarcity, etc you’ll find Bitcoin is the better monetary system. I don’t think it’ll happen overnight and probably not in my lifetime and probably not as a result of the death of fiat. Therefore, I do not care about price nor making money on it. It’s for the grand kids.
It absolutely is a philosophical difference. The fiat system we have coupled with our unelected bureaucrats (WEF, Fed, IMF) have made many losers and few winners. Not through actual work, but scheming and politicking. I don’t want that for my kids and Bitcoin is my only vote against “the system”.
At the end of the day, Bitcoin is a better, more free monetary system. All other cryptocurrencies and “crypto” offerings are Ponzi schemes
You are delusional if you think Bitcoin will be around for your grand kids.
You talk "proof of work" and a "deep dive into mining". Have you bothered to check out what a mining pool is and how the bitcoin network is distributed ?
Imagine talking about unelected entities like the WEF, Fed and IMF and thinking Bitcoin of all things is less centralized.
You can probably tell from my pfp but im a fan of Monero solely because at the very least it is
a) private
b) it is actually decentralized since there are no ASICs.
There are counterpoints (i.e. fiat off ramps, total network hash) but the points above (privacy, no asics) in my opinion have more weight.
Now this is not about number go up for me at all. All im saying is that critizing the powers that be while at the same shilling for Bitcoin is just the worst take you can possible have.
I would argue that the game theory behind Bitcoin is its rock of decentralization. I do believe the privacy issues will be worked out in layers 2 or 3 down the road. Thats the beauty of having a simple, firm, foundational base layer rooted in positive incentives - consensus should never change protocol given it would dilute miners holdings. I also don’t think it’s farfetched to see other tech developed outside of Bitcoin to be implemented into the future layers of Bitcoin.
I looked up “The Core Team” over at Monero and see that they seized power from the founder via a fork. I then looked up Bitcoin’s board of directors/control team and found a bunch of memes that called me a simp.
Agree with you to the extent that bitcoin is digital fiat currency and probably the primary driver is greed, and has been for a long time. I would quibble with saying everyone who is in it is in it for greed. There are still anarchist true believers as well. But the fundamental problem with bitcoin is that it has inherent scarcity but not inherent use value. So it meets only half of the requirements for a viable currency. And half of good enough, is: not good enough.
While I do say that bitcoin is a call option on human greed, I don't say that all who participate in it are in it for that reason. I agree with you that there must be some people who are still owners of bitcoin due to ideological or other reasons. The narrative around bitcoin as a cult of greed doesn't imply that all who own bitcoin are members of the cult, especially if they got in early. It's just the way the community is currently trying to keep the ball moving forward.
Time will tell but of course anything is possible. If, as others have said (eg. https://doomberg.substack.com/p/circling-tether) that the price moves due to the low float of traded coins and price manipulation by artificially sourced flows from Tether, then the law of marginal gains would imply that such a thing can't go on forever. If the game ends and big players exit, the price could drop by any amount. If that happens, we'll know it was a ponzi scheme.
On the other hand, if the aforementioned "Tether FUD" is false and the bitcoiners are right, then bitcoin could continue to live on indefinitely and we'll all truly have fun staying poor. I intend to have fun, regardless ;)
We're approaching another bitcoin 'halvening' where the difficulty for miners doubles. This has traditionally been a bullish moment for bitcoin as the algorithmic deflationary policy creates the artificial scarcity that has been bitcoin's selling point all along. It could also just increase the cost of mining above the miner's breakeven price if the bullish price action doesn't take place. The miners aren't going to burn power for free so some of them could go bankrupt and shut down. This is roughly how I believe the endgame will transpire for bitcoin. Difficulty goes above some threshold value while price drops below miner's breakeven price -> hashrate decreases enough that a hashrate attack becomes feasible -> hashrate attack -> trust is lost -> HOLDers unHODL -> PhDs are earned writing about this epoch in finance history.
Bitcoin absolutely ihas become a number-go-up scheme. Some years (pre covid) bitcoin was still sort of pure in what its proponents were advocating for. However, ever since covid (or slightly before) it has definitely been hijacked and the original idea (which is important) has been completely corrupted.
I like your writings but super lazy article. Anyone can see how toxic the Bitcoin/crypto community is. Tell me about proof of work, the upcoming halving, Middle East investments into mining, etc. You saying it’s another fiat currency shows your true lack of knowledge of the subject. In this context, if it’s not proof of stake, it’s probably not fiat.
Unfortunately, discussing Bitcoin can be like punching into the wind. So I understand your frustration on the subject and the discussions you might have had with Bitcoiners. On the surface you appear right. But if you do a deep dive into mining, proof of work, history of money, attributes of money, scarcity, etc you’ll find Bitcoin is the better monetary system. I don’t think it’ll happen overnight and probably not in my lifetime and probably not as a result of the death of fiat. Therefore, I do not care about price nor making money on it. It’s for the grand kids.
It absolutely is a philosophical difference. The fiat system we have coupled with our unelected bureaucrats (WEF, Fed, IMF) have made many losers and few winners. Not through actual work, but scheming and politicking. I don’t want that for my kids and Bitcoin is my only vote against “the system”.
At the end of the day, Bitcoin is a better, more free monetary system. All other cryptocurrencies and “crypto” offerings are Ponzi schemes
Thank you for your feedback.
You are delusional if you think Bitcoin will be around for your grand kids.
You talk "proof of work" and a "deep dive into mining". Have you bothered to check out what a mining pool is and how the bitcoin network is distributed ?
Imagine talking about unelected entities like the WEF, Fed and IMF and thinking Bitcoin of all things is less centralized.
You can probably tell from my pfp but im a fan of Monero solely because at the very least it is
a) private
b) it is actually decentralized since there are no ASICs.
There are counterpoints (i.e. fiat off ramps, total network hash) but the points above (privacy, no asics) in my opinion have more weight.
Now this is not about number go up for me at all. All im saying is that critizing the powers that be while at the same shilling for Bitcoin is just the worst take you can possible have.
I would argue that the game theory behind Bitcoin is its rock of decentralization. I do believe the privacy issues will be worked out in layers 2 or 3 down the road. Thats the beauty of having a simple, firm, foundational base layer rooted in positive incentives - consensus should never change protocol given it would dilute miners holdings. I also don’t think it’s farfetched to see other tech developed outside of Bitcoin to be implemented into the future layers of Bitcoin.
I looked up “The Core Team” over at Monero and see that they seized power from the founder via a fork. I then looked up Bitcoin’s board of directors/control team and found a bunch of memes that called me a simp.
Agree with you to the extent that bitcoin is digital fiat currency and probably the primary driver is greed, and has been for a long time. I would quibble with saying everyone who is in it is in it for greed. There are still anarchist true believers as well. But the fundamental problem with bitcoin is that it has inherent scarcity but not inherent use value. So it meets only half of the requirements for a viable currency. And half of good enough, is: not good enough.
While I do say that bitcoin is a call option on human greed, I don't say that all who participate in it are in it for that reason. I agree with you that there must be some people who are still owners of bitcoin due to ideological or other reasons. The narrative around bitcoin as a cult of greed doesn't imply that all who own bitcoin are members of the cult, especially if they got in early. It's just the way the community is currently trying to keep the ball moving forward.
That makes a lot of sense. I see that you are right and I just slightly misunderstood your position. Thanks for taking the time to clarify.
Is it possible that bitcoin is a Ponzi scheme targeting a subset of people with libertarian ideological beliefs?
Time will tell but of course anything is possible. If, as others have said (eg. https://doomberg.substack.com/p/circling-tether) that the price moves due to the low float of traded coins and price manipulation by artificially sourced flows from Tether, then the law of marginal gains would imply that such a thing can't go on forever. If the game ends and big players exit, the price could drop by any amount. If that happens, we'll know it was a ponzi scheme.
On the other hand, if the aforementioned "Tether FUD" is false and the bitcoiners are right, then bitcoin could continue to live on indefinitely and we'll all truly have fun staying poor. I intend to have fun, regardless ;)
We're approaching another bitcoin 'halvening' where the difficulty for miners doubles. This has traditionally been a bullish moment for bitcoin as the algorithmic deflationary policy creates the artificial scarcity that has been bitcoin's selling point all along. It could also just increase the cost of mining above the miner's breakeven price if the bullish price action doesn't take place. The miners aren't going to burn power for free so some of them could go bankrupt and shut down. This is roughly how I believe the endgame will transpire for bitcoin. Difficulty goes above some threshold value while price drops below miner's breakeven price -> hashrate decreases enough that a hashrate attack becomes feasible -> hashrate attack -> trust is lost -> HOLDers unHODL -> PhDs are earned writing about this epoch in finance history.
I never was a fan of any of the cryptos. They all seemed a little scammy to me...
Absolutely brilliant!
Bitcoin absolutely ihas become a number-go-up scheme. Some years (pre covid) bitcoin was still sort of pure in what its proponents were advocating for. However, ever since covid (or slightly before) it has definitely been hijacked and the original idea (which is important) has been completely corrupted.
Miss the old days.