The Bitcoin network teaches us that there's safety in numbers. Now, what could bring people together in numbers to mass-adopt it further than they have?
Good morning Chris, loved the insightfulness of the article. I believe in bitcoin. I've made some money on bitcoin. I do have a fear that bitcoin has been hijacked by the financial system. I would like you to address what I consider the elephant in the room around bitcoin which is Tether. There are many that believe the ponzi scheme lives in Tether. And if Tether falls, bitcoin takes a serious beat down. I'm personally on the sideline waiting for tether to fall. I've heard you on prior podcasts express the same tether doubts that I have. How do reconcile tether in the bitcoin equation?
What happens when you can't convert BTC into dollars? It would not be hard to make that happen. You think millions are going to flock to what they can't convert to dollars?
How do you pay bills, buy things, or even value something that is not convertible into dollars?
It is amazing to me that you guys think BTC can stand on its own with the conversion factor.
If BTC becomes a haven of safety, remains convertible, and is accepted by utilities, retail giants, insurance giants,, and other mainstream corporate entities, then we will know that BTC was the digital Trojan horse all along.
Bitcoin seems like another grand Ponzi scheme to me.
I guess I am too old and set in my ways. I want those hard assets that I can see and hold, even if it is a stock certificate. I can look at the balance sheet and it gives me some type of comfort, one way or another.
The only thing I see with Bitcoin is a daily valuation, in US dollars. Not sure how safe a bet that is. Kinda of like “Where’s the beef?”.
I would hope at some point our great country would return to the gold standard. I know that would cause great pain, but every thing is so overvalued. At some point we are going to have to take the medicine.
To me Bitcoin doesn’t pass the smell test. I am waiting for the shoe to drop. I will be aggressive with gold and silver and energy.
While I think you may have identified some of the zeitgeist, if anything, it makes the creation of Bitcoin ETF's that much more important. If you have bought bitcoin straight up, not through an exchange, you know how difficult it is to do so. the ETF allows the masses to access whatever value exists without the headaches. This is very likely to be the path that most of those pissed off masses take given their newly found familiarity with Robinhood and on-line trading. but those ETFs are not actually owning bitcoin, are they? so there will very likely be a great deal of sturm und drang but no mass adoption in any form.
I have said all along that the ETF is the worst thing for BTC as it takes its inherent advantage of decentralization and puts it all under one umbrella, the federal government.
Since I can't buy/pay ANYTHING (services & goods) just for basic survival in the Plantation where I slave around with BTC... Can't see why my fellow modern moron slaves are so happy with a WWW set of code! I guess the clue is in the "moron" part!
As for the rest the MONETARY SYSTEM has been under control for the few past Centuries for a few Families that surely don't seem at all worried about the lasted MMS delusion.
It's just sad to watch MMS behaving always in the same matter... Zero ability to Learn.
Still no answer to the fundamental question of "why?". Why "invest" your money in an "asset" which does not earn anything vs. investing in a fractional share of a real business, the value of which will increase with inflation plus provide a real return?
Younger Consumers are being wiped out with debt and inflation.
You think when the Big 6 Tech stocks are repriced for zero growth, everyone will turn to BTC?
BTC, because it is a speculative investment AS WELL as a currency, will get hit in a big way.
What will your reaction be when BTC/USD gets cut in half (again). Will you still feel the same? Will you still be glad you bought at $50K when it's $20K?
It could be the best idea on the planet, but people can ruin a good idea with irrational thought.
Like you, I have come around in the last couple years to the idea Bitcoin could be a game changer. As a 30 year goldbug, I believe it is easier for us sound money guys to see the merits of Bitcoin. The GameStoppers were too distracted by dollar signs to recognize the system itself is the problem. While I am still not 100% convinced Bitcoin is the answer to what ails us, The more time I spend trying to understand it - the harder it becomes to deny the genius inherent in Bitcoin....
Also good luck cashing in when all fiat currencies shit the bed. Who will be foolish enough to trade Bitcoin for anything. Another ploy by the powers that be to have all of us holding the bag when the shit goes down. Sad but true
Bitcoin has been hijacked and will just be another way for the crooks to steal our wealth. The sickness is in the system and Bitcoin, even more so now that it has an ETF, is a part of that system.
Chris... You're getting there, but I'd really like to hear your thoughts on "private legal tender." If Congress says we are to pay taxes in USD, and it otherwise borrows and redeems in USD, fine - that is public legal tender. Beyond that, Bitcoin offers no offramp as long as we are forced to accept USD as a "...tender in payment of (private) debts." Until the raw materials of the earth AND the labor needed to make them useful can be priced in Bitcoin - with eventual disputes adjudicated in Bitcoin - there is no offramp here. You'll still be pricing your crypto in USD and suffering from the "stupidity crisis" that results.
It's another angle on the topic, but Bitcoin's design - especially after the supply limit it hit - will end up incentivizing holding onto it. Bitcoin as a store of value will work so well that the transaction-based credit needed for an economy to grow will simply not be there. Bitcoin's design prefers the value of Bitcoin over its broad utility as money in which credit can be issued.
Not so with ETH. The ultimate Blockchain-based money will be ETH on Ethereum v2.0 because it allows competitive monetary alternatives. The one I want to see is where a notional "auETH" and an "agETH" can be created on a staking pool where gold (Au) and silver (Ag) are staked instead of USD. It will be possible to have any number of Level 2 Blockchains with varying prices - only the "price" is measured in a weight of gold and silver (just like the USD once was). Having multiple Blockchains with competing price points allows the market to discover the best prices for various purposes.
lol. The Bitcoin Standard and Softwar are must reads for even Bitcoin minimalists, let alone maximalists. It is a true immutable and centralized power projection that requires no bankers or middlemen.
I think the emergence of the bitcoin ETFs indicates that the US Govt. has decided it would rather participate in the crypto world, in the form of taxes, than try to ban it.
So, IMO, the key now is to fully understand how your crypto holdings are taxed.
Good morning Chris, loved the insightfulness of the article. I believe in bitcoin. I've made some money on bitcoin. I do have a fear that bitcoin has been hijacked by the financial system. I would like you to address what I consider the elephant in the room around bitcoin which is Tether. There are many that believe the ponzi scheme lives in Tether. And if Tether falls, bitcoin takes a serious beat down. I'm personally on the sideline waiting for tether to fall. I've heard you on prior podcasts express the same tether doubts that I have. How do reconcile tether in the bitcoin equation?
Tremendous article. Feels good to be a bitcoiner doesn't it 😌
What happens when you can't convert BTC into dollars? It would not be hard to make that happen. You think millions are going to flock to what they can't convert to dollars?
How do you pay bills, buy things, or even value something that is not convertible into dollars?
It is amazing to me that you guys think BTC can stand on its own with the conversion factor.
If BTC becomes a haven of safety, remains convertible, and is accepted by utilities, retail giants, insurance giants,, and other mainstream corporate entities, then we will know that BTC was the digital Trojan horse all along.
Love you QTR, but
Bitcoin seems like another grand Ponzi scheme to me.
I guess I am too old and set in my ways. I want those hard assets that I can see and hold, even if it is a stock certificate. I can look at the balance sheet and it gives me some type of comfort, one way or another.
The only thing I see with Bitcoin is a daily valuation, in US dollars. Not sure how safe a bet that is. Kinda of like “Where’s the beef?”.
I would hope at some point our great country would return to the gold standard. I know that would cause great pain, but every thing is so overvalued. At some point we are going to have to take the medicine.
To me Bitcoin doesn’t pass the smell test. I am waiting for the shoe to drop. I will be aggressive with gold and silver and energy.
I do appreciate your thoughts. Keep them coming.
While I think you may have identified some of the zeitgeist, if anything, it makes the creation of Bitcoin ETF's that much more important. If you have bought bitcoin straight up, not through an exchange, you know how difficult it is to do so. the ETF allows the masses to access whatever value exists without the headaches. This is very likely to be the path that most of those pissed off masses take given their newly found familiarity with Robinhood and on-line trading. but those ETFs are not actually owning bitcoin, are they? so there will very likely be a great deal of sturm und drang but no mass adoption in any form.
I have said all along that the ETF is the worst thing for BTC as it takes its inherent advantage of decentralization and puts it all under one umbrella, the federal government.
Since I can't buy/pay ANYTHING (services & goods) just for basic survival in the Plantation where I slave around with BTC... Can't see why my fellow modern moron slaves are so happy with a WWW set of code! I guess the clue is in the "moron" part!
As for the rest the MONETARY SYSTEM has been under control for the few past Centuries for a few Families that surely don't seem at all worried about the lasted MMS delusion.
It's just sad to watch MMS behaving always in the same matter... Zero ability to Learn.
Still no answer to the fundamental question of "why?". Why "invest" your money in an "asset" which does not earn anything vs. investing in a fractional share of a real business, the value of which will increase with inflation plus provide a real return?
Younger Consumers are being wiped out with debt and inflation.
You think when the Big 6 Tech stocks are repriced for zero growth, everyone will turn to BTC?
BTC, because it is a speculative investment AS WELL as a currency, will get hit in a big way.
What will your reaction be when BTC/USD gets cut in half (again). Will you still feel the same? Will you still be glad you bought at $50K when it's $20K?
It could be the best idea on the planet, but people can ruin a good idea with irrational thought.
Like you, I have come around in the last couple years to the idea Bitcoin could be a game changer. As a 30 year goldbug, I believe it is easier for us sound money guys to see the merits of Bitcoin. The GameStoppers were too distracted by dollar signs to recognize the system itself is the problem. While I am still not 100% convinced Bitcoin is the answer to what ails us, The more time I spend trying to understand it - the harder it becomes to deny the genius inherent in Bitcoin....
https://bagholder.substack.com/p/the-money-war
Also good luck cashing in when all fiat currencies shit the bed. Who will be foolish enough to trade Bitcoin for anything. Another ploy by the powers that be to have all of us holding the bag when the shit goes down. Sad but true
Bitcoin has been hijacked and will just be another way for the crooks to steal our wealth. The sickness is in the system and Bitcoin, even more so now that it has an ETF, is a part of that system.
DRS is GameStop investor’s exit ramp. Shorts never closed.
Bitcoin is nice too though. 👍😜💜
Chris... You're getting there, but I'd really like to hear your thoughts on "private legal tender." If Congress says we are to pay taxes in USD, and it otherwise borrows and redeems in USD, fine - that is public legal tender. Beyond that, Bitcoin offers no offramp as long as we are forced to accept USD as a "...tender in payment of (private) debts." Until the raw materials of the earth AND the labor needed to make them useful can be priced in Bitcoin - with eventual disputes adjudicated in Bitcoin - there is no offramp here. You'll still be pricing your crypto in USD and suffering from the "stupidity crisis" that results.
It's another angle on the topic, but Bitcoin's design - especially after the supply limit it hit - will end up incentivizing holding onto it. Bitcoin as a store of value will work so well that the transaction-based credit needed for an economy to grow will simply not be there. Bitcoin's design prefers the value of Bitcoin over its broad utility as money in which credit can be issued.
Not so with ETH. The ultimate Blockchain-based money will be ETH on Ethereum v2.0 because it allows competitive monetary alternatives. The one I want to see is where a notional "auETH" and an "agETH" can be created on a staking pool where gold (Au) and silver (Ag) are staked instead of USD. It will be possible to have any number of Level 2 Blockchains with varying prices - only the "price" is measured in a weight of gold and silver (just like the USD once was). Having multiple Blockchains with competing price points allows the market to discover the best prices for various purposes.
https://www.amazon.com/Libertys-Silver-Bullet-Liberties-Constitution-ebook/dp/B0CL2HLC3N
lol. The Bitcoin Standard and Softwar are must reads for even Bitcoin minimalists, let alone maximalists. It is a true immutable and centralized power projection that requires no bankers or middlemen.
I think the emergence of the bitcoin ETFs indicates that the US Govt. has decided it would rather participate in the crypto world, in the form of taxes, than try to ban it.
So, IMO, the key now is to fully understand how your crypto holdings are taxed.
You guys are paying your taxes, right?
In general, assets like gold or real estate gain a price because of two␣
qualities: usefulness and scarcity. The more useful and scarce a commodity, the␣
more expensive it becomes. Bitcoin has both.
Its usefulness is that it is decentralized, meaning that nobody can stop you␣
from holding it and transacting with anyone else in the world. In a world where␣
governments increasing try to control how you can earn and spend your money,␣
that is tremendously useful. And of course, you can send any amount of bitcoin␣
anywhere in the world at any time in minutes at low cost with the receiver␣
having complete confidence that the got valid non-diluted bitcoin. Try that␣
with gold. Try that with a wire transfer on Friday night before a long weekend.
Bitcoin is also the worlds first digital asset with enforceable scarcity. That␣
is tremendously useful in a world where governments increasingly fund their␣
operations by printing money; a hidden tax on savings. Bitcoin is also backed␣
by a huge network of nodes and miners. Currently there are 20K nodes that␣
verify every transaction to make sure its valid. This keeps the miners honest.␣␣
The miners spend tremendous amounts of money on mining rigs and power simply so␣
they will pay a price for cheating. That investment comes to nothing if they␣
mine blocks that include invalid transactions (double spends, excessive mining␣
rewards, etc.).