Bayani

bitcoin

I’ve put together a lengthy post to iterate out ways on how I can break bitcoin down for a no-coiner in a westernised region who is generally financially illiterate; bitcoiners are not the target audience.

Please let me know your thoughts, what you liked, didn’t like, and why - thank you.

——-

What is Bitcoin?

Bitcoin is made up of at least two concepts:

⚡️ The Bitcoin Network

The network is a little like the global network of banks, but instead of each bank having their own secret copy of an error-prone ledger that requires each bank and their customers to trust other banks and their customers, the bitcoin network uses maths to validate the availability of funds from many, distributed copies of a single transparent list of transactions, providing fast global payment finality.

Designed using a range of cryptographic technologies that were developed over several decades, the Bitcoin network included concepts used in earlier attempts of developing an electronic cash.

What was different this time was an innovative implementation of a decentralised time-stamp system, solving what is known as “the double-spend” problem.

With this, a way to create digital scarcity was discovered.

This means it is both not possible to create counterfeit bitcoin, nor spend bitcoin twice.

As the network is completely open, it is permissionless. It cannot be intercepted or sanctioned - anyone can use it.

There is no trust required to check if you have received money sent to you, nor do you need to trust a bank to not steal money sent to you. 

It does not discriminate based on gender, ethnicity, class, age, religious, political or sexual preferences.

Bitcoin is for everyone, including your enemies.

It’s money that can’t be fucked with.

⚡️The ASSET

As an asset class, Bitcoin is simply a form of money.

As money, Bitcoin is used worldwide as a medium of exchange, to trade goods, services, or information.

It differs because it has attributes that arise from the way the network operates, and through the way it was coded.

For instance, money as most people know it fundamentally requires you to trust others to not irresponsibly manipulate or inflate the monetary supply.

But alas, “the money printer” gets turned on. 🖨️

That debasement results in fiat money losing it’s value - and we experience this as part of everyday inflation - mostly without a second thought other than a little bit of complaining about the cost of eggs, milk, rent, or the repayments on a mortgage. 💸

While Dollars are inflated by central banks and increasingly “multiplied” by fractional reserve lending, bitcoin has a max. supply of 21,000,000 whole bitcoin.

This makes it “hard money”. 
Again - It’s money that can’t be fucked with.

With all that said:

Don’t Trust - Verify.
Find out why.

The Bitcoin Technical Whitepaper:
🧾 bitcoin.org/bitcoin.pdf

Why Bitcoin, not crypto?

There are only a few zero-to-one innovations you’ll get to see develop during your time.

• Cars.
• Electricity.
• Telephones.
• Space Travel.
• The Internet.
• Bitcoin

The few well-meaning experiments copying the code of bitcoin have since the first “altcoins” been overshadowed by a plethora of unregistered securities that were nothing but scammy cash-grabs.

It is simple - Don’t shitcoin.

Ignore the noise.
Focus on the signal.

🟠 

Critiques Please: What is Bitcoin, and Why Bitcoin, Not Crypto?

Host of Bitcoin Northern Beaches.
I help people understand and secure their bitcoin.