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226 sats \ 5 replies \ @Scoresby 6h \ parent \ on: Why people are cheering up for El Salvador BTC reserve ? bitcoin
This may not quite align with what you are asking, but it made me think of this line from Cryptoeconomics Reservation Principle
The purpose of a reserve currency is to tax.
If countries like ES buy bitcoin with fiat money (even if in ES's case, they don't actually control the printer), it would seem like the reason to do so is to later issue a new money against it? The playbook already happened with gold: states mostly hold it, while people hold paper.
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123 sats \ 1 reply \ @optimism 6h
Yeah that part largely underlines what Darth said about "90% hoarded" too above.
However, unlike gold, Bitcoin's definition is in the hands of those who accept it in trade.
I like this principle from Voskuil. The question I have: at what % liquid Bitcoin does this fail? It could be lower than 10%, because I suspect that we're probably close to that already 1. LN is also operating with < 5k BTC in routable capacity.

Footnotes

  1. I expect to have more data later when cloudflare isn't being the single point of failure we've talked about for years; I was hoping to get a glance at https://studio.glassnode.com/dashboards/cointime-economics - but no, lol. ↩
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21 sats \ 0 replies \ @optimism 4h
<ot>imagine finally getting your link served only to find that you need a premium account to access it</ot>
Best one without being paywalled I could find quickly was from chainexposed.com
Does anyone have a good script? If not exist, I'll put it on my todo.
Either way, I was wrong about how much utxo are hoarded... almost 40% is younger than a year.
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105 sats \ 2 replies \ @DarthCoin OP 6h
they don't actually control the printer
wrong... they are backed by the Tether guy not the USD guy...
In fact ES is not buying any BTC, not with USD, not with USDT. they are just puppets to show the world how nice they move BTC from one wallet to another, owned by Bittfinex.
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202 sats \ 1 reply \ @optimism 6h
they are backed by the Tether guy not the USD guy
This is the real bottom line issue, isn't it? "fake fiat possibly backed by fiat and 100% censorable by the admin key".

You'll own nothing, and you'll be happy. Eat zhe bugs.

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100 sats \ 0 replies \ @DarthCoin OP 6h
LOL you start making good memes
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