20 sats \ 2 replies \ @sethforprivacy OP 30 Jun 2022 \ parent \ on: Privacy on Monero vs Bitcoin with Seth for Privacy — What Bitcoin Did bitcoin
I spent a good bit of time in the podcast walking through these tradeoffs, I am both aware and honest about them.
But the advantage of gaining strong privacy for every user of a tool far outweighs the minor risk of implementation bugs leading to inflation (a risk that Bitcoin also has, it's just always detectable there). You can read more of my thoughts on auditability here: https://sethforprivacy.com/posts/dispelling-monero-fud/#you-cant-audit-the-monero-supply
As for fungibility, what matters is fungibility in practice -- in practice Monero's holistic approach to privacy has provided perfect fungibility to date with no signs of that changing. People confuse ring signatures as the only aspect of privacy on Monero, which they are absolutely not (as, again, I walked through in-depth in the podcast episode). Yes, Zcash has a slight edge to potential privacy, but far worse real-world privacy due to allowing transparent transaction (and thus 95%+ of transactions being non-private).
A global reserve currency isn't a discrete payment network. It's money economies hedge with, money governments use, money businesses use, money everything is settled in. It's not just for the pleb buying lunch. A global reserve currency that is DECENTRALIZED won't work without a transparent L1. If transparency of the financial system's base layer (fiat/debt) existed today, governments would have the minority data. They'd be screwed and couldn't survive the free market dynamic that creates. Their manipulation that targets stable fiat pricing wouldn't work.
You're standing way too close to the protocol and code like most devs do.
For example, when I ask most devs by what mechanism their protocol creates an overabundance of goods and services outside the money, they don't know what that means, because they've never considered the fact that if money is separated from state, then there's no government left to incentivize energy production, to subsidize it, and enable an overabundance of it. You can't have an overabundance of goods and services outside the money without an overabundance of energy. And since energy and energy efficiency are how we can directly measure the prosperity of a nation...My point is, without this, deflation is an absolute nightmare. So, like the first question I ask any aspiring politician: what's your energy policy? If you haven't got one on a massive industrial scale, your money and payment network will never be anything more than a discrete payment network, which is fine. Chucky 🍕Cheese has one of these with their tokens. I can buy pizza with them. This isn't a world reserve currency though. Only bitcoin possesses this property, which is what attracted me to it.
Lastly, what's Monero's plan to scale the velocity of money to the velocity of information the internet achieved?
Privacy doesn't fix the money or world. We already have plenty of privacy with paper money.
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By the way, found your podcast with Peter excellent and quite informative. Some good points, regardless of our disagreement here.
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