Hiya Stackers,
We're PubKey, a bitcoin cultural center embedded in a dive bar in NYC's historic Greenwich Village. We host weekly free events for the public covering the entirety of the bitcoin landscape. Our mission is to make bitcoin fun and accessible. Think of us as a comedy club for nerds.
We first opened our doors in October 2022, in the depths of the Bitcoin Winter. Some of our first customers showed up in despair over their losses. We've since grown to become an icon of bitcoin's "third places", a space to meet like-minded individuals, and discuss revolutionary ideas.
This is our first bull market as a bar and our first AMA.
You'll be talking with our co-founder Thomas Pacchia, and @The_Daniel, our head of marketing for the next hour.
Ask us anything!
Well, since you set up the question and no one else has asked:
How has the bull market changed either your business, or the kinds of folks coming in to the bar?
Business has been pretty steady. We opened within days +/- the FTX collapse so we had a lot of folks coming in pretty defeated as BTC crashed near 15k. Vibes are definitely higher but there's been an oddly comforting drumbeat to it all. Its business as usual for us. We open the bar, open the kitchen, and welcome folks no matter what the market is doing. Tick tock and all that...
We do see new cohorts of interest -- a lot more TradFi Suits since the ETF approvals and such
Any plans for additional locations or eventually franchising?
Yes absolutely -- a PubKey in every city!
At the moment we're focusing on Philly for our first expansion. We like the idea of keeping PubKeys close to HQ so we can have a solid view into quality control across everything we do. We've also been in talks with a number of Bitcoin communities around the world exploring opportunities to expand via Franchisement.
What city needs a PubKey? We’d love to hear from you. Except for San Francisco. They’re on their own…for now…
Good to hear. Glad business is going well enough that you guys are looking at expanding. I am in Canada and don't live in a major city anymore but hopefully one day we will see a PubKey in Toronto or Vancouver. Or maybe you will sell me the rights to the Canadian region. I will have to come visit first though. Haha.
Come see us soon -- we'd love to have you
Next time I am in NYC most definitely.
Philly is a 3+ hour drive. Open up and I'll be there on opening weekend.
Philly has a great community taking shape. Shout out to Bitcoin Jawn. Very impressive what that team has built in such a short period of time
Nice to see you on SN Derek.
Warsaw needs it
Now I'm starving for some pierogi.
If we buy a franchise do we get a few rolls of that distinctive wall paper that is in the meeting room?
Everything we do is one run only (merch, art, etc) -- so when its gone its gone. The original idea for the wallpaper in the bathroom is those "Post No Bills" adverts that get plastered all over the city. So at some point when the OG wallpaper gets bad enough it'll get a freshly coated design.
I have never been so I don't know what you are referring to but have thought it would make sense for the concept to exist in major cities. I don't think PubKey would be a 500 location franchise but why not one in Austin, Nashville, Miami etc.
https://m.stacker.news/25969
Each new location needs to feel right for the city that it's part of. PubKey London should feel like an old English pub. It has to be hyperlocal and relevant to the clientele. Nothing can be cookie-cutter or pre-fab, because that would ruin the authenticity that we value as the core of our brand.
Love this idea.
A PUBKEY IN EVERY CITY FOR THE PEEPO IN THE BACK
If you had a magic wand to change anything about the lightning experience for merchants, what would you change?
Regulation for sure. 10 years of the BitLicense has deeply harmed businesses in NYC from advancing the broader ecosystem. Without this barrier we would be able to explore all sorts of cool functionality around splitting tips, membership/loyalty programs and such.
Out of curiosity, is this something Fedi could be useful for, or are the stewards still vulnerable to regulation?
It can be hard to explain how Lightning works to someone who is new to bitcoin, because it requires a basic understanding of how payment channels and UTXOs work. Customers who come from out-of-state with apps like Strike (not available in New York) have an easier time making Lightning payments, because they are getting something that's more of a Venmo-like experience.
To set up your own self-custodial Lightning wallet on something like Zeus or Phoenix, you have to have some bitcoin on-chain that you can use to open a channel. People get confused why they have to make an initial transaction to send or receive sats on Lightning. This is also why we host monthly Lightning meetups, because there is a lot of education to be done.
We're just past 3pm eastern time but we can keep this open a little longer if you guys have any more zingers for us.
Who are the top three big shots in the Bitcoin world that you've had visited or speak at PubKey?
we don't have those in Bitcoin
Mike Novogratz was here in February, and we had Max and Stacy for an event last October. We're less than two years old and we'd love to get some bigger names on our speaker list in the year ahead.
We'd be very happy to host a presidential debate.
Can I spend dollars directly, or do I need to convert them to satoshis first? 😂
If we only accepted bitcoin we would not be in business. Our bar is equipped with a Lightning wallet to accept payments in sats, but that is completely optional and is only used by a small number of our patrons. Most prefer to HODL or don't have a Lightning wallet yet.
Maybe you already do but have you considered running promotions to enhance bitcoin/lightning awareness. Pay with satoshis hour instead of happy hour and get half off or something to that affect.
We're getting there -- but there is a lot of operational complexity that goes into accepting bitcoin payments. This could be an entire podcast topic on its own. Every time we settle a tab in bitcoin, we still have inventory, tax, tip, and other requirements on the backend.
However, we'll absolutely run an experiment for the Pleb Halvening Party on 4/20 where we'll offer half off bitcoin on select items.
That's awesome.
Totally understand the operational and accounting complexity of accepting bitcoin payments. Hopefully as the ecosystem continues to get built out there will be software solutions that help take care of that for you.
It's pretty hard to get people to part with their sats even for deep discounts. Once the novelty of paying in bitcoin wears off, people usually go back to fiat so they can stack more.
I can pay for a beer with an Ordinal?
Depends on what it's worth but you wouldn't get any change back.
it would be hard to make change
jinx
💯
Does Little Stevie Van Zandt from Sopranos and Springsteen fame ever drop in?
lol he's only a block away he should. Can't say I've seen him yet...
I met a lady and her dog at the bar. She has photos.
They're as regular as it gets.
One of the best tv show opening songs.
Very true. I think I'll watch it again.
What has been the most memorable event or discussion held at PubKey so far? Can you share any funny or unexpected moments that have happened at PubKey during events?
So many at this point -- and the range is absurd. Everyone comes to Bitcoin from a different point of view and perspective, so you never know what's going to be a great hook for a crowd or for a very intimate audience.
My personal favorites have been the ones with the most crowd participation. Coin Based series tends hardcore technical and those have been bangers for the hardcore crowd. We had one with Paul from Layer Two Labs that was exceptional (but we borked the audio for the recording because its in our nature ). I also really love the Lightning and Mining Monthly events because they're a rolling, cumulative conversation.
Both events with Meltem & Kelly have been so much fun as well -- pure comedy club atmosphere.
We also hosted an event with the Human Rights Foundation and CATO in February of this year to discuss their global CBDC Tracker website, during which we revealed that we were in possession of an American Flag that had been flown over the U.S. Capitol on December 18, 2023 for the 10th anniversary of the "I AM HODLING" meme. It was accompanied by an official certificate with Senator Elizabeth Warren's signature honoring Satoshi Nakamoto for providing economic freedoms to Americans.
https://m.stacker.news/25971
yeah this is a better answer
We did just capture 69420 on the ticker a few weeks ago. https://m.stacker.news/25970
Another one I'd throw into the mix is Peter McCormack's WBD with MIchael Sonnenshein discussing Genesis & Grayscale
I am in NYC right now, and I am coming in. Looking forward to it.
don't threaten us with a good time -- this week's special is a TAYLOR HAM MAXI because Pork Roll is a shitcoin
Taylor Ham is from Jersey. Can't have bridge and tunnel fare at a NYC pub, now can we.
As much as people from New York like to crap on New Jersey, they don't have the BitLicense there. If we opened a bar a mile and a half west of our location in Jersey City, we could do a lot more bitcoin stuff.
New Jersey loves getting crapped on. It's compost for the Garden State.
We also have a Jersey Ripper. We're low-key Jersey folk at the pub.
Blasphemous.
How do you support compliance at your business? Compliance is very important while operating a bar/restaurant.
You don't say.
Can you expand on this? Is PubKey a registered compliant business or a private club/pub? How do you manage authorities coming for random check on the books? (Not sure that’s a thing in the US)
good answer
Short answer is this is always top of mind as a business, especially one with a kitchen and bar, and that’s before you even think about the bitcoin stuff.
Need Thomas to take this one in more depth, but he just left to catch a flight so he might not see this for a while.
Why is the smash burger so good?
I know, right?
Ya it’s insane how good it is.
Chopped cheese isn't bad either.
Sadly, that's no longer on the menu.
Now wait a minute. This is an outrage.
For those interested in finding out more about PubKey, here are some articles:
#219987 #230440
https://www.forbes.com/sites/digital-assets/2023/07/30/bitcoin-burgers-and-beer-community-on-tap-at-pubkey/?sh=42b750d643d1
https://www.coindesk.com/consensus-magazine/2024/02/22/how-pubkey-revived-bitcoin-culture-in-new-york-city/
Can one bring the whole family to pubkey or is there age restrictions?
PubKey holds a liquor license, so we're a 21 and over establishment. We do make exceptions for minors who are accompanied by an adult, but during busy times we may not be able to accommodate.
what is the strangest thing anyone has ever brought to Pubkey?
Ethereum.
Yikes
its pretty hard for us to define strange these days
Can I smoke cigs inside?
(un)fortunately tis a meme. no smoking at pubkey -- however a previous bar at 85 Washington was sponsored by Camel Lights at one point long ago
Only if you have a time machine.
Going forward or back in time?
Pre 9/11, NYC's glory days.
what have you learned about the features that make for a great “third place”?
any tips you can share for people building their own spaces in other cities?
consistency is king. start small and build trust with the local community that it will keep going and its worth investing in....
or you could leroy jenkins the ever loving Christ out of it and sign a long term lease with zero experience in hospitality. takes all kinds really..
do you have any secret menu items?
Yes, but they're secret.
https://i.pinimg.com/originals/4a/11/1c/4a111cefb139e10a03868e3635e50185.gif
I love pubkey so much. It’s the best dive bar in the city.
I have a lightning channel with their node, it literally is the bar tab analogy for lightning.
Only the city, huh?
Ok it’s probably the best on the Planet
Do you have a grill? Do you have an eating challenge? Is there room for a typewriter? (asking for a friend @thebitcoinbugle)
Eating challenges seem so fiat.
A bar would be an interesting place to do journalistic work
Is there even really a better place?
What the percentages of sales in BTC vs Fiat?
And if you could be more specific (on-chain vs lightning vs cards vs cash) on an annual base it would be much appreciated
This is something we addressed in interview for the New York Post article last month. Around 5% of our customers pay with bitcoin. Some pay exclusively this way, others do it just for the experience of it.
We use a Lightning wallet powered by Zeus, connected to our own node. We discourage on-chain payments because of the confirmation time, however, we've occasionally accepted them in certain instances, such as when someone wants to throw down a large bar tab in advance.
We aim for a payment experience that's as frictionless as possible, because our bar gets busy, and we need to train the staff on how to process these payments. Nothing slows down a bar quite like waiting up to an hour for a fully-confirmed on-chain transaction.
https://nypost.com/2024/03/19/tech/were-back-inside-nycs-bullish-crypto-party-scene-after-bitcoin-hit-new-all-time-70k-high/
What are you using for your point of sale?
Fiat: Toast
Bitcoin: Zeus on an iPad connected to our node
I was there for the Max and Stacey Show:
https://m.stacker.news/25995
Cool, we were too!
Cool story! What’s your plan for growth? What the strategy to get to the next level?
We answered part this in another thread on this AMA, but it starts with opening more hyperlocal pubs in other cities. Philly is coming in our next phase. We'll consider franchising at some point, but only after we've gotten the formula just right in our wholly-owned locations. We also have plans for other business units, such as growing the media side of the company, hosting bespoke (yeah, that word kinda sucks) private events, and partnerships with non-endemic brands beyond the bitcoin sphere.
I had a busy mid afternoon when this started, but I just want to chime in to point out what a great job Tom and his team have done with PubKey. I have visited three or four times over the past year, and I always have a great time. If you're in NYC it's a must visit. I'm going to try to go to the halving party.
We’ll be open at our normal time of 1 PM on Saturday 4/20 with some half-priced bitcoin-only specials starting at 4:20 PM.
Feel free to camp out on the sidewalk in front of the bar. Some people do that all the time.
A simple question – Why is Pubkey, not anything else? What's behind naming it pubkey?
PubKey is an abbreviation for "public key", a part of the encryption method that makes bitcoin possible. Pub is also an abbreviation for "public house", another word for a tavern. We see taverns and pubs as the places throughout history where revolutions have been started. We're less than 3 miles away from Fraunces Tavern, one of the most important taverns of the Revolutionary War. We're also within walking distance of places where other types of revolutions took place, including The Back Room, Caffe Reggio, CBGB, and the Stonewall Inn. We see PubKey as a continuation of the same counterculture spirit in our era.
May NYC pubkey serve beers for millions of blocks. I hope block 1M, 2M… 10M+ is celebrated at pubkey for generations to come.
Well, nice initiative!
How did you come up with idea of meet ups for Bitcoin and what makes you different because we already have so many platforms that are doing pretty good with the same objective?
How do you view SN? Is it a competition for Pubkey NYC considering that it's alsi a place where like minded people meet together?
Thank you!
Before PubKey existed, there was another dive bar in this location called Formerly Crow's, and before that it was The Stoned Crow. Thomas used to run bitcoin meetups at what was then his neighborhood bar, somewhat embarrassingly called "Crypto at the Crow." When the pub closed down, Thomas and the other cofounders (Andrew and Jerk) partnered with the previous owner Marshall to reopen the bar as PubKey in 2022 after the NYC bitcoin scene (and the city at large) took a major hit during two years of Covid. Apart from BitDevs and other local meetups including Harlem Bitcoin, there wasn't much out there in the way of a purely bitcoin-focused gathering place. One of the best things about it is that it's still a neighborhood dive bar, and many people who come here don't even realize it's a bitcoin bar at first, because a lot of the bitcoin content fades into the background aesthetic and it's waiting to be discovered by those who look for it. Probably 60-70% of our regular customers are pre-coiners.
We also don't see SN as competition at all, because we're a physical space where people connect in the real world, something that even the best digital platforms can't reproduce.
How do you help to protect your customer's privacy for people who don't want to doxx themselves?