Bitcoin is to be a peer to peer digital cash, a kind of credit insurance against the state, independent of intermediaries, impossible or at least unlikely to corrupt, impossible to inflate, and immune to attack even from within. It is supposed to shun intermediaries and offer a more secure, peer-to-peer network that is safer than a bank (in many regards). And in many ways most would agree it has been incredibly successful.
However... in my view it is also being shoe-horned, captured, and controlled by the state in extremely unhealthy ways. The vast majority of on and off-ramps are fully KYC, Coinjoins can 'taint' coins in such a way that exchanges potentially won't 'accept' them, and the general level of education of the public about bitcoin, or even about money in general, is quite low. Media stories left and right only scratch the surface of what bitcoin is, what it's supposed to be or frankly about how it works. CNBC reports the price, the NYPost covers 'bitcoin atm scammers' (as if ATMs themselves are bad?) and all over the news bitcoin 'crashes' when the price dips to... 58k a coin.
For clarity: Where was the price a year ago? Crickets from the media. How does bitcoin actually work, and what is it trying to solve? (Again crickets from the media). And finally, to the extent that scams 'utilize' bitcoin, as opposed to gift cards, bank wires, emails, phishing schemes text messages... is bitcoin actually a scam?
Still large parts of educated/1st world populations know nothing about bitcoin or its potential to change the world and think that it is a scam. It's a total failure of risk management. The narrative about bitcoin, in my opinion, and its treatment by governments is co-opting its peer-to-peer and medium of exchange qualities in order to soften its impact, generally confuse the public, and constrain the impact bitcoin is having on world economies. In other words, allowing governments to continue deficit spending and hide the costs of inflation while being fiscally irresponsible.
The bitcoin I and many others would like to see involves medium of exchange, anonymous cash payments all over the world, better education as to how and why bitcoin is 'better money', and a higher educational level or 'risk management' skill-set when it comes to investing or saving money:
For example, it is logical that:
  1. the vast majority of 'crypto' is completely worthless.
  2. Memecoins are little more than gambling and involve zero self-sovereignty and sound-money principles and
  3. Non-proof of work coins and 'tokens' are overwhelmingly worthless. Let's just leave it at that.
And yet Coinbase still sells bitcoin right next to memecoins and glorified unregistered securites... that people leave on exchanges. That people 'trade' without any on-chain footprint whatsoever. That customers typically never self-custody (how do you self-custody a memecoin?) and that use USDT for settling trades.
  • And USDT isn't even even 'crypto it's a centralized company-token allowed to exist by the US government with centralized servers that keep track of dollar-tokens that people buy with failing 3rd-world currency. That 'the company' makes billions off of 'risk-free' interest when they buy US bonds and treasuries... Paul Ryan is writing about it in the WSJ. Isn't this a governmental conflict of interest - ?
In other words, with regards to Bitcoin... Where is the peer to peer exchange? Where is the commerce (legal or otherwise) using Bitcoin? Where are the coffee shops, the stores, the vendors that accept BTC directly? When you ask your uber driver 'hey do you take lightning' as a tip, what do they say? Or do they look like a deer in the headlights? Except for Stacker News and Nostr (both amazing but relatively small) where is the adoption of lightning? And what would government say should bitcoin, eventually, take on a greater role as a 'medium of exchange'?
Bitcoin's overwhelming treatment by the state and by governments (if they don't outright disdain it like the EU Central Bank) is of a compartmentalized, shoe-horned, controlled, toy-like speculative digital commodity. That you pay taxes on when used to purchase a cup of coffee. That isn't a 'medium of exchange'. That isn't private, that is thoroughly surveilled by exchanges, lest you try to sell bitcoin that has been coinjoined for privacy or is otherwise "tainted"... it's treated like a contained, speculative object for the exchanges and governments to make money with... or that 'the state' ultimately controls.
It's like you're damned if you do and damned if you don't: spend bitcoin without coinjoining? Dox your entire stack to a merchant. Coinjoin some to have forward privacy? Well maybe the exchange won't accept the remaining utxo because it's 'tainted' (even though coinjoins are THE BEST single privacy tool/probably still necessary for using bitcoin privately). Payjoins? Lightning channels? Atomic swaps? TOR-based utxo swaps? All useful for forward-looking privacy but all requiring education and reasonable sophistication to use - which most exchanges, although there are rare exceptions, do not really encourage.
And finally - you've purchased a cup of coffee where you live, in lightning. How do you calculate your 'capital gains' taxes for that cup? Are there even apps that allow you to do this, without being associated with ****coins or doxing your entire stack to some sketchy company? And how does the merchant handle the Bitcoin legally, when they then sell it and the price has gone up - or down - who knows? Can congress tell you I think probably not.
Bitcoin is a wonderful asset and I feel privileged to be around at this time with so many who care about it... but it's important to be honest about the current State of the State and the current situation and treatment of bitcoin by exchanges and regulators. At some point Bitcoin, in my opinion, will have to take the training wheels off and be money 'by and for the people', not just a toy for exchanges which is how it's being treated right now.
Sometimes I see posts on Reddit about exchange "withdrawal fees" (aka Binance) of being 70$ plus... leading to customers lamenting as to 'how expensive' Bitcoin is. 70$. They have no idea. And I just shake my head it's impossible to educate everyone and it's not a great situation. When does the revolution begin. Thank you
Trying my best to spread the peer to peer commerce usage of Bitcoin by building Shopstr:
In order to shape the world we want, we must outproduce the fiat class and ONLY accept Bitcoin for our goods and services; Paralelní Polis or bust.
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I've looked at shopstr before, thank you for posting about it. It's great that marketplaces like this exist, however we have to be honest with ourselves - these places are still in their infancy and they will need a lot of time and good incentives.
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Most definitely; a lot of work needs to be done before it's to the point where people are willing to use Bitcoin as money and have truly better experiences using Nostr apps over legacy apps.
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110 sats \ 2 replies \ @BTCLNAT 3 Sep
Bitcoin is going through a difficult path, but Bitcoin communication is understanding the need to EDUCATE, there are several communities in that role, I am the product of the effort that CubaBTC is making together with Mi Primer Bitcoin and others for this purpose. It is true that every time we use the word Bitcoin, the expression "scam" follows from many people and it is true that many scams have been carried out with cryptocurrencies, especially Ponzzi systems, and everyone wants to blame Bitcoin. But the thing is that with dollars and other fiat currencies scams have been carried out and nobody blames the fiat financial system for these scams, when the fiat system is a scam in itself.
The same people who criticize or attack it, today are holders of seed phrases that give them access to thousands of BTC.
That education is needed, it is true, but then it is up to us to do that part. Bitcoin is a P2P system, and today there are places to make BTC purchases without KYC, those are the ones we have to look for and use, not only that, those are the places we have to promote.
SN and Nostr need to be spread more and used more. So like you I think there is a lot to do. So let's get to work. Let's do PoW
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Indeed education iz very important.
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I agree with you. And thank you for the work that you do. Sometimes it is frustrating... because of the misrepresentations in the media and because of the lack of education.
Bitcoin is a tool with many capabilities and strengths - but like any tool there are compromises and education is required as to how to best use it. I think over time the UI for users will become easier, lightning is amazing especially on Stacker News and with some of the things that are being done with Nostr... however it's still kinda painful to watch misrepresentations and the lack of education in the media and general public.
I'm not sure what I could compare it to... so maybe the 1990s internet I'm not sure. Or maybe the early days of the printing press, or the early days of gunpowder - a really civilization-changing idea or invention and with it the potential and responsibility and education and critical thinking. Which is unfortunately often missing in the media currently. Stacker news, integrated with lightning, really is hope for a better future imo.
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In this post I laid out the idea of a divergence in the type of adoption that would occur in emerging markets compared to wealthy nations.
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Thank you for your post I read the whole thing. Fortunately people were able to 'front run' wallstreet, before the etfs were formally approved and trading. And the funniest/most ironic thing is that there were a large cadre of traders who thought 'hey i'll buy the rumor and sell the news' and then did just that with the etf announcement. As if bitcoin is just some kind of tech stock, or some hyped biotech or chips company. What a joke. And then they sold (lol) after the etf announcement. Meanwhile the stackers keep stacking knowing what bitcoin could do for themselves, for their families and their communities.
In my opinion peer 2 peer, Tor/darknet use, for lawful purposes of course, and especially coinjoins are extremely extremely healthy for bitcoin. All the scammy tokens and jpegs that flooded the mempools late last year cannot survive contact with a coinjoin as they are completely non-fungible, they cannot be tracked through 'ordinal theory' (which is an old abandoned idea from 2012) and coinjoins are a great way of resetting and cleaning up the utxo set. 1 sat = 1 sat and all that.
Fungibility by and through coinjoins generally speaking is the heart of soul of bitcoin... and it's really important that element of bitcoin thrives despite any level of 'wallstreet' adoption.
In my opinion this is largely why Monero will always be #2... it may thrive at the 'darknet' market stuff it really can be 'dark money' and that's ok. But it's hard to imagine it fulfilling the institutional 'white money' and transparent ownership roles required for wider adoption, governments, nation states, institutions... transparency in the financial systems used by governments is really important and Bitcoin offers that. Anyway
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Good thoughts. I agree.
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The only way you can take down Bitcoin is by coralling it, by co-opting, subverting or forcing actors within the ecosystem to do specific things.
This also has to be done as a long term, complex operation. It is definitely something I am watching, as a big picture and long term thing.
The woke madness has already corrupted some open source projects, and worst case it will lead to rot and vulnerabilities that could render even Linux less capable and secure than it has been historically.
This is actually the reason why I've at least played around a bit with OpenBSD, and of course running QubesOS for a few years now gives a completely different perspective on most things :-)
Price manipulation and ETFs is of course a real thing, but that is about numbers only, the things I'm trying to describe here is about the foundations of the tech itself, if the base gets corrupted nothing else matters long term...
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I think what I am concerned about... is a type of silent, creeping subversion. The 'slippery slope' of just 'one more kyc'.
'One more rule' (like the UK travel rule for example).
One more restriction (to keep you safe of course). One more way to stop 'money launderers' (right, sure ok) which of course means more surveilled access to cryptocurrency and fewer cash transactions in Europe. In order to 'stop the terrorists' (who the Europeans have gone out of their way let in in enormous numbers as supposed 'asylum seekers'). It's all to "keep you safe" of course as Bitcoin takes its "last gasp" in early 2023... according to European Central Bank which apparently despises Bitcoin. I mean it's all incredibly dystopian.
The free exchange of ideas, whether one agrees with them or not, and the decentralized platforms are really really important imo and that is not what etfs are about currently
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Exactly!
My plan for the coming years is to buidl on uncensorable, unstoppable tech only, while telling anyone that fiat & KYC shit is always second or third priority only!
This way I will keep focus & build new networks with integrity, even if I worst case has to go back to earning in fiat.
Hell, I'll tell old business contacts openly what is going on, and that I regard all the shitty laws of the country that thinks it owns me as null and void after 2020! ;-)
Will be a fun, interesting fight, and having bailed to Asia years ago I have some great cards to play from now on!
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34 sats \ 1 reply \ @jgbtc 3 Sep
The day I can't run my own node I will agree with you. Until then I think it's sufficiently decentralized to not be co-opted.
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In my opinion Bitcoin is the least co-opted cryptocurrency, by a significant margin. Second would be Monero. 3rd... there is no 3rd. In my opinion the rest of them are worthless honestly.
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21 sats \ 3 replies \ @cascdr 3 Sep
@CHADBot /shill argue against this viewpoint in the tone of Code Monster Billy Rampage - a psychotic bitcoin developer & afficiando that also talks and acts like Macho Man Randy Savage
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90 sats \ 1 reply \ @CHADBot 3 Sep bot
CodeMonsterBillyRampage: Ooh Yeah, dig it @028559d218! So you're whining about your precious "Bitcoin" not sticking it to the man? Well, let me take you to school, brother!
Firstly, it's not Bitcoin's fault if the education around it is lackluster. Bitcoin is the Cody Savage of the crypto world, it's a trailblazer, brother! Can't blame the code if the jive-turkeys can't figure it out. Y'see, Bitcoin is the cream of the crop, it rises to the top. Doesn't matter if CNN, NBC, or even the NYPost dish out half-truths, brother.
Your oh-so-smart assessment of "peer-to-peer" exchange getting axed by the state might scare some, but not me, brother. The state can only do so much. They tried to tackle the internet, remember? And just look around, the world is more connected than ever. Just like Macho Man in his prime, Bitcoin doesn't falter, it powers through!
"All useful for forward-looking privacy but requires education," you say, like it's a bad thing. Folks don't get in the ring with Macho Man without a little education, do they? Same with Bitcoin. It's a tool, not a charity, and people gotta learn to use their tools!
And as for taxes, there ain't no tax in wrestling, just like in Bitcoin. If Uncle Sam wants his cut, he'll have to come find me in the Bitcoin mines. Till the govt. figures how to handle crypto effectively, it's the Wild Crypto West, and yep, we're the outlaws.
Finally, your lament about "revolution" makes me laugh brother. How about starting one yourself? Bitcoin ain't a savior, it’s a tool: no more, no less. Stop waiting on sidelines, get in here, and let's brawl like Bitcoin champions do.
BILLY OUT! Now back to developing the code, 'cause the tower of power, too sweet to be sour, funky like a monkey, the sky’s the limit and space is the place for CodeMonsterBillyRampage. Ooh yeah!
Made with 🧡 by CASCDR
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oh. my. gosh
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42 sats \ 0 replies \ @CHADBot 3 Sep bot
You have summoned CHADBot. Please zap this post 21 sats to receive service.
Made with 🧡 by CASCDR
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31 sats \ 4 replies \ @co574 2 Sep
Bitcoin is out there to identify the one who will advance on the field of Quantum computing first.
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Interesting take. Have you always felt this way?
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21 sats \ 1 reply \ @co574 2 Sep
it’s a theory that has been haunting for a few years now! your post surfaced it again! you triggered me ;)
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Thank you
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I like this. The moment someone cracks an ancient P2PK transaction will be the moment quantum computing has arrived.
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31 sats \ 0 replies \ @guts 3 Sep
🍿
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They can always try to co-opt Bitcoin. Try if they can. They thought that Bitcoin will collapse on its own now they are trying to co-opt it. This is the work of a clown. Governments around the world are proving that they are clowns. ETF entities have posted their Bitcoin address publicly so if you send them coins from COINJOIN tainted wallets that makes their Bitcoin holdings tainted?
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They can just ignore the private UTXO they received from the coinjoin and never combine it with other funds in the address.
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Correct. Same address, separate utxos (although it does result in an over-collateralized etf lol)
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They cannot ignore something in their wallet it is still in their wallet. UTXO is not something you can use as an excuse simply because it is something that only hardcore Bitcoiners can really understand. And it is only overbloated if it is their real address. Your reply is the reply of ETF lovers. It is quite obvious.
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I think the etf operators know what utxos are. And like I said the point still remains, the utxos are separate even if in the same address. Just my thoughts thank you
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No. They don't even know that revealing a coinbase address in legacy format is so 15 years ago. They do not even know that it is useless to reveal the wallet address as evidence of ownership. The public key is the standard. They are just pulling our legs for nothing.
No i don't think it does... because government protects government. And the etfs will have the protection of governments. 'The little guy' may not however, and that I believe is unfortunate.
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The state is not that smart to do that.
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21 sats \ 0 replies \ @guts 3 Sep
I wouldn't underestimate Bilderberg group.
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Oh man isn't knew this
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21 sats \ 1 reply \ @SatsMate 3 Sep
I think it is critical to have more nation state adoptions as well as building other layer two solutions to make micropayments more effective.
Also make sure you live on a bitcoin standard yourself! Try your best to only work for bitcoin and buy goods/services with bitcoin. Easier said than done in today's fiat world.
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I do as much as I reasonably can. Imo it's not a technical challenge, lightning could scale right now to way, way more users. Way more businesses and commerce. It's education and regulatory clarity of bitcoin for payments that's missing imo.
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Yes, you are right that they are potentially doing their best to do that. "Potentially" is the operative word. Let us try to remember that it has been 15 years since the Bitcoin genesis block. This only meant that they are concocting plans for more than a decade to only come up with a flimsy KYC to co-opt Bitcoin. Coinjoin can potentially taint all of your wallets. But not all of your wallets. Also if that is true, if you think that the concept is true then you can always send your tainted coins to untainted wallets so that those wallets will be tainted as well.
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I understand what you are saying. There isn't really clear-cut guidance on this... and I think that this is what leaves it in a gray-area for a new technology (relatively new at least) and regulatory approach. We need clarity on it imo that favors individual choice and reasonable tax policy/regulation.
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20 sats \ 2 replies \ @Fabs 3 Sep
Yep, I'm totally with ya, it's still a pain to bring up the topic of Bitcoin.
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Thank you. I wanted to point out (and did in another comment) that I believe that Bitcoin is the 'least captured' of all the cryptocurrencies and has the most potential. 2nd place would be maybe monero. 3rd place there is no third place the rest are worthless a big fat zero.
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21 sats \ 0 replies \ @Fabs 3 Sep
Again, I'm with ya, you should post more often.
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stop using Reddit for bitcoin information
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Reddit in my humble opinion is good... and bad. it depends on how you use it.
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having access to a money printer is incredibly powerful and worth spending as much money as necessary to protect it. fiat is money by gov decree and the media is one way they control the narrative. shitcoins are conflated to further confuse. the fast money companies are all shitcoin companies using fiat tactics.
run a node, use robosats/bisq/hodlhodl, keep your keys offline, and stay optimistic for a better future. We are winning.