Chapter 5 - Subjective Value
Monday, August 5th, 2024, 12:19 p.m.
The markets are selling off huge today and surprise, surprise, the online trading platforms went down. The shutting off of the buying on the stock GME (Gamestop) in early 2021 is what pushed me all the way into the Bitcoin camp. I have not looked back since.
When you do the work or research on Bitcoin and fiat, you realize what the future will be like. Fiat is inflating at 2-4% yearly in perpetuity and Bitcoin is deflating every four years (epoch). Bitcoin has 21 million coins total and no more can ever be created, but fiat has more printed every year. More debasement equals less value. If Bitcoin had no total finite amount, it would not be intriguing at all. Like Ethereum. Ethereum is the second most valuable cryptographic currency by market cap. It does not have a cap on how many will be created. It works just like fiat and it is centralized like fiat money. It does not act…
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…as a good store of value in my opinion.
I saw gold and silver being sold at Costco the other day. A one-ounce gold coin was $2,399 for one. This was a great store of value for thousands of years because it was hard to debase the currency. It was hard to find and hard to dig out of the ground once you did find it. I thought of it as the best money until 2021. The creation of Bitcoin has supplanted gold as the best store of value in my opinion. Peter Schiff would disagree with me, which is his right. I believe SubVal should be voluntary. It is by nature. People in the Gubment will try to persuade you otherwise so they can remain in control, but those days are gone. My thesis is that as more and more people in the world adopt Bitcoin by educating themselves about it they will bankrupt or defund the over-bloated Gubment spending. The…
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…people in Gubment will not be able to persuade young men and women to kill each other in war for a fiat currency. You will have to have a real cause or issue to get the Bitcoiners to volunteer their wealth. I do believe taxes will become voluntary and people will pay also. They won’t be near as crazy as they are right now. Things will become more localized. People who are in charge will be in charge because they deserve to be. They will be men and women with integrity that the community trusts. This is not as far away as people think. I believe in 5 to 15 years this will start happening like new grass shows up in the springtime.
Change is inevitable. It is always taking place. Bitcoin changes human beings by changing the incentive structure. “Cui bono?” Who benefits? The generations to come will see it more clearly than any of us alive right now do. :)
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