bitcoin as a global medium of exchange (was Re: Interesting take on Sanjuro's Assassination Market)

Lodewijk andré de la porte l at odewijk.nl
Wed Nov 27 12:35:08 PST 2013


2013/11/27 Juan Garofalo <juan.g71 at gmail.com>

> <l at odewijk.nl> wrote:
> > 2013/11/27 Jim Bell <jamesdbell8 at yahoo.com>
> >
> >> This difference is not defined by a law of nature, it is defined by
> >> algorithm and software.  And I strongly doubt that many people (other
> >> than Satoshi) realized this in 2009.
> >
> >
> > I realized it shortly after reading the paper. Then checked the
> > realization for a few days before switching the denomination of my
> > savings. 2011
>
>         That's why you whine about bitcoin's 'reputation' being tarnished
> by evil
> drug dealers eh?
>

I would be totally fine with Bitcoin going darknet. Doesn't lower the
value. Problem is that all legitimate dealings are made much harder, and
humanity's freedom is decreased significantly. I wouldn't say I whined
about it though. And the whole part about evil is just the opinion of the
enforced legal system.

Our dear dread pirate was an insane moron for living in America though.
That doesn't change at all.

How long's the ponzi scheme going to last though?


This is the kind of scheme that could last indefinitely. I visualize a
ponzi scheme as a funnel shaped like piramid growing downwards. Every
"brick" layed at the bottom flows some air up and out through the tip. The
tip flows towards the creator of the system. All the pieces higher in the
piramid get some air too. In bitcoin the hole at the tip is closed.
Although the pressure on the top increases (there's some gravity effect)
there is no money dissapearing.

There's a significant illusion that everyone involved in the system could
"cash out" for a certain price. Market dynamics don't allow such an event
to occur though.

You'll note that all commodities follow the same mechanism, except for
commodities being translatable to other valueable things intrisically.
Currency, USD, EUR, JPY, pretty much all others too, follow the same
mechanism completely except for the fact that governments can (and do)
choose to inflate a currency.

I answered this extensively because people have become allergic to
discussing Bitcoin in the ponzi light. There's definitely similarities
between Bitcoin and a Ponzi scheme. It is *VITAL *to note that
*every currency* has those similarities, but they are not easily seen.

Best regards,
Lewis

ps: thanks for remembering my earlier comments about drug dealers :)
-------------- next part --------------
A non-text attachment was scrubbed...
Name: not available
Type: text/html
Size: 3488 bytes
Desc: not available
URL: <https://lists.cpunks.org/pipermail/cypherpunks/attachments/20131127/125e7931/attachment-0001.txt>


More information about the cypherpunks mailing list