Cryptocurrency: Stops The Bleeding and Central Fraudsters of Custody Permission and Theft

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Bitcoin Stops The Bleeding: A Sound Money System Is The Only Cure For
What Ails Our Economy

https://bitcoinmagazine.com/culture/bitcoin-stops-the-fiat-bleeding

https://www.econlib.org/library/Mises/HmA/msHmA.html
https://alilybit.substack.com/p/what-the-fuck-is-going-on
https://www.atlanticcouncil.org/global-qe-tracker/
https://www.brookings.edu/research/fed-response-to-covid19/
https://www.youtube.com/watch?v=W6CTHoTTMyo
https://twitter.com/canindependent/status/1595460390045028352

As fiat currencies slowly bleed out in value, they are
disincentivizing saving. Bitcoin is a cure for the economic
calamities...

When a doctor operates on a wounded patient, the first thing they do
is make sure they can stop the bleeding. No point operating if you
can’t get the bleeding under control because the patient will die.
Money facilitates mutual exchange and helps market actors coordinate
price discovery — it is the literal blood of the economy. As fiat
currencies slowly bleed out in value, they incentivize fewer people to
save. If you want to stop the bleeding in your financial life, you are
going to need to find a way to store your wealth in something else.
There are plenty of options, but only one that is programmed to stop
all bleeding in 2140.

As peoples’ money bleeds out, so too does their education, time and,
I’d even argue, their mental sanity. Blood isn’t oozing out
egregiously, but rather being siphoned off from tiny cuts, so most
people do not even realize it’s happening. This is a hard pill to
swallow. Most Western societies teach people not to question
authority: raise your hand if you want to ask questions, and trust the
experts. Breaking out of this mentality is difficult. Watch this clip
of the White House press secretary to get an idea of how those at the
top will treat people who dare question the narrative.

    Watch: Bidens White House Press Secretary refuses to allow a
reporter to question Dr. Anthony Fauci during his last press
conference as the governments top doctor on the origins of Covid-19.
pic.twitter.com/06SRLUQwd9
    — The Canadian Independent (@canindependent) November 23, 2022

PAIN IS THE BEST TEACHER

Narrative is everything when trying to coerce the masses to accept a
“Great Reset” (if you have no idea what the Great Reset is, you can
read about it here). The scope of this article won’t cover what the
Davos elite is attempting to impose on the rest of the world, but
rather why Bitcoin stops money from bleeding out. Trying to calculate
all of the variables that bring about the emergent, complex behavior
of society is futile. Governments stole trillions of dollars via
quantitative easing and blamed their theft on COVID-19.

It should not be a surprise that what followed has been chaos in the
form of protests and supply chain issues. The Federal Reserve is
following up its quantitative easing with tightening monetary policy
at record paces trying to get inflation under control. This demand
destruction is wreaking havoc all over the economy but is necessary to
weed out unprofitable businesses.

For better or worse, pain is the best teacher. Hard Money recently
reported that Trezor has seen a 300% increase in sales revenue after
the FTX debacle. The whole point of Bitcoin is to not trust ,but
verify for yourself. Many ignored this because FTX had the stamp of
approval from many mainstream news outlets, politicians and
celebrities.

In the wake of its blow, FTX created tons of new Bitcoin maximalists
who now understand why not verifying Bitcoin with your own node means
that you are trusting potentially-corrupt third parties. The
mainstream media is not doing itself any favors with puff pieces like
the one below. Articles like this only serve to increase the pain of
those who were robbed and convince more people that the mainstream
narrative is corrupt:

Source
BUT SELF EDUCATION HELPS TOO

The remedy to most of these problems is a better education. Tools like
Saylor.org, Udemy and plenty of others have lowered the barrier
tremendously. It just requires a desire to learn.

For me, I found that desire by going down the Bitcoin rabbit hole.
Ironically, answering one question would lead me to more questions and
that number of questions grew exponentially. It made me wonder how
much people are not taught intentionally during their traditional
schooling. There is only so much time in the day and teachers must
prioritize their curriculums accordingly. I just don’t understand why
taxes, how to vote and basic financial literacy aren’t at the top of
most public school curriculums. The reader can come to their own
conclusions. What’s important is finding a teacher who speaks your
language and a subject that brings out your natural curiosity.
Learning becomes one of the most euphoric feelings in the world when
those two needs are met.

The standard way of learning has horrible mental models for teaching
people, like memorizing things for a test. Oscar Wilde is quoted as
saying, “Experience is merely the name men gave to their mistakes.”
People are so focused on learning from the experts that they forget
that those who changed the world didn’t ask for permission to do so.
They just did it. People want a hero to fix all of their problems but
the truth is that no one is coming to save you. I’m not saying one
should not find great mentors; it’s super valuable being able to
listen to those who have become experts in their fields in order to
learn. I’m saying one should not worship people like gods who can’t
make mistakes. Just look at Sam Bankman-Friend, who many thought was a
hero.

Source

Despite all of the educational content out there, the reality is most
people will come to understand the difference between paper bitcoin
and bitcoin you actually hold the keys for via an expensive lesson.
When the majority of Bitcoiners self custody their coins, and stop
blindly trusting their heroes, that is when we will see fireworks in
regards to bitcoin’s price action. Every person is different and has
various forms of risk tolerance. For those who are discouraged by
recent events, remember: Rome was not built in a day. Sometimes the
only way to get a lesson through someone’s head is for them to suffer
the pain of said mistake.
FTX AND CENTRAL PLANNERS ARE NOT SO DIFFERENT

What’s interesting about watching FTX fail so rapidly is that the same
thing would happen with our traditional financial system if we didn’t
have central banks acting as lenders of last resort. FTX violated its
own terms of service by using customer funds to make bets, but 99.9%
of the world just turns a blind eye when banks do this because their
terms of service legally allow fractional reserve banking.

In his book “Human Action,” Ludwig von Mises writes:

    “The rich, the owners of the already operating plants, have no
particular class interest in the maintenance of free competition. They
are opposed to confiscation and expropriation of their fortunes, but
their vested interests are rather in favor of measures preventing
newcomers from challenging their position. Those fighting for free
enterprise and free competition do not defend the interests of those
rich today. They want a free hand left to unknown men who will be the
entrepreneurs of tomorrow and whose ingenuity will make the life of
coming generations more agreeable. They want the way left open to
further economic improvements. They are the spokesmen of progress.”

Technology getting better should lead to massive deflation from
productivity gains. Regulatory moats and monopolies prevent this.
Fractional reserve banking creates an inflationary environment where
tons of capital is misallocated. In a free market, most commercial
banks would be insolvent.

FTX tried to create its own fractional reserve monopoly by lobbying
Congress and creating a regulatory moat around its business which
would’ve made it impossible for competitors to compete in the crypto
ecosystem. The world is fortunate FTX’s system blew up before it was
able to get its way with D.C.

Mises was right: It is not the incumbents who will create a more
agreeable future, it is entrepreneurs and ideas competing in a free
market. Bitcoin has over 10,000 competitors, and that number is
growing every day. Many, if not all of these tokens, are Ponzi schemes
in my opinion, but the idea that D.C could do a better job deciding
this than the free market could is ridiculous.

I understand regulation is difficult when technology is changing
things at such rapid rates. The little piece of glass in our pocket
allows us to hail a ride, order food or listen to some of the greatest
minds on the planet whenever we want. All of these things would seem
magical to someone who lived before the creation of smartphones. There
are going to be hiccups along the way as humanity tries to come to
grips with these new tools. This is why I keep this Hal Finney quote
as my Twitter header:

Source

For all of the wonders that technology can do for humanity, it can
also drive a whole new level of control. Free markets lead to optimal
price discovery. Too much central planning and markets start to break.
Price discovery in a free market is like a hash function. It takes
inputs of data and spits out an output that only goes one way.

With a normal hash, the algorithm works so that it is unfeasible to
reverse-calculate the data. You can verify a hash by making sure the
same output is achieved based on the input, but you can’t take the
output and figure out the input. In this same vein, a free market will
set the price of a good, but you can’t figure out how all of the
labor, work, travel and other variables created the price of the good.
The function only goes one way.

Market actors get upset when the coercion variable is notched up and
price increases happen. The blame is typically pushed on to the
producers rather than the central planners who are causing such
issues. Sound familiar? Like say the U.S. government, which is calling
out greedy fossil fuel companies for raising the price of gas while at
the same time advocating for the end of fossil fuel use. If price
controls are imposed, price discovery completely breaks down,
resulting in shortages. Until the creation of money is no longer
heavily intermingled with politics these issues will continue to play
out.
BITCOIN IS MORE IMPORTANT NOW THAN EVER

As central bank digital currencies (CBDCs) and digital identities are
rolled out, it has never been more important to point out why Bitcoin
is the remedy. Bitcoin allows the individual to go down a hero’s
journey where they can keep the value of their labor in their head.
CBDCs and digital IDs offer governments tools to enact monetary policy
at the individual level, be at the center of every transaction and
turn off people’s money as they see fit.

Bitcoin offers a better system, one that no one can cheat if they want
to be in consensus with the rest of the network. Preston Pysh said it
best: “Bitcoin is like the infinity stone.” It takes a great deal of
faith to hold on to an asset that has had multiple 70% to 90%
drawdowns before recovering to new all-time highs. Not many can hang
on to their bitcoin but those who do over long periods of time are
greatly rewarded.

The network effects of Bitcoin are insane. There is a Bitcoin website
paying people 21,000 satoshis to post a sticker that it ships to you
around their cities. Think about that. You can earn sats and increase
the value of those sats by helping raise awareness. Bitcoin is full of
these win-win scenarios. The tech is exciting, but the passion I see
from Bitcoiners in real life is unlike anything I’ve ever seen before.

Bitcoin as a technology, a new form of money and an idea are bringing
hope to humans around the world who have been disadvantaged because
governments have a monopoly on violence. Bitcoin empowers the
individual to fight back like never before. There will be growing
pains along the way and more turmoil in the short term for those
obsessed with measuring things in fiat. The way to fix that is to
orient yourself around the new system.

The possibilities that will come out of this Bitcoin renaissance are
endless. Grappling with what this new form of money means is difficult
because the world is full of so many paradoxes. When you learn, you
become smarter by ending up with more questions. Monopolies have
brought about some of the most prosperous and technologically advanced
times in human civilizations while also making George Orwell’s “1984”
look like a very plausible path for the future. The internet is
connecting people like never before and at the same time, loneliness
is increasing. Number go up technology is associated with greed and is
what initially attracts people to Bitcoin, yet many stay because they
realize Bitcoin is the true effective altruism movement. These
paradoxes are a bit mind bending but I do think there is value to be
had from chewing on these ideas.

It can be easy to get bogged down with all of the bleeding going on in
the fiat world. Bitcoin is the Band-Aid to fix it. It gives me a lot
of confidence knowing my money is secured by open-source software and
math rather than 12 individuals who decide when it is okay to steal
and when it’s time to practice fiscal austerity.

I’m glad the Fed has finally decided to do the right thing for the
economy but it has manipulated the cost of capital for so long that it
now risks destroying the entire system if it keeps tightening. The
problem is that the Fed’s only other option is to lower rates again,
which causes more bleeding via inflation. Bitcoin offers humanity a
way out of this paradox where central planners try to fix the bleeding
by siphoning more blood out of the patient. Every time central
planners manipulate the cost of capital it becomes more clear that
market participants are playing a rigged game. Bitcoin is the fairest
game humanity has ever created and the best chance we have of
separating money and state.