Monat: Januar 2021
Bitcoin promised to create a new normal in finance, but it turned out to be nothing more than the old normal with a new face
The wonder of the universe is that it is always in motion and, as a result, that everything changes over time. Therefore, what we see today could be something completely different tomorrow, suddenly, there are no certainties.
Karl Marx expressed this concept brilliantly with the phrase „Everything solid vanishes into thin air.“ The same has happened with Bitcoin Up which has gone through various transformations over the years, and from a cypherpunk idea has become a simple Che Guevara T-shirt.
Be your own bank
The following words, published by Eric Hughes in „A Cypherpunk’s Manifesto,“ were the developers‘ big direction in creating e-cash, or electronic money, that was universal, private, and free from control:
„We Cypherpunks are committed to building anonymous systems. We defend our privacy with encryption, with anonymous mail forwarding systems, with digital signatures, and with e-cash.“
It was this idea that gave birth to Bitcoin, decentralized money with the goal of protecting privacy and allowing each user to be their own bank.
„Chancellor on the brink of a second bailout for banks“: this phrase taken from The Times newspaper is even recorded forever in the genesis blockchain of Bitcoin. However, time has transformed Bitcoin, and from an inner circle of cryptographers, BTC has conquered the world even reaching the International Monetary Fund, the Bank for International Settlements, the G-20 and the G-8. Who knows, before the moon, maybe it can reach Mars.
As Bitcoin changed, so did the ideas around it. The desire for privacy gave way to „to the moon,“ and the fruit of a manifesto became just yet another product of what we wanted to „fight against.“
Only the next all-time high matters
Today, instead of the phrases „inclusion of unbanked individuals“ and „be your own bank,“ we celebrate the fact that large traditional banks advertise custodial services for Bitcoin. Instead of privacy, we don’t hesitate to take selfies with personal documents in search of higher limits for trading, leverage, options and futures. We rejoice that billionaire funds and large companies and corporations are buying up all the Bitcoins available, convinced that they too are now „Bitcoiners.“
In politics, there’s an expression that says: if you’ve done something so good to change the world that even your opponents are applauding you, it means you’ve got it all wrong.
We are applauding the big capitalists, those who were bailed out by governments, those who caused the economic crises and the very banks that spit in our faces. Today we are happy to sit next to them and sell our Bitcoins, convinced that they love us.
We celebrate the fact that various countries create „regulations“ for Bitcoin, highlighting that they bring „security“ to the crypto sector, and we are „proud“ to see the biggest companies in the market collaborating with the authorities to „identify“ hackers and malicious parties.
Many large operators are ashamed to say that Bitcoin is being used by hackers, and they forget the history of BTC and its central goal: to be anonymous money.
We are willing to give up our privacy to sit at the table with those we criticize all the time, thinking they love us when, in reality, they are just out to make a profit.
The revolution that never came
Printing „Fiat is a shitcoin“ on bills is akin to an „independent“ teenager deciding to move out on their own but still having their rent, groceries and laundry paid for by their parents. What matters is the dollar value that Bitcoin will exceed ($30,000, $50,000, $100,000 or $300,000), inventory and flow…to the moon.
„Fiat money sucks,“ but the more Bitcoin is worth in U.S. dollar terms the better. After all, the important thing is that 1 Bitcoin will always be equivalent to 1 Bitcoin. It matters how much I bought and how much I hope to sell in order to buy more.
We’ve gotten to the point where we consider people who traded Bitcoin for pizzas or, like Sirius, sold 5,000 BTC to help create the first Bitcoin exchange to be „stupid.“ Hold, hold and hold for it to be worth more and more, I heard recently.
Accumulate, accumulate and accumulate more and more value in Bitcoin. It is, after all, „digital gold“ and the „reserve currency“ of a new age. But the new normal is nothing more than the old normal with a new face.
The whales have gone from names like „Joe007“ to Paul Tudor Jones, MassMutual, MicroStrategy and other „institutional“ investors, the same ones who will be bailed out by the government if bankruptcy approaches.