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1/25) BTC is fools gold
A purely speculative game of greater fool theory
Without utility, security or scarcity, BTC is not competitive!
Bitcoin already died in 2017
Due to a dramatic shift in purpose, economics & vision
In this thread I will cover why BTC is doomed to fail:
A purely speculative game of greater fool theory
Without utility, security or scarcity, BTC is not competitive!
Bitcoin already died in 2017
Due to a dramatic shift in purpose, economics & vision
In this thread I will cover why BTC is doomed to fail:
2/25) The blocksize debates changed BTC!
Far from being unchangeable
BTC is now unrecognizable to early adopters such as myself
Having abandoned all that it once stood for
Years later with a new flawed path set in stone
BTC faces a severe security dilemma in the near future:
Far from being unchangeable
BTC is now unrecognizable to early adopters such as myself
Having abandoned all that it once stood for
Years later with a new flawed path set in stone
BTC faces a severe security dilemma in the near future:
3/25) Bitcoin was initially designed to be inflationary during its bootstrap phase
As it gradually transitioned into its final deflationary phase
Bitcoin & for that matter all decentralized cryptocurrencies
Require a token with value in order to maintain security & function
As it gradually transitioned into its final deflationary phase
Bitcoin & for that matter all decentralized cryptocurrencies
Require a token with value in order to maintain security & function
4/25) This is because blockchains leverage value for cryptographic & distributed game theory
In other words;
Blockchains have a very big stick & carrot to dish out reward & punishment
In order to incentivize good behavior
This leads us to the security dilemma of Bitcoin:
In other words;
Blockchains have a very big stick & carrot to dish out reward & punishment
In order to incentivize good behavior
This leads us to the security dilemma of Bitcoin:
5/25) Due to the inflationary phase ending, fees have to replace inflation!
If the system cannot generate sufficient fees within a decade the long term security model fails!
Due to the security budget dropping to low
As fees fail to replace inflation due to a lack of utility
If the system cannot generate sufficient fees within a decade the long term security model fails!
Due to the security budget dropping to low
As fees fail to replace inflation due to a lack of utility
6/25) BTC is now doomed by their own decision of limiting the blocksize
BTC has to double in value every four years for the next century or sustain extremely high transaction fees!
However, such exponential growth in value is impossible since it would quickly exceed global GDP!
BTC has to double in value every four years for the next century or sustain extremely high transaction fees!
However, such exponential growth in value is impossible since it would quickly exceed global GDP!
7/25) Fees will also never reach sustained extremes, due to the ratcheting effect of the fee market
Therefore; BTC security is doomed!
Once this becomes reality it will be too late for a blocksize increase
Leaving a supply increase as the only option left to maintain security!
Therefore; BTC security is doomed!
Once this becomes reality it will be too late for a blocksize increase
Leaving a supply increase as the only option left to maintain security!
8/25) What holds BTC back from fixing these problems before it is too late is its governance & toxic culture
I extensively covered BTC governance here:
https://medium.com/cyber-capital/theory-on-bitcoin-governance-three-stage-model-v-1-0-98a8b83095b0
I argued that BTC governance is systemically flawed due to a lack of long term incentives on miners
I extensively covered BTC governance here:
https://medium.com/cyber-capital/theory-on-bitcoin-governance-three-stage-model-v-1-0-98a8b83095b0
I argued that BTC governance is systemically flawed due to a lack of long term incentives on miners
9/25) BTC's history of power struggles & civil wars
Has resulted in the status quo dominating BTC politics today
This in part due to almost all dissenting voices leaving for competing cryptocurrencies during these previous time periods
This combined with extreme censorship;
Has resulted in the status quo dominating BTC politics today
This in part due to almost all dissenting voices leaving for competing cryptocurrencies during these previous time periods
This combined with extreme censorship;
10/25) Has created an echo chamber with a self reinforcing selection bias for the leading personalities
Toxicity, closed mindedness & hostility are all symptoms of BTC's deeper flaws
This is the cause of their insecurity
Which demands fictitious narratives from its supporters
Toxicity, closed mindedness & hostility are all symptoms of BTC's deeper flaws
This is the cause of their insecurity
Which demands fictitious narratives from its supporters
11/25) As falsehoods, fantasy & wishful thinking are the only ways to keep selling BTC to the greater fool
Even resorting to tactics from the ponzi playbook
I do not want to be associated with BTC anymore
As it no longer represents the beautiful dream I once fell in love with
Even resorting to tactics from the ponzi playbook
I do not want to be associated with BTC anymore
As it no longer represents the beautiful dream I once fell in love with
12/25) The dominant personality type is now the polar opposite of when I first joined in 2013
The same collective psychological spirit that I fell in love with in 2013
Now thrives in BTC's competitors
Stop selfishly pretending as if BTC still supports its original lofty goals!
The same collective psychological spirit that I fell in love with in 2013
Now thrives in BTC's competitors
Stop selfishly pretending as if BTC still supports its original lofty goals!
13/25) BTC's competitors now hold up the torch of freedom
Serving as our new refuge from this insanity
BTC does not exist in a void, it has to compete, evolve or die
It takes centuries for an SoV to truly become established
Based on its utilitarian & Aristotelian attributes
Serving as our new refuge from this insanity
BTC does not exist in a void, it has to compete, evolve or die
It takes centuries for an SoV to truly become established
Based on its utilitarian & Aristotelian attributes
14/25) Attributes which BTC no longer possesses, especially in the face of the competition
Maximalists act as if BTC's decade old history can never be overcome
While attempting to overcome the multiple millennium history of gold
It is a delusional fantasy inspired by greed
Maximalists act as if BTC's decade old history can never be overcome
While attempting to overcome the multiple millennium history of gold
It is a delusional fantasy inspired by greed
15/25) Abandoning the much larger & more significant market that Bitcoin was created to compete with:
Modern fiat currency
Modern fiat currency has existed for less then a century
Before fiat we used commodity money for the majority of human history
As money & store of value!
Modern fiat currency
Modern fiat currency has existed for less then a century
Before fiat we used commodity money for the majority of human history
As money & store of value!
16/25) True cryptocurrency embraces this revolutionary aspect; combining SoV & money
Just like the historical use of commodity money
Forming an unbeatable synergy in digital form
BTC has long since abandoned this original vision, which is why I left after the blocksize debates
Just like the historical use of commodity money
Forming an unbeatable synergy in digital form
BTC has long since abandoned this original vision, which is why I left after the blocksize debates
17/25) Ethereum & almost all BTC competitors have adopted Bitcoin's original vision
A digital equivalent to the precious metal coins of our historic past
While BTC still denies its roots as P2P cash: gold as a commodity currency:
Destroying utility in favor of pure speculation
A digital equivalent to the precious metal coins of our historic past
While BTC still denies its roots as P2P cash: gold as a commodity currency:
Destroying utility in favor of pure speculation
18/25) BTC is the only cryptocurrency that considers low capacity & high fees a positive feature
Requiring the utmost of vigor in ideological defense
During the blocksize debates, I realized that this would slow down mass adoption by atleast a decade
Necessitating a flippening
Requiring the utmost of vigor in ideological defense
During the blocksize debates, I realized that this would slow down mass adoption by atleast a decade
Necessitating a flippening
19/25) The cryptocurrency market has to now overthrow the incumbent
Before it can truly thrive again
Better to swallow that bitter pill now, as opposed to extending the pain
By propping up what has become a fundamentally flawed asset & network
That is doomed to fail anyway
Before it can truly thrive again
Better to swallow that bitter pill now, as opposed to extending the pain
By propping up what has become a fundamentally flawed asset & network
That is doomed to fail anyway
20/25) There is a understanding among major players not to expose BTC
Greed & fear of BTCs fall dragging all down motivates inaction
We are better off ripping that band aid off now rather then later
Have some intellectual honesty for gods sake & break the silence!
Greed & fear of BTCs fall dragging all down motivates inaction
We are better off ripping that band aid off now rather then later
Have some intellectual honesty for gods sake & break the silence!
21/25) I appreciate wanting to keep BTC decentralized
However, we can support 128MB blocks (4xPayPal) on a decade old laptop right now
Without compromising decentralization at all
Refusing to scale for such a small trade off has been the single most disastrous decision for BTC
However, we can support 128MB blocks (4xPayPal) on a decade old laptop right now
Without compromising decentralization at all
Refusing to scale for such a small trade off has been the single most disastrous decision for BTC
22/25) Supply is irrelevant, without demand
BTC rejected utility for the sake of SoV, ruining both in the process
The utility of blockchain is profoundly valuable
A purely speculative asset such as BTC will be left behind in the wake of assets with tangible economic benefits
BTC rejected utility for the sake of SoV, ruining both in the process
The utility of blockchain is profoundly valuable
A purely speculative asset such as BTC will be left behind in the wake of assets with tangible economic benefits
23/25) BTC is a extreme case of wishful thinking
A simple but flawed narrative, attractive to the masses
Without any foundation in utility, BTC is a purely speculative asset
Only bought in the hope that the price will go up, just like a ponzi
That is not a real investment!
A simple but flawed narrative, attractive to the masses
Without any foundation in utility, BTC is a purely speculative asset
Only bought in the hope that the price will go up, just like a ponzi
That is not a real investment!
24/25) I have witnessed BTC steadily devolving from 2013 onwards
Like slowly boiling a frog many do not notice the incremental change
BTC has become the antithesis of what the Bitcoin community used to stand for
Like night & day others carried on the banner for freedom instead
Like slowly boiling a frog many do not notice the incremental change
BTC has become the antithesis of what the Bitcoin community used to stand for
Like night & day others carried on the banner for freedom instead
25/25) BTC is on borrowed time
Hand waving away its deeply flawed design
Failing to move with the times & ideologically entrenched in a flawed design
BTC is not exempt to competition!
The Bitcoin dream now thrives in its children instead while BTC is left behind in the dust
Hand waving away its deeply flawed design
Failing to move with the times & ideologically entrenched in a flawed design
BTC is not exempt to competition!
The Bitcoin dream now thrives in its children instead while BTC is left behind in the dust
