How #Bitcoin, #Lightning & #Nostr allow for innovation without (institutionalised) credit … :

The fiat-based monetary system has made it increasingly difficult for innovations to emerge from the market without institutional funding.

Monetary inflation has made fiat money a poor store of value, which has made it almost impossible for entrepreneurs to save and self-fund innovation.

The capital requirement can usually only be covered by state-affiliated banks and institutes (these include venture capital firms, almost all of which are motivated to maintain good relations with the state).

This development is problematic because the state and its affiliated banks and institutions are pursuing a political agenda. They support projects that follow this agenda.

Satoshi (2009) broke through government imposed gatekeeping and the control mechanism of fiat and institutionalised credit with open (source), permissionless, sound digital money (#bitcoin), laying the foundation for progress free from the shackles of central banking.

Bitcoin is the hardest money ever created. Due to its fixed supply cap, it allows to save and preserve the value of time and effort - giving market actors the time and capital to focus on problems and find appropriate solutions.

The #Lightning Network (2015) introduced a second layer payment protocol for Bitcoin, enabling fast transactions and micropayments.

With the launch of #Nostr (2020), a decentralised protocol for the uncensorable transfer of information, we have a Bitcoin-based tech stack that serves as a basis for market participants to work, communicate and collaborate successfully outside of government control.

Innovation can now emerge from the free market (bottom-up) and is not suppressed, imposed or manipulated from ‘above’.

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