Bitcoin in 2020:
Run a node
Self-custody only
Fuck the Fed
Bitcoin in 2024:
Bro how does a node work bro
Coinbase, the best place to custody
Letās use bitcoin to back the dollar
Discussion
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Well, you got something better to back it with?
The US Dollar doesn't need to be backed.
It needs to be destroyed.
How do you think that realistically happens sir
"Realistically" is subjective. I don't like the way things are going now, and I'm not going to really love any of the paths in front of us.
I first need to state the endgame goal, which is to replace the debt based fiat currency system with a wealth based hard money system. No more currency debasement by printing, no more governments that have to pay off international slavery loans or face sanctions by their trading partners. I believe that Bitcoin could be used as an international standard for the base layer wealth measurement system that underpins a global monetary system, but everyone is going to have to agree to that before it happens.
The ideal path for me would be as follows:
The United States Federal Government balances the budget. This is not going to be a quick process, but it was done in the past and can be done again. Easiest thing to do would be for Congress to start using Pay As You Go rules for legislation again. If someone files a bill in Congress that results in an expense, that piece of legislation needs to identify the exact funding source for that expense on a 1:1 ratio. We did this up to the 2001 budget in the late 90's and it worked. But the Afghanistan/Iraq war years destroyed it, and Congress has refused to use PayGo rules ever since. It's still on the books, they just need to enforce it.
Once we have a balanced budget, and indeed during the time period when we are trying to get to that point again, 1% of all federal revenue is directed towards Bitcoin Mining. Not a Strategic Reserve, but actual hash contracts that are funded by the Federal Government. The Bitcoin that is generated by these miners is not held or hoarded, but used. At first it would be sold at market rate and the resulting dollars would be added to the general fund. The more hash contracts are in place, the more the revenue would be, and the more the general fund is supported. Positive feedback loop.
When the budget is balanced, we keep it balanced. We pay off existing bonds, bills and notes as they come due as part of the regular expenditures. We don't need to sell any more bonds because the expenditures are paid for by selling the Bitcoin that the miners continue to generate. And as the debt is slowly paid off, the number of US Dollars in the system slowly begins to go down over time. Gradually the business world changes over to using Bitcoin, not just as a reserve asset store of value but as a medium of exchange and unit of account. Things are still priced in dollars, because that's a huge change that we won't be ready for until a decade or two passes.
Celebrations across the country erupt when the final 30 year Treasury Bond is paid off, and the US Government formally transitions over to the Satoshi as the base money, joining many other nations around the world that were able to do that already.
Like I said, subjective. But that's the vision I have.
And this path could be used by any government, actually any level of government. The more capital that comes from Bitcoin mining into the general fund, the lower taxes could go. This is what El Salvador should be doing. This is what all nation state governments should be doing. And state governments and municipal governments. Hell, the UN should be doing this to pay for their own expenses.
Doing anything else just doesn't make sense.
Not your keys not your cheese
Come and take it
See, this guy gets it
Ok go destroy it then
Last time I checked it was pretty good at doing that itself
š
Trying to be realistic here. Dollar not going away overnight
i think this might be the most important divide we have in the bitcoin community rn and there needs to be discussion and debate on this. in the long term, i think you're right. But maybe its a good idea for the next 30 years or so we trying backing the dollar with bitcoin? only to smooth out the adoption so we dont hit a "max pain" scenario that hurts a lot of people? i really dont know the right answer here but i think its an important topic to explore
Not my experience at all
Not on twitter tho
Not mine either but only because I have my own little bubble of Sovereign Bitcoiners around me.
She speaks the truth though, the Sovereign are the few and the cucked are the many, even among Bitcoiners.
Kind of how itās always been, no?
Maybe in the early days when it was just cryptopunks
But since 2017 the space has been rife with speculators just looking for a quick buck, last cycle was much worse too
šÆ my only criticism of the OP would be the comparison year might have to be 2012 or 2016
The sad part is the % of Sovereign Bitcoiners keeps hitting All-time-lows, everytime the price hits ATHs.
What would qualify to you as a Sovereign Bitcoiner? I feel like this is more than just a fellow with a self-custodial wallet. Not trying to start a hell thread just curious what that phrase means to you.
First and foremost is acquiring and using Bitcoin without explictly tying it to your government issued identity. Beyond that I guess there will be varying definitions and nuance.
had exactly the same thought.
seems like that changed a lot longer ago than 2020.
I know some 2024 cycle entry peeps that are now running nodes. I did push them to do it ...but it is happening.
š It's next to impossible for me not to push. More like club people over their heads to wake them up!
I buy on strike bro, cause fees are low bro
That's why I buy on Cash App. Very low fees, and instant purchases with no confirmations needed.
(he doesn't really buy on strike) š¤
Well, I really buy on Cash App. It's the most convenient way to buy bitcoin that I've found.
ok bro. Have fun with your kyc corn
Don't care. The bitcoin I buy now is for fun. For me to play with. The bitcoin that has secured my retirement was purchased many years ago on the #bitcoin-otc IRC channel, and it sits in a cold wallet. I have no need to care about KYC issues with this fun coin I buy now.
you're still ok with it if the government takes away the fun coins
Why would the government try to confiscate my coins in particular? I don't hold a fortune in my hot wallet. And I'm fully non-custodial with my keys secured behind strong encryption, and steel. So how would they even take my coins? And if somehow they did take my coins, it would suck, but it wouldn't be the end of the world. As I said, I don't keep a lot of money in my hot wallet.
Then you are sending the wrong message
I've been lucky and managed to setup 12 family and friends. All self custody multi-sig and one of them is running their own node. None of them are laser eye types. They all have weekly DCA's, set it and forget it and withdraw off of exchanges for larger amounts to save on fees in the future. šš¾
I think this is the Saylor-effect on Bitcoin culture. It's not so much that any of the people who were preaching self-sovereignty in 2020 have changed their tune, it's just that bitcoin has gone more mainstream and those with the largest microphone now don't care about freedom tech.
i can simplify it further
my circle will not adopt it unless it's traditional
this is what adoption looks like - trying to work them into the transition but their journey can start here if it must
bitcoiners wanted adoption and bitcoiners are getting adoption - everyone is allowed onto the network and we all knew that from the beginning
Back to the roots: letās run a node, do self-custody and fuck the fed. Who is involved in all three?
Letās use bitcoin for dollar denominated loan collateral š„“
The LARPer to sovereignty respecting bitcoiner ratio hasn't changed, there are just more of each.
Itās conveniente for a parasite to convince its host that it needs keep the parasite alive, or maybe it just eats the hostās brain for lunch and replaces it with a single neuron, who knows, itās all theory.
For real bro it's so sad. Wtf.
Dollar will be backed to survive and thrive. With a certain amount of sats per dollar. And gov can change the amount of sats per dollar for elasticity and stability just like they did with gold. Bitcoin holders and future holders can still transact when they want.
Thanks for doing what youāre doing