Life and markets are characterized by cycles; “nothing goes up or down constantly,” and it is this oscillation that drives the universe. Understanding Bitcoin requires embracing a set of principles that may appear paradoxical to newcomers conditioned by traditional finance:
Bitcoin is not a FIAT CURRENCY: Unlike government-issued money, its value isn’t decreed by a central authority, nor is its supply infinitely inflatable.
Bitcoin is not an investment in the sense of a stock market: It doesn’t represent ownership in a company or generate dividends based on corporate profits. Its value proposition is different.
Bitcoin valued in “FIAT” is a stupid thing: While fiat currency is a common measuring stick, focusing solely on this conversion misses the point of Bitcoin as an alternative system. Its true measure, proponents argue, lies in its purchasing power and its role within its own ecosystem and as a hedge against fiat devaluation.
Bitcoin is only the beginning of a deeper change: It represents a foundational layer for a new, decentralized financial and digital paradigm.
Bitcoin is more like a life insurance or a “Gold Box”: It is a long-term holding, a means of preserving wealth across time, much like physical gold has been historically, but with digital advantages.
Bitcoin is hated because it cannot be easily manipulated and is relatively private: Its decentralized nature and resistance to censorship and control by single entities make it a disruptive force, often viewed with suspicion or hostility by established powers.
