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I see constant talk about how Bitcoin is the way of the future, how it's the answer, the solution to the corrupt and mismanaged fiat system, a revolution, a way to put the power back in the hands of the people, digital capital, how it has so much utility, how it is the perfect money...

But I never

ever

see anyone talking about how we'll actually value it in a future where it has achieved the goal that everyone idolizes. Why? Why does it feel like there's no true long-term plan?

Lots of people say "don't value your Bitcoin in fiat", but they just stop there. They don't even bother with trying to extend that thought. I feel like this is a mistake to not take it further.

Imagine a future where Bitcoin has become our new primary store of value and we no longer value Bitcoin in fiat. How will we value it at that point? What will one BTC be representative of?

How will we determine this new system of value? How will we arrive at a consensus for it? Will this somehow naturally and organically grow out of the decentralized nature as the system becomes more and more widespread and adopted and used, similar to the dynamics involved in the emergence of the first currencies? Or will there need to be some form of committee formed to make a decision about how we value BTC? Will governments play a role in this?

All the talk of "0.1 BTC is all you need" and "whole coiners" is all purely based on fiat, and doesn't address anything about the long term future of Bitcoin.

I was wondering if people can tell me if any thought is actually being put towards this. I'd like to read about any progress towards this, or about thought experiments for it, or see videos or listen to podcasts that discuss it. So any kind of recommendation of reading materials or other information would be greatly welcome.

Memes and pithy hype quotes aren't going to do shit for us. If this truly is a revolution, we need plans, and we need to ask the hard questions and deal with the tough discussions and start to think about the goal we all dream of actually being realized. Memes and parroting "stack sats" are the lowest of the low hanging fruit.

#Bitcoin

Bitpower 1y ago

How is this different for you than pricing other free market goods or for example public traded stocks. Does it matter what the unit of account is? Shells, gold, fiat money or bitcoin? We have had many systems for measuring distance, weight and value. Bitcoin is nothing more than the evolution of money.

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Discussion

Zaelus 1y ago

It's different because of the core narrative of 1BTC=1BTC and "don't value your BTC in fiat". All I'm trying to do is think about what that can actually seriously mean from a logical perspective.

At some point if the current system dies, a new system must replace it, and 1BTC=1BTC is completely meaningless.

Bitpower 1y ago

Can you dive a level deeper? Why would 1BTC = 1BTC a problem?

Zaelus 1y ago

How do you extract some useful information from 1BTC=1BTC when you need to pay rent, or an electrical bill, or buy food, or get paid for some form of future job?

Jeff Swann 1y ago

There already is a market measurment of bitcoin in terms of fiat. There are also market measurments of bitcoin vs gold & gold vs fiat & fiat vs fiat. These measurments aren't going away. And they are going to print trillions more in fiat.

Bitpower 1y ago

To me 1BTC = 1BTC means nothing more than what it literally says, and is equal to $1 = $1. What more it could mean does not explain the emergent process that is the valuation of a monetary good. It cannot be planned, it can not be understood in full, it is what happens if it happens. This is the magic of a free market. And I am in no doubt that homo sapiens will reach consensus on this important topic.

Jeff Swann 1y ago

We can & will use fiat valuations as a jumping off point. People already offer discounts to people paying in Bitcoin, the real cost of dealing with fiat will continue to rise until people just refuse to accept fiat.

Zaelus 1y ago

Thanks for your replies. I think your first sentence is the key answer to what I was wondering, and the realization I'm coming to reading all these replies. A lot of the hyping up and meming really does a huge disservice to the people who have a need to learn and understand the practical implications of things.

Jeff Swann 1y ago

I think most of the memers are generally right in one way or another. Encouraging people not to worry about short term fiat valuations is important. Shifting from a fiat standard to a BTC standard requires realizing that getting more BTC is the goal, & if you haven't lost any BTC then you are winning.