One thing to ponder. Are the banks the stateās agents or is the state the bankās agent?
Discussion
The State is that entity which funds its operations through violence. It is the credible threat of violence for non-payment of taxes that imbues the Stateās otherwise worthless currency with value.
Through its monopoly on violence, the State enforces its currencyās monetary policy by controlling (regulating) commercial, retail banks. Banks are chartered and subordinate to the Central Bank, which is an arm of the State enterprise.
Whether the bankers or the politicians are in charge at any moment is a technical detail subject to change. The problem is the violence monopoly, which historically precludes monetary competition.
#Bitcoin fixes this through unalterable monetary policy and unconfiscstability. In Bitcoin, ownership is knowledge. If you kill the gold bug you get their gold. You can still kill a Bitcoiner, but you canāt take their Bitcoin.
Good analysis
Largely, if the masses move to bitcoin our owners will have little power, but will the masses move to bitcoin?
Rome did not fall in a day. I wish the US empire would hurry the fuck up
This transition may take a while. Itās the biggest change in the nature of property since the advent of agriculture.
Our pre-agricultural ancestors (hunter-gatherers) were egalitarian. Oneās possessions were those that one could carry. If someone was too overbearing, the other tribe members could kill them. If another tribe was overbearing, everyone could pack up and leave.
But once our ancestors started farming, things changed. If someone threatens you, you can leave, but you canāt take the farm with you. If you kill the farmer, you get the farm. In the face of this dynamic, people created ever larger defensive coalitions, culminating in the modern nation-state. Each State is more-or-less bound by natural geographical features like mountains, rivers and oceans. (Prisoners of geography).
The State, wielding a violence-monopoly over a geographic area, is the arbiter of who can own what. Ownership is contingent on what the State will allow. Once bank credit replaced physical monetary media during the gold standard era, the Stateās power over its subjectsā money was total. The State no longer needed to resort to boots-on-the-ground violence to take your money. It can backdoor you by freezing your funds.
To protect themselves from confiscation risk (not to mention debasement), people diversify, storing wealth in assets in different jurisdictions. Under the current circumstances, this was the best one could doā¦ before #Bitcoin came along.
In Bitcoin, for the first time, we have true intellectual property. Ownership is knowledge. You either know the keys or you donāt. Thereās no bank to backdoor you. Thereās no official to appease. You can leave and take all your money with you, in your head.
This is the most profound change to individual ownership capability in 10,000 yearsālong enough for not only cultural change, but natural selection. It may take generations for the full ramifications to play out.
Do you have a blog? Great explanations!!
Haha, no. But I did write a Bitcoin book a few years ago. https://www.amazon.com/Orange-Coin-Good-Value-Bitcoin/dp/B08M8GWMZL