Replying to Avatar The ₿itcoin Artist

GM nostriches! 🌞☕💜🧡 #coffeechain #plebchain #grownostr

Some thoughts about fractional reserve #Bitcoin after listening to the latest WhatBitcoinDid pod with Jeff Booth and George Gammon.

They sort of agreed to disagree on the LIKELIHOOD we get an overgrowth of paper Bitcoin in hyperbitcoinized world.

But what they didn't discuss was the technical aspects of what paper Bitcoin is and how it would work.

The thing about fiat is that the "paper fiat" that gets created when a bank issues a loan, is actual units of the currency. They are not just promissory notes to fiat, they ARE fiat.

That is not the same with Bitcoin. Paper Bitcoin can't be sent on the blockchain. So if you want actual units of the currency Bitcoin, promissory notes are not the same thing.

And additionally, the promissory notes would not have any of the beneficial properties that the Bitcoin network provides, but would itself have to create a new type of fiat network to handle the transactions.
Avatar
Financial Parasites 2y ago

George Gammon is an idiot. His Keynesian mind can’t comprehend #bitcoin.

Reply to this note

Please Login to reply.

Discussion

Avatar
The ₿itcoin Artist 2y ago

Yeah, there did seem to be a gap there that he would have to do a lot of studying to close.

But it was still a little bit frustrating that Jeff Booth didn't push or explain in more detail HOW Bitcoin acts as a forcing function. Because that seemed to be the disconnect

Avatar
Financial Parasites 2y ago

I think gammon is a clown who can’t understand shit. That clown couldn’t understand that those who will play paper #bitcoin games will get rekt due to its circulation economy.

That clown couldn’t understand the simple fact that gold required centralization so that lead to creation of paper contract around it.

Rest I’m at left side of the curve.