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Tom Honzik
583c2f286a41e85e61c9d8ea09e4e95e98a144f8503e0bec0f29c150058ca6df
bitcoin educator at unchained.com

I hear it a lot, “I don’t look at the price” of bitcoin, “I don’t care about the price.”

I appreciate the spirit of buying bitcoin at any price.

However, the price is INCREDIBLY interesting! It’s literally the scoreboard for an epic battle between good and evil, a new monetary system steadily overthrowing the old. It tells a story. So yes, I check the price, and I enjoy doing so.

Also, people who say they “don’t think in fiat terms,” or “bitcoin is my unit of account.”

Really? Again, I appreciate the spirit. But fiat is THE unit of account for pricing goods and services at pretty much all places of business. I highly doubt you convert the fiat prices to BTC for everything you see at the grocery store. If you do, based. But I think most people are thinking about the $ price of the product, and perhaps comparing that to the $ price of bitcoin, when they are making their decision to buy something.

I don’t think it’s helpful to make a claim that is false or irrational when advocating for bitcoin. It will draw scrutiny and suspicion. Instead, we can be more precise with our language:

“Converting fiat to bitcoin will always be an upgrade for long-term savings, at any price.”

“Volatility doesn’t bother me or affect my long-term outlook on bitcoin.”

“I consider the opportunity cost of buying bitcoin when deciding whether or not to buy other things.”

How long will it take for bitcoin to become the dominant monetary system, AKA hyperbitcoinization?

I’ve heard some bitcoiners say that the realistic time frame might be 20 years from now or more.

Here’s why I think they’re wrong, and we see it happen before 2030:

1) Evidence points to strong probability that there will be at least 2 more bull cycles before 2030, whether it is caused by the next two halvings or something else.

2) I believe that each bull market causes the population of bitcoin adopters to increase at an exponential rate. More touch points, more word of mouth, more education, more reason to believe bitcoin is not going away. If this is correct, then I believe after only 2 more bull cycles, the majority of the world will be bitcoin adopters—game over.

3) As bitcoin in the next bull cycles becomes worth hundreds of thousands of USD, I think it becomes more and more clear to people that $1M per coin is possible, which psychologically will be a huge deal (breaking cognitive dissonance, “OMG this thing really does go up forever”)

4) It’s true that much of the world’s population is not ready to adopt bitcoin, which is a main argument for people who think the process will take decades. But… most people don’t matter in terms of hyperbitcoinization. Once we get large corporations and governments fighting over the bitcoin supply, it’s game over. Everyone else will be forced into bitcoin whether they like it or not. And do we really think we won’t see see institutions fighting over BTC before 2030, with one or two more bull cycles? The infrastructure is increasingly being built to accommodate this.

5) The debt spiral across the globe is real, and needs to be dealt with. Money will be printed, inflation will get worse, and people will increasingly need alternatives to protect themselves. I see it as quite unlikely that fiat only gets marginally worse before 2030.

6) Things being built with bitcoin continue to increase, widening its use cases and providing even more avenues for adoption.

We’ve heard “gradually then suddenly,” and I think the final “suddenly” that ends fiat will be either this coming bull cycle, or the following one at the latest. I don’t see how there could be room for a third bull cycle from here. I’m even skeptical about there being room for two… it’s possible that hyperbitcoinization occurs in just the next 1-2 years, which sounds crazy enough that it would even catch most bitcoiners off guard.

If you disagree, let me know why you think I’m wrong!

Anyone else ever get two small yolks from the same egg? Can I claim a prize somewhere?

“RayBan Meta SmartGlasses” is one of the most fiat product names I’ve ever heard

Uranium prices are the highest they’ve been since 2011, when it was going parabolic right before the Fukushima disaster.

One disaster changed the public opinion and price trajectory of Uranium for over 12 years, at a particularly opportune time. Might cause someone to question whether there is a hidden story behind Fukushima.

If another nuclear accident happens in the near future… it would raise more questions.

Tucker Carlson interviewing Javier Milei is a massive L for statists everywhere

It’s amazing how many socialists and central planning advocates are out there who have no idea that’s what they are.

Ray Ban got bought out by Luxotica, the most fiat of glasses manufacturers

Hard NO to all bitcoin forks no matter how seemingly harmless, until the ETF is approved, might be a nightmare for the State.

What’s been going on recently looks a lot like the USG buying time until they are inevitably forced to publicly legitimize/endorse bitcoin.

And in the meantime, there’s impatient, desperate attempts to make progressive changes to bitcoin.

I have never once paid for a meal to be delivered to me. Doordash, Uber eats etc. Even pizza.

Seems lazy and expensive. Put in the proof of work to go get your meal and stack sats with your savings

Replying to Avatar Lyn Alden

Neil Howe, who co-authored “The Fourth Turning” in the 1990s which predicted a lot of the issues we are going through now in the Western world from the late 2000s to the late 2020s, just came out with a sequel called “The Fourth Turning is Here”.

I haven’t read that new one yet, but plan to eventually. But it has me thinking about something.

Neil Howe and his co-author, back in their prior 1992 book “Generations”, coined the now-famous term “Millennial generation”. Whenever we think about how “Boomers”, “Gen X” and “Millennials” differ from each other statistically, a lot of that social concept and nomenclature goes back to the research of Howe and his co-author three decades ago.

In their view, statistically speaking, each generation tends to be raised from prior circumstances, and develops certain attributes from how they were raised. And then how they were raised and how they become, contributes to how they raise their kids. The TL;DR in one sentence is the meme, “strong people create good times, good times create weak people, weak people create bad times, bad times create strong people”, although the full conception is of course more complex and nuanced than that.

To describe it in a slightly more detailed manner, there are periods of social unification and optimism (but general repression of outsiders/minorities), periods of pushback and awakening social change, periods of isolation and pessimism as the social order begins to disintegrate, and periods of populism and catastrophe, resulting in a crisis that leads to… periods of social unification and optimism (but general repression of outsiders/minorities) which begins the cycle anew.

In this post, the most relevant two of the four generations are:

-Generation X (those born from the mid-late 1960s to the very early 1980s) were kind of “on their own” as kids. Statistically speaking, their parents gave them a key to the house and basically said, “go bike and play with your friends”. They developed a rather individualist and self-reliant but somewhat cynical view of society. As they became adults, they were capable, but generally inactive in terms of politics.

-Millennials on the other hand, (those born from the early 1980s to the late 1990s or early 2000s), were statistically rather coddled by their Boomer parents, but by extension were made sure to have a bunch of talents (grades, languages, social connections, etc). And the 1990s in the US and Europe were basically “peak years” in terms of optimism. As they are starting to become adults (30s and older), they lack independence but have a strong sense of community.

As someone who is on the older half of Millennials (born in the mid/late 1980s), and with an older father (not a Boomer, but rather the prior generation to Boomers that mostly raised Gen Xers), I have found this blend to be true, but interesting. And it has been useful to witness the social shift in society in ways I can observe. I’m kind of a Gen X and Millennial hybrid, in other words. I was raised in a Gen X way by a parent of the typical age of Gen X-er parent, but in terms of age and media influence, I’m a Millennial.

This generational stuff is only about statistics/trends, so there are a ton of exceptions, like me and others. So for example, I was homeless with my mother from age 5-7, and then grew up in a trailer park with my elderly single father from age 7-18 who had to work most days, so I wasn’t exactly the main demographic of reference here. And yet I still experienced much of it through media, in my hybrid way.

My father, by the nature of his age and circumstances, treated me as a blend of Gen X and Millennial as Howe would define it, but mostly Gen X. He gave me a house key, taught me to cook, and was basically like, “go play with your friends and get your homework done, I love you, but I need to work now.” when I was 7. I was out with my trailer park friends for hours unwatched playing with literal samurai swords and stuff, which would horrify parents today. My father had harsh standards for my school grades but didn’t directly participate because he didn’t know anything about math and so forth. He also put me in martial arts classes, which like a classical Millennial parent (and unlike my schooling or the Gen X stereotype), he tightly participated in by driving me there and watching me there every session in the evenings. Plus, from a Millennial perspective, as a single father and one daughter, we had more communication than a typical Gen X household would have by Howe’s conception of a typical Gen X household (closer to a Millennial household where there is more of a highly communicative and friendly relationship between parents and kids). We were a hybrid Gen X and Millennial environment, based on age, situation, media, and era.

I grew up with 1990s media. The Soviet Union recently fell, and China was opening up to the world, which along with the US and Europe together helped integrate the world together. I played and watched Pokemon from Japan, and as I grew older I watched things like Cowboy Bebop and other anime. I was aware that more and more of my physical stuff was made in China. The movie Independence Day with Will Smith from the USA was popular, and other pro-America, pro-world movies and shows were popular. Europe was integrating together and had a very optimistic economic outlook (lol in hindsight), which came together with the euro currency. All sorts of optimism in media, with a pro-America and pro-World theme, everything seemed to be improving. I was playing Japanese Nintendo and Gamecube, filled with happiness and optimism, and Japanese Playstation (Final Fantasy 7 and 8), with some emo drama but generally positive. Later when I went to my friends homes, I played Playstation 2 and so forth, which had grittier content but still with a conception of ever-improving technology.

That was the social era I grew up in. Few or no phones, or basic flip phones at best. We were still out and experiencing the world as kids, in our rough and tumble way, or playing computer/console games (often together in someone’s living room while the parent was at work). But there was a social and media conception that things were improving, including global geopolitics and economics, which influenced me and the rest of the Millennial generation, even as I was also kind of raised as an independent Gen X that cooked for herself, was alone or with friends for long stretches of time while her father was at work, and would be respected enough to just be out with friends for hours at a time without the parent knowing where I was.

I’m grateful for this blend. I love the combination of the early Millennial era optimism (coming of age in the 1990s and early 2000s), but I also appreciate the grit of being raised in a trailer park by a single elderly father born in fucking 1935 who, by practical necessity, made me independent as soon as I was consciously able to be and threw me out into the working-class suburban wild. A lot of people born in the 1980s, not just me, kind of have a sweet spot there. Grit and optimism. I was a 7-year-old that from that point had to navigate cooking, house maintenance, neighbors, snow-shoveling, getting to the bus stop a mile away, but that also had a friendly relationship with her father as the only two people in the household, and who was raised in an environment of highly positive 1990s and early 2000s media and friends.

It has been interesting to watch media change over time. It has of course become grittier, darker, and more pessimistic. We had the 2007-2009 Great Recession, and then slow economic growth, and then all the 2020-2022 COVID stuff. Dark stuff is popular now. I also personally find that I like darker stuff. Optimistic stuff seems out-of-touch. This is our era.

And it has been interesting to watch social norms change as well, somewhat in the opposite direction. We became less optimistic in our media, even as we tried to become more inclusive in our social norms.

My father was a Republican and my mother was a Democrat. I was young and politically neutral until the US invaded Iraq in 2003 when I was 15-16. Most Republicans voted for it, and a sizable minority of Democrats voted for it, but far more Democrats opposed it than Republicans. Republicans opposed LGBT rights whereas Democrats supported them. Republicans were generally the war-on-drugs group and Democrats were more mixed in that regard. I was a blended Democrat or Libertarian in the sense that I didn’t like foreign war, and I also wanted adult LGBT people to have rights (many of which they didn’t have back then), and although I wanted rule of law on property I didn’t want the drug war, and was fiscally free-market oriented on taxes and regulations and so forth. Basically, my default setting in that context was socially liberal and fiscally moderate/nuanced. I defined myself as opposing the Iraq War and Drug War, and wanting my LGBT friends to have equal rights in an individualist but rule-of-law society. My focus was on individual freedom, with an emphasis on empathy and inclusiveness.

When I was in college, I worked as a resident assistant, meaning I helped freshman and sophomores become accustomed to living on campus away from their parents for the first time, and deal with their problems that might pop up. We (resident assistants) were the front line to help them get used to it, become independent, and to spot problems (e.g. suicidal students, which unfortunately happened on occasion). I also had to give diversity presentations.

Back then, and I’m talking late-2000s here, the diversity presentations that resident assistants like me had to do were rational and benign. It was just about awareness of statistics, and to ask why, and to discuss how we might be more cognizant of these differentials. The goal was to make people think and be self-aware, rather than to give them answers.

For example, we would do various exercises to identify privilege, like the male/white percentage of celebrities, superheroes, politicians, famous authors, and so forth to see how high the percentage was and to question why. The focus was on identifying the historical momentum of privilege and how many of our influences are drawn from that momentum, being aware of it, as social cognizant people, and that’s it. We also did totally different social bonding things, like video game tournaments (I always did Super Smash Bros), March Madness tournaments, and so forth that had nothing to do with race/gender/orientation/etc. The goal was to have fun, build a community, and then once in a while think about the concept of social momentum and how we might deliberately make a note to be more consciously inclusive of our friends, or media, and thinking to include everyone rather than ride on unconscious momentum. I think that’s healthy, and that’s all that we did at that time. It was about individualism combined with conscious inclusivism rather than unconscious riding on historical (often racist, sexist) momentum.

But now when I look at college campuses in the 2010s and 2020s, and society at large, it has obviously trended a lot differently since then. The full Millennial and Gen Z environment is very different than the Gen X and early Millennial environment. Many of them now have adopted a more cultural Marxist type of ideology where race/gender/orientation takes more of a center stage, and things have trended in a more extreme direction. In my college days of 2006-2010, I wasn’t even aware this was a modern thing.

In my primary through high schooling, I was raised in an environment of “racial blindness”. And in a multi-ethnic near-city suburban mixed neighborhood, that’s what it was. White kids were the majority (as is normal in the US), but there was an above-nation-average percentage of African Americans and Indians, along with many Hispanics and Asians and others (we were in the Northeast, which is less of a hot-spot for Hispanics and Asians). What me and my peers were brought up with, much like Martin Luther King Jr. said to do, was to base everything on character and content rather than superficial appearances like race, gender, orientation, etc. It makes sense to take some extra effort to reach out to under-represented groups and to proactively include them, but the whole point ultimately is to be focused on character, not on immutable characteristics. My friends where White, Black, Asian, Hispanic, Indian, Straight, LGBT, and the whole point was… it was boring. We were all friends. We observed each other’s differences but barely cared. To the extent that we had cultural differences, those were the spices around the edges, and made things better. The main point was our schooling, sports, and all of our other shared hardships that we bonded together to get through together.

Anyway, these are just things I observe or think about sometimes. There’s value in independence and self-reliance (Gen X), but there’s also value in social optimism and an explicitly and proactively welcoming community (Millennial), and in some sense I was born in and experienced the generational trends of both.

My view, in terms of Bitcoin or otherwise, is to be independent and self-reliant, and then *also* to go out and proactively build an optimistic broad community too. So as it relates to diversity, my view is to not force it, but to proactively reach out and gather it, but while emphasizing expertise as the most important thing and not trying to force baseless quotas.

This is, in my opinion, is basic rationality, optimism, and inclusiveness. I don’t see why it’s controversial, but every side seems to want to be extreme and fight each other. We can’t influence the desires of other people, but we can take the initiative to reach out and make spaces accepting, deliberately try to broaden the space, and see what happens from there to reach the broadest possible audience.

Nice post Lyn. I was born in the mid 90s, with parents born around 1950, in the “melting pot” of cultures in the Bay Area of California. Could relate to some things you said.

I agree that growing up, it was natural to treat skin color like hair color, something that didn’t particularly matter. I believe this should be normal, and it is the farthest state from racism.

The modern left has made this ideal much more challenging to achieve. Whether organically or by influence from a foreign adversary, I do not know.

The article pertaining to small UTXOs is actually this one:

https://unchained.com/blog/small-utxo-bitcoin-dust/

1. You care about yourself and your family, so you decide to work, earn, and save for a better future.

2. You watch the money in your bank account increase, but realize that each unit is becoming less valuable over time, because it's being diluted by other people printing more of it.

3. The work you've performed in the past is constantly worth less, which sucks. You decide to "put your money to work" by investing it.

4. The most guaranteed return on investment, U.S. treasuries (bonds etc), do not outpace inflation, and don't really solve your problem. In search of higher returns, you add a little bit of additional investment risk.

5. You put your money into a brokerage and buy stocks. Since you have a life and other work to do, you don't have the time to do the proper research on individual companies or keep up with all the relevant news. You hire others to do this for you.

6. You discover those people are taking more in fees than they are giving back to you by outperforming the market, and you would have been better off just putting your money into an index fund like an S&P 500 ETF, so you do that instead.

7. There is an economic downturn and your investments lose value at the exact same time when you need your money the most. The investment risk you took has come back to bite you.

8. There's got to be a better way. You learn about gold, which has been a fairly stable savings mechanism for thousands of years, and nobody can easily print more of it. Very attractive.

9. But you also learn that gold still has an inflation rate (which can change), and most "gold" on the market is really "paper gold." This artificially increases the supply and opens it up for price manipulation, something that is hard to fix without people taking self-custody of their gold, a substantial inconvenience especially in the digital age.

10. You learn about bitcoin, which has a set supply limit and issuance schedule, and isn't controlled by a central person or group. The supply is highly predictable and can be audited by your laptop. It also doesn't have gold's inconveniences of physical storage and lack of portability for exchange. This allows people to take self custody much easier, and all of this put together means there is less of an opportunity for sustainable abuse of "paper bitcoin."

11. Venture capitalists with questionable morality hire marketers to convince you that bitcoin is old and slow compared to their newer, shinier crypto coin. You buy into it.

12. The predatory VCs dump the bulk of the coins they had created out of thin air, rug-pulling you for substantial losses. They claimed it was decentralized, but that clearly wasn't true. Maybe you should have just stuck with your traditional money in a bank account.

13. But no, that's not good enough. You push on, and decide to learn what actually creates decentralization for a cryptocurrency so you might be able to separate legitimacy from scams. You find that the origins matter, the node participants matter, the ease with which you can run a node yourself matters, and proof of work matters. You conclude that bitcoin is far and away the most decentralized digital commodity, something that would be difficult to ever change in the favor of a different altcoin.

14. You return to bitcoin with excitement, now that you have separated the signal from the noise. You understand it is a powerful long-term savings mechanism, despite short-term volatility.

15. But how do your keep your bitcoin secure? You are wise enough to know that you shouldn't keep it in someone else's custody, such as the exchange where you bought it, or some service that promises you yield. FTX, Celsius, Blockfi, and many other examples demonstrate that is a bad idea.

16. The only alternative is self-custody. Not your keys, not your coins. You research how to hold a bitcoin key, and find that hardware wallets are the best tool to make sure your key is generated securely and is kept offline, so that nobody can remotely hack your computer and steal your bitcoin.

17. You set this up, but now have a physical item to keep track of. You become apprehensive about losing your bitcoin key, and with it, access to your bitcoin. It's a lot of responsibility.

18. You could create copies of it and store them in several places, but then you increase the risk of a thief finding one of the copies. You could add passphrases or other encoding to your bitcoin key to make theft difficult, but now you've introduced complexities that could increase the chances of losing access to the bitcoin yourself.

19. You learn that something called multisig (multiple locks protecting your bitcoin and multiple keys stored separately) can solve for both problems. It allows you to remove all single points of failure and minimize risk of theft as well as losing access to your bitcoin.

20. But all of this seems so new, technical, and overwhelming. You aren't sure if you will be able to set this up correctly, and use it without making mistakes. You are discouraged, and thinking of back-tracking to one of the options discussed earlier, and accepting the tradeoffs.

21. On second thought: no, you are stronger and more resilient than that. You shouldn't have to settle for something less than the best for your wealth. Your work. Your future. Perhaps there are services out there that can help you setup and operate multisig correctly, and with confidence.

22. You find Unchained.com, a bitcoin-native financial services company that provides education and support for multisig. You hold the controlling keys to your bitcoin, so are not subject to custodial risk. If something bad happens to Unchained, you can use your keys recover your bitcoin outside of the platform.

23. You arrange a free consultation and ask questions about the details. You decide to move forward and schedule a concierge onboarding, where you get as many 1-on-1 calls as you need, with a professional such as

myself.

24. Everything is set up so smoothly, and provides you with such confidence, that you would feel comfortable recommending the service to your less technical parents.

25. Up to this point, you've been stuck in a perpetual journey to find the solution to save for your future, safely and effectively. By now, you're practically used to the never-ending search, and the stress that comes with it. So what's the next problem you have to deal with? You think for a while. None come to mind.

26. You are finally free to return your attention to the people and things that you love.

Elon’s obsession with the letter X is really stupid

How difficult would it be to make a realistic AI persona do the “mmm ice cream so good” stuff to farm a passive income off the morons that pay for that stuff?

With the government pushing so much extraterrestrial narrative stuff recently, I wonder if we are on a timeline where in a couple years we see MSM claiming that “bitcoin (and other freedom tech) is an alien psyop brainwashing people, and you must be protected from it” in a desperate attempt to buy time for the statists. Nothing is too surprising anymore.