Profile: c1e7b7fe...
Getting to the stage of my bitcoin journey where I’m not consuming as much bitcoin content.
I’m just interested in making more money and figuring out the best way to do that. I know where I’m storing that extra money once I make it.
Holy shit I just realized why proof of work matters.
There will always be a competition in the real world to mine bitcoin despite the circumstances in the world.
There is money freely up for grabs just plugging in some computer parts and turning them on.
Bitcoin (imo) has proven it will always be desirable to some extent.
There will be hobbyists and idealists obsessing over stacking bitcoin even if the price somehow plunged to $1000 in a global financial meltdown.
In a post new order, (something that seems all the more likely in our lifetimes) money that held even some value in a world where previously adorned sovereigns melt-down and go to 0 will signal that bitcoin has enormous value.
Bitcoin’s price will shoot up because even in this new world order where there is jockeying for global reserve currency status amongst sovereigns, just the fact that bitcoin survived should make it at least more valuable than gold.
Circles back to PoW: there’s immense desire to find scarce real world resources cause it helps you obtain the most salable good in the world: good money.
The incentive structure: 👌🏼
I feel like if AI is really gonna be taking over soon we could do a little better job of getting along while humanity exists.
A beautiful thing about bitcoin is I don’t need to worry about who in TradFi is gonna fuck up next.
I simply hold a portion of my wealth in the best form of money ever engineered and sleep like a baby.
Anyone else have a heightened sense of urgency to stack btc because they might be shutting down the exits?
Do you want to hold your money in full or would you prefer your custodian to hold 10% of it while they lend out 90%?
#bitcoin
It’s not gonna happen but he is forcing people to wonder “what if it did happen?” And it is priming people for when we actually do make a run at $1m
Whatever comes of this banking mess, this seems obvious:
It will further bitcoin adoption as there’s simply not a good reason not to own any.
The Fed added about $300 billion to its balance sheet this past week.
https://void.cat/d/UDKNKEAwg1f4bWkWxZrdL5.webp
This wasn't from buying bonds or ending QT, but rather from making loans. To the extent that they continue QT, they will likely need to keep providing this type of liquidity, so it's like the Fed is taking liquidity out of the financial system with one hand and putting it back with the other. They've basically hit the liquidity floor of the banking system, which seems to be around $3 trillion in bank reserves.
However, that doesn't mean the balance sheet will go straight up. The Fed will try to limit the balance sheet growth to whatever extent is possible.
After the September 2019 repo spike, the balance sheet stopped decreasing and started going up, and then it began to stabilize sideways by January 2020. It then got slammed by the COVID-19 and lockdown impacts in March 2020, and the money printers went into hyperdrive due to that.
This time, without such a crazy catalyst, the balance sheet will likely spend more of its time in that intermediate state, similar to what it did in that September 2019 to January 2020 period.
In other words, this is still going to be a bumpy process.
It almost feels like it would not be to hard to orchestrate a banking collapse with this environment. If someone with deep enough pockets wanted to short banking stocks, what mechanisms does the system have in place to deflect such an attack?
The 16:9 aspect ratio is 🤙🏼
SVB going down tells me we are getting closer to hyperbitcoinization.
It gonna be a bumpy ride.
You are able to frame risk so much better once you become a bitcoiner, so i know my cold stored BTC is safer than money in the bank.
Kind of crazy tbh.
Been a while since I’ve tried to convince anyone why they should care about bitcoin.
Figured the world will do a better job at showing the value prop than I ever could.
Yeah, could be. I am pretty immune to that kind of shit at this point.
Let’s tease this out a bit. Not saying this is gonna happen, but what if early next week, 3, 4, 5 more banks fail. The next week 10.
Certainly the Fed steps in, right? They’ll probably print to oblivion to make everyone whole.
What if… to remain stoic and committed to fighting inflation, J Pow does nothing? Hard to believe that would happen but as these events start to stack up, the credibility of the Fed gets a bit more questionable.
They’ll surely try to kick the can down the road “one more time” but what happens when they get to the end of the road? What will the price of bitcoin do? Will be exciting and scary all at the same time.
Yeah, I understand some of the mechanisms behind why it is correlated to the broader markets.
I guess I’m just thinking out loud that I’m surprised bitcoin still trades like this. Not that I’m complaining too much. Not gonna sweat a 10% move down, just gonna keep stacking.
Yeah, not a critique of bitcoin. More so a critique of the broader market for not understanding bitcoin.