Dad: Son, what about ETH, XRP and Doge?
The media are very positive about them.
Son: Hi Dad,
These are all shitcoins, and shitcoins are true parasites.
I would not catch one.
#Bitcoin
Dad: Son, who else can see my balances on the Bitcoin blockchain?
Son: Hi Dad,
Everybody can see yours and all other unspent transaction outputs (=UTXO) on the chain. The blockchain is a public ledger, and that's the point. The question is, which coins are yours? ;-)
Dad: Is this not a huge privacy issue?
Son: You will be fine if you use Bitcoin correctly.
Dad: Son, please define "used correctly".
Son: Use a new Bitcoin address each time you receive a new payment and consolidate your coins wisely.
#Bitcoin
Son: Dad, I'm grateful that you taught me this:
"Good habits and simple rules, if applied, can positively change your whole life."
Dad: Son, how did you put that to use?
Son: Numerous ways, but one of them is stacking sats, no matter what happens.
Dad: Son, that seems to have paid off.
#Bitcoin
Dad: Son, is Bitcoin real money?
Son: Hi Dad,
This depends on how you define the term "money"?
Dad: Honestly, I have no idea.
Until recently, I was unaware that there is a difference between "currency" and "money".
Son: Dad, unfortunately, few people know that.
Money is a "Store of Value", a "Medium of Exchange", a "Unit of Account" and a "System of Control". Therefore, bitcoin is the best form of money that we have ever known. However, we are still working on the "Unit of Account" thing.
#Bitcoin
Dad: Son, on a scale from 1 to 100,000,000 how satisfied is a bitcoin?
Son: Hilarious, Dad.
#Bitcoin
Dad: Son, what is the first thing you need to do if you want to get into Bitcoin?
Son: To "start" would be a good idea, Dad. ;-)
But before you start using Bitcoin get informed. There are a few things that you have to know to use it securely and avoid common pitfalls.
You have to secure your wallet yourself.
Payments are irreversible.
Unconfirmed transactions aren't secure. Depending on the value, you are waiting for one or more "confirmations". Oh, and the exchange rate is volatile.
Dad: So, there is no customer service that can help?
#Bitcoin
Dad: Son, I just got my Coldcard hardware wallet today.
The bag is really special. Pretty sure it has more security feature than a banknote.
Son: Hi Dad,
Not sure about that one. ;-)
But yes, the device seems well protected. However, I recommend you download the latest firmware from Coinkite, check it and install it on your Coldcard manually. And also inspect the device visually, and verify the bag number.
Dad: Son, why all the effort, it is "just a calculator".
Son: Haha. Anyway, I will send you a tutorial later.
#Bitcoin
Son: Dad, I should have paid more attention to Bitcoin in the beginning and I should have bought more.
Dad: Son, don't blame your past.
Be grateful for what it taught you.
I could say the same...
Now I am just glad I changed my mind on Bitcoin and saved my savings.
#Bitcoin
Dad: Son, is it "cool storage" or "cold storage"?
Son: Hi Dad,
It's "cold storage".
The term does not matter, as long it's "your storage" and "your storage" is offline.
#Bitcoin
Dad: Son, is bitcoin for individuals only?
Son: Hi Dad,
No, not at all! Bitcoin is not only for individuals. Publicly traded companies own bitcoin too.
Dad: Can you name a few?
Son: Visit https://bitcointreasuries.net and find out for yourself.
Dad: Impressive. These companies hold huge amounts!
Son: It's just the beginning. More will follow, imagine what happens then. Oh, and did you notice that countries are on that list as well?
#Bitcoin
Dad: Son, what do you want for your birthday?
Son: Dad, I already have everything. :)
Dad: Tell us, what would make you happy?
Son: Bitcoin
Dad: The same thing again and again? Nah. What else?
Son: It's not "the same". Every UTXO is unique, and the transaction will live on the timechain forever.
Dad: Like a diamond. Diamonds are forever...
Son: Bitcoin is actually forever.
#Bitcoin
Son: Dad, you don't have to be an expert to buy bitcoin.
Dad: ... the expert said. ;-)
#Bitcoin
Dad: Son, why does it take so long to have my new Umbrel ready to use? It is syncing since hours now.
Son: Dad, again, it's a question of time preference.
A full node, what your Umbrel is, is a program that fully validates transactions and blocks.
Everything from the Genesis block to today's latest block must be downloaded and validated first. This is the only way to be sure that you have a valid copy of the blockchain running.
Dad: Ok, I see. How can this be accelerated?
Son: A fast internet connection and a fast SSD disk helps to speed up the initial sync, however ...
You'll have to be patient, Dad. ;-)
#Bitcoin
Dad: Son, is the Bitcoin price artificially suppressed?
One Bitcoin should already be worth many times more, as rare as Bitcoins are.
Son: Hi Dad,
Yeah, buy as much as possible of the artificially low-cost asset, and move it off the exchange into cold storage.
They may be able to delay the death of the dollar, but Bitcoin's settlement properties make this type of attack impossible to win.
The question is not "if", but "when".
Dad: At the same time, one Bitcoin is already so expensive that it will be impossible for most to own a whole coin.
#Bitcoin
Son: Dad, volatility is _______________.
Dad: Son, that must be "nerve-wracking".
Volatility is nerve-wracking.
Son: For me, volatility is "the price for being early".
#Bitcoin
Son: Dad, do you know that the next halving is estimated at the end of March 2024?
Dad: Son, they are going to cut my portfolio in half?!
Son: First, there is no "they", Dad, and, second "no".
Bitcoin is a protocol, and the protocol does its thing. One of those things is the "halving" that happens every 210,000 blocks.In the 2024 halving, the block reward will drop from 6.25 BTC per block to 3.125 BTC.
Dad: I remember again. With each new block, new coins are put into circulation. This happens every 10 minutes.
Son: Every 10 minutes on average. The halving brings a significant decrease in fresh supply.Think about how precious each and every unit of Bitcoin is.
#Bitcoin
Dad: Son, how many Bitcoins does, or did, Satoshi have? Many, I am certain, since he was early. ;-)
Son: Hi Dad,
Some estimate Satoshi had around 980,000 bitcoins. This number is heavily debated, though.
Dad: Estimate based on what? Why do we know that?
Son: The blocks mined by Satoshi have a special pattern, like a fingerprint.
We do not know who Satoshi was, but we know with high probability the number of bitcoins he had. Satoshis' coins never moved and are considered lost forever.
I'm pretty sure even Satoshi felt short bitcoin. ;-)
#Bitcoin
Dad: Son, since most of us cannot afford Bitcoin – is "Bitcoin Cash" still a good deal?
Son: Hi Dad,
"Bitcoin Cash" is trash. This is not bitcoin.
You can buy one dollar worth of bitcoin.
#Bitcoin
Son: Good morning, Dad.
Bitcoin is in top form today,
as yesterday,
and the day before.
I hope you are as well.
Dad: Son, good morning!
There is nothing to complain about. :-)
#Bitcoin
Dad: Son, what if governments ban Bitcoin?
Son: Hi Dad,
It's excellent and impactful advertising.
Dad: Why would this be advertising?
Son: It shows they can't stop it.
Bitcoin is like gunpowder – a point will come where you won't have the option not to have it.
#Bitcoin