BTC Endgame

The difficulty with this alleged "clarity" is there is no single entity called "the Chinese government" either.

See also:

Using "China" but assuming .hk and .mo are included

Using "China" but assuming .hk and .mo are excluded

Using "China" to mean the area administered by the ROC

Using "China" to mean the area administered by the PRC

Using "China" to mean the area claimed by the ROC

Using "China" to mean the area claimed by the PRC

Using "China" to mean any area historically associated with the rule or influence of the Xia, Shang, Zhou, Qin, Han, Xin, Wei, Shu, Wu, Jin (1st/2nd), Sui, Tang, Wu Zhou, Liao, Song, Yuan, Ming, or Qing dynasties and their associated interregna and feudal periods.

Using "Chinese government" to mean the CCP, but not the State Council, the NPC, or the PLA

Using "Chinese government" to mean the CCP, the State Council, the NPC, and the PLA

Using "Chinese government" to mean Xi Jinping.

Using "Chinese government" to mean the KMT or DPP.

Using "Chinese government" to mean any and all the above, except the KMT, DPP, or PFP.

Using "mainland China" to try to be more specific (it still isn't, and now you've started a war)

Using "Greater China" to name your regional offices. Looking at you, Apple. (no such thing, it's a western fabrication, like General Zuo's chicken)

Referring to the Chinese language (which one?)

Referring to Chinese characters (hanzi? kanji? jiantizi? hanja??)

Referring to "Chinese food" (this is like categorizing haggis with paella)

Referring to "Chinese people" as though it's one ethnic group

Calling anyone who you think looks Chinese, Chinese.

It seems likely to me that the cap will just be expanded at some point, but that is likely tens of years away and its expansion will likely be equal to or less than the replacement value of lost coins.

It’s crazy that some people seriously think Bitcoin is anything like these stores of value.

All these are ties to some fundamental value to society. If gold goes down, manufacturing will buy more of it because they use them for ICs and lots of other things. Most companies have some tangible assets behind them. If a stocks price goes far enough down someone might buy up a controlling stake and liquidate all the assets. A fiat currency in a functional state is generally strongly tied to borrowing for real physical assets. It’s deeply entangled with the economy.

There is no bottom for Bitcoin. Especially now that it’s not a very viable currency for most purchases or for lending.

What’s more, value is continually being extracted from the currency. People cashing out and payments to miners (who are basically just burning a lot of the money they make by converting electricity to heat without doing much useful work).

In gold or stocks the money put in actually exists in something valuable to society, and you own a piece of that. The the value might be boosted up 2-10x its real value today, perhaps due to its perceived future value. But you do own a piece of something tangible.

With Bitcoin, the money you put in is already gone. Used by a miner to pay for electricity or an early miner/purchaser who is now cashing out to buy an apartment. You just gotta pray that a few years down someone is willing to buy bitcoins from you for its perceived value alone. Because nobody is going to buy it for any other reason. Not to make something out of it (gold), not to liquidate the assets behind it (stocks), and not to pay taxes or pay back their mortgage (fiat currencies)

There’s so much utter insane and thinking around cryptocurrency these days. Especially Bitcoin. It’s madness.

I mean, it’s a super cool tech. But I think that blinds a lot of people to the facts around it.

No, he means if something bad happens to Bitcoin, there are thousands of other cryptocurrencies for users to migrate to.

However since most cryptocurrency prices are denominated in bitcoin, a crash in bitcoin historically meant a crash in all of the rest.