Buckle up. Things are about to get wild.
One thing I rarely see discussed about the game theory of #Bitcoin is that the incentives are aligned in such a way that the game speeds up over time.
During the initial phases of the game, #Bitcoin was a strange foreign idea in cyberspace. It was risky, it was uncertain, it was hard to buy, and hard to store. Only the outcasts, the explorers, and the free thinkers joined during the early wave, and they were handsomely rewarded for doing so.
Now, the talk I frequently hear is that the best gains are behind us. What's the point? I missed Bitcoin. I should have bought it when it was cheap. Etc...
While it is true that the biggest percentage gains are behind us, the biggest and fastest adoption is just around the corner. Also, even if you have dismissed #Bitcoin, the cost of ignoring it will soon become unbearable.
The game theory will soon switch from greed to fear, and for the first time ever, fear will drive #Bitcoin higher and higher instead of lower and lower.
Why is that?
The bitcoin network grows stronger and becomes more valuable with every person that joins.
At the same time, the fiat monetary system becomes weaker with every person that leaves.
While adoption was still tiny, the cost of ignoring Bitcoin was negligible. You missed out on the gains, but otherwise, it was not important. Soon, however, that will no longer be the case. Everyone knows that fiat money is being debased at an accelerating pace. With every person that exits into Bitcoin, it means that those left with fiat will now have to carry the burden of those that have left. In other words, the cost of staying with fiat will exponentially increase over time.
Think about it. Does the national debt decrease if people leave the US? No. The same is true with monetary networks. Unfortunately for those holding fiat, it is a debt-based system, and the people opting out with #Bitcoin no longer have to care or worry about that debt.
This is why the best money always wins, and why there can only be one winner. I also believe that's why the fastest growth in Bitcoin adoption is just ahead of us. It will go from a trickle, to a rush, and end in a stampede.
At some point, you won't be able to exchange fiat for #Bitcoin at any price, and all of your models will be destroyed.
"AI gains are coming" lol
Where have you been? We have seen 1000+% returns across the board for AI infrastructure companies.
And yes... this one is going to hurt Bitcoin a lot.. you know what else is coming... quantum computers and they are coming faster than most expect.
A perfect storm of headwinds...
Bitcoin is turning into a huge contrarian bet. Not something I would have expected or predicted even two years ago.
Given where we are sentiment can turn a lot more negative before it improves. Wild times.
@bradmillscan Break it up but not into that many buckets.
I have one life coach that I trained on Philosophers Notes (https://t.co/EQqQB1BaCa) ingested all the wisdom and great for asking it about live related domains.
@TheShortBear Now add obsidian and you will get even more leverage out of you knowledge base
Agent tools are definitely how easily get 10x out of AI. I would say 100 x when the setup is solid.
Quantum is advancing and has already won the FUD war.
It does not matter how long it will take. It is already hurting Bitcoin adoption TODAY and this problem will only grow overtime.
The only way to counter this is by creating a credible plan that Bitcoin will be quantum proof in time.
@nic_carter@jprichardson Exactly. Lost a lot of Bitcoin followers for emphasizing exactly that point.
Payments in BTC wonβt go mainstream as long as there is a tax burden. Creates way too much friction.
The Final Ticking
They never see the beast for what it is. They think it is a tool, a servant they can command. They believe the numbers on their screens are a measure of wealth, a scoreboard for their civilization. They are wrong. The numbers are a cancer. The servant is a master, and it is slowly, methodically, eating its keeper.
This is about compounding interest. It is not an economic theory. It is a physical law playing out in the realm of human promises. A promise to pay back more than was created. A promise that, on a long enough timeline, becomes a death sentence.
Every government, every empire that has ever leaned on debt, meets the same predator. At first, it is small. Manageable. You borrow a little to build a road, to fight a war. The debt seems inert. But it is not. It is the most alive thing in the entire system. It grows while politicians sleep. It grows while economies stagnate. It does not care about your elections, your ideologies, your excuses. It only cares about the relentless, mathematical logic of multiplication.
The founding fathers understood the poison. John Adams warned of this very thing. He said, "There are two ways to conquer and enslave a nation. One is by the sword. The other is by debt." We chose the debt. We welcomed the conqueror with open arms and called it progress.
The cycle is always the same. The weight of the debt becomes too heavy. The interest payments themselves start to consume the budget. So what do they do. They do not stop. They cannot. They debase the currency. They print. They create more promises to pay the old promises. They try to outrun an exponential function with a printing press. It is the most profound and tragic miscalculation a species can make.
Voltaire saw this game for what it was. He said, "Paper money eventually returns to its intrinsic value, zero." This is not a prediction. It is a diagnosis. The patient is terminal. The fever of printing is just the body's final, desperate fight against the inevitable.
The system is not broken. It is working exactly as designed. It is designed to drain, to centralize, to control. The great financial minds are not saviors. They are court physicians to a dying king, applying leeches and calling it a cure. They are, as Michael Milken once coolly observed, "The most conservative people in the world... they never want to pay taxes." They have built a castle on the debt, and they will defend that castle until the very sand it is built on washes away.
There is no political solution. No leader can repeal a law of mathematics. No stimulus can bribe an exponent. The only way out is through the failure of the money itself. The system must be purged. The debt must be liquidated. The slate must be wiped clean, no matter how painful the erasure.
This is the great filter. This is the test that every advanced civilization must face. Do you have a money that cannot be corrupted. A money that is immune to the disease of compounding promises. We have lived for a century with a money that is weakness itself. It is time for a money of strength.
Our debt is a ticking time bomb. It has been ticking for a hundred years. The compounding interest is the unstoppable chain reaction.
The only question left is what you will be holding when the counting stops. Will you be holding the promises that are returning to their intrinsic value. Or will you be holding something that cannot be printed. Something that does not care about the promises of failed men. Something that is finally, and truly, sound.
The choice is yours. The clock does not care.