BTC Sessions - Protest Via Economic Sovereignty, BTC Dealer Charged in Singapore, Buy BTC At 7-Eleven EP074

Episode Date: June 23, 2020

SUPPORT THE SHOW: LEDN offers Bitcoin backed loans – Sign up and get $50 free https://bit.ly/2Bxzfzi Get Wasabi wallet and enjoy your privacy https://wasabiwallet.io/ Coincards lets you use Bitcoin ...and Lightning to easily buy gift cards and top off your mobile! https://coincards.com/us/?ref=btcsessions MY ALL-ENCOMPASSING GUIDE TO GETTING STARTED WITH BITCOIN https://www.btcsessions.ca/post/how-to-buy-sell-and-use-bitcoin-in-canada Buy Bitcoin in Canada on Coinberry and get $20 after your first $50 purchase https://app.coinberry.com/invite/c5d52730857 Get the Ledger Backup Pack – Includes Ledger Nano X & S https://shop.ledger.com/products/ledger-backup-pack?r=faca NordVPN helps with your internet privacy – Get 70% off https://nordvpn.org/btcsessions Buy Bitcoin in Canada using Shakepay and get $10 for free after your first $100 purchase: https://shakepay.me/r/HUQFI60 If you value my work and would like to send me a tip, they are always appreciated! LIGHTNING tips: https://tippin.me/@BTCsessions Join my Telegram channel! https://t.me/btc_sessions SHOW RESOURCES: Max Keiser says protests do nothing – Buy Bitcoin instead https://cointelegraph.com/news/it-does-nothing-buy-bitcoin-dont-protest-says-max-keiser Bitcoin and Black America https://bitcoinandblackamerica.com/ Phoneix by Alexandra Moxin https://www.citadel21.com/phoenix Charlie Shrem rejected by Paypal in 2011 in regards to Bitcoin. Now they’re going to buy/sell it. https://decrypt.co/33210/bitcoin-legend-charlie-shrem-offered-to-work-with-paypal-in-2011 Singapore Bitcoin buyer charged under new licensing laws https://cointelegraph.com/news/alleged-unlicensed-bitcoin-dealer-becomes-first-singaporean-charged-under-new-law LibertyX BTC purchases at 7-Eleven, CVS and more https://cointelegraph.com/news/libertyx-allows-btc-purchases-in-cash-at-7-eleven-cvs-and-rite-aid New Blue Wallet Release https://twitter.com/bluewalletio/status/1275365675662524416 Why Bitcoin is “the one” https://tftc.io/martys-bent/issue-765/

Transcript
Discussion (0)
Starting point is 00:00:13 Wasabi wallet and fairly private. What's up everyone? I'm Ben with the BTC sessions and this is your daily session. Before we dive in, of course, shout out to sponsors of the show Aledon.io. I have been using and working with these guys for well over a year now. And so what they do, they have a bunch of different services which you can use your Bitcoin. So the first thing I ever used from them was their Bitcoin bank loans. This is where you can use your Bitcoin as collateral to obtain a Canadian or US dollar loan. So in my case, I was in a bit of a pinch.
Starting point is 00:01:02 I wanted dollars, but I didn't want to sell my Bitcoin because, one, that's a taxable event. And two, I was worried I was going to have to buy back at a higher price later on. So I was able to deposit my Bitcoin and get dollars into my bank account within 24 hours. When I paid back those dollars, I got back the exact same Bitcoin. So they've also got a couple other services. They've got their Bitcoin and USDC savings accounts. And they just upped the interest rate on these. With USC, you can get up to 8.8% annual interest.
Starting point is 00:01:38 And then they've got their B2X offering. This uses the same loan mechanism to instantly buy you more Bitcoin, effectively doubling your Bitcoin on the spot. So if you want to check them out, there is a link in the show notes down below. And if you use that link to obtain a loan, They'll give you 50 bucks worth of Bitcoin for free. So do check them out.
Starting point is 00:01:57 And secondly, we have coin cards. Now, coin cards I've been using these guys forever. The first time ever that I used coin cards was six years ago, believe it or not. And I was dabbling in Bitcoin and trying to live on Bitcoin for the first time. And these guys really helped smooth that experience out. Very simple. You can use a Bitcoin to buy gift cards. And they've got tons of them.
Starting point is 00:02:20 They're available in the US and Canada. although looking at expanding more over time. Pretty much anything you need basically is going to be on here. They accept Bitcoin on main chain. They accept lightning. And hey, if you've got a bag of shit coins that you'd like to unload and get something of value for, you can do that on coincards.com. So be sure to check them out.
Starting point is 00:02:40 There's a link, as I said, in the show notes down below. And with that, let's dive into the news. So I've been watching some Max Kaiser stuff as of late. He was just on a podcast from Swan Bitcoin with Isaiah. What's his name? I'm having trouble remembering his name, but he's the author of Bitcoin in Black America. But he also did an episode of the Kaiser Report the other day. He's talking about the worldwide protests, or well, I guess worldwide, yes,
Starting point is 00:03:10 but the focal point tends to be in the U.S. right now. Anyways, he's talking about the protests and how it may be that the protests. and how it may be that the protests, while the intentions are good, the allocation of effort is less than ideal, less than efficient when it comes to actually getting the change that is desired. And so I'll read a little bit from this article here on Coin Telegraph. It's, I mean, Max doesn't mince words. He's not one for putting stuff lightly. So, you know, some of the stuff that he says is very, very blunt.
Starting point is 00:03:50 So let's just take a listen to what this article says. So Bitcoin is the only effective way for Americans to empower themselves and protests do not work. Popular TV personality, Max Kaiser has said. In the latest edition of his RT show on the Kaiser report, on June 23, Kaiser delivered a frank appraisal of the current socioeconomic situation in the United States. states. The Federal Reserve has exacerbated inequality thanks to the response to COVID-19, he and co-host Stacey Herbert argued, and the George Floyd protests are just as much due to economic oppression as police oppression. Two familiar culprits, the cantalian effect, and interest rate apartheid, are to blame for public anger. The former refers to money printing
Starting point is 00:04:41 putting wealth in the hands of those closest to the source, while the poor pay more. to borrow it. By contrast, loans to big banks and big businesses are either free or subsidized, meaning they are paid to borrow money. Quote here, Black America will never be equal to white America. They will never have justice in white America, Kaiser said. The only thing they can hope for is individual sovereignty, and the only way to get there is through saving in Bitcoin. It's the best way to get there. So he goes on to even kind of not demonize himself, but to point out that he is a product of some of those inequalities. So he says,
Starting point is 00:05:21 um, for Kaiser attending protests in Floyd's memory are ignoring the reality of the situation. To affect personal's change, they must take back their financial sovereignty. And quote, tearing down a statue does nothing, marching in the street does nothing, electing people to office that you think are going to help you does nothing.
Starting point is 00:05:40 None of that works. I'm telling you as a white male boomer Wall Street careerist that I would laugh at that, as my brethren would do, it does nothing. And he goes on to talk about how the Fed and the funding mechanisms for this are just not going to help. And he goes on to quote the author of Bitcoin and Black America, Isaiah Jackson. And so Isaiah Jackson in his book, and again, he was on the Swan Bitcoin Swan Signal, I guess you could call it, their podcast the other day, together with Max Kaiser and they were talking about some of these issues and Isaiah wrote this book and I'll read the quote of what the book is about. Ready for Change in Black Economics join the Bitcoin
Starting point is 00:06:28 Revolution. Bitcoin and Black America is a dynamic new book that explores the synergy between black economics, Bitcoin and blockchain technology. The global financial system is changing and the digital revolution will not be televised. We explore how to incorporate Bitcoin into your business, job, and educational institution. This book also outlines the need for separation from the banking system and comprehensive list of black professionals already working in this industry. So to tag onto this whole thought around the protests and what works and what doesn't, the issue seems to be that, I mean, there's always going to be, you know, racist prejudice people.
Starting point is 00:07:16 And that's not something that's easily done away with. Whatever group is out there that is being discriminated against, there will always be a new one because people are people. And they aren't always super reasonable about that kind of stuff. The thing is, when you have a system that allows people in position of power to to use that power to their advantage and to disenfranchise others, you can never really have that equality of opportunity. And I'm not saying equality of outcome because socializing everything obviously has not worked in the past as well. But creating a quality of opportunity, I think,
Starting point is 00:08:06 is important. And in a system where the funding mechanisms for this kind of stuff, can come from kind of a backwards taxation via inflation. And the taxation goes into these systems that you're trusting an individual to hopefully be well balanced and to be just for everybody. When you're putting that trust in somebody else, while some people may enact those types of policies, there's always the threat of somebody new coming along and removing civil liberties from individuals or ignoring instances of those civil liberties being encroached upon. So really the only way that you can do that is to take your sovereignty into your own hands
Starting point is 00:09:03 and use mechanisms that perhaps defund some of those institutions that, don't allow for equality of opportunity. And so Bitcoin can be viewed as a mechanism to do that. Now, one other thing I wanted to touch, I know this, I'm trying to, I'm like dancing around the subject because no matter what way you put it, somebody's going to be pissed off at anything you say. So it is difficult to discuss these types of things. But anyways, this is an article from something I was talking about the other day, Citadel 21. This is from the third volume. And this is an article from Alexandra Mawkson. And I'm going to read the whole thing.
Starting point is 00:09:44 It's not super long. It's just kind of like her thoughts. I know it's 1900 because, 1900, as in the time, because I hear the nightly cheer for frontline workers. A fair wage, too much to ask. But a nightly hero's cheer full of pomp and circumstance, DJs, air horns, banners, and momentary appreciation is appropriate. It's gray and rainy outside. Like many of us feel these days, exhaust.
Starting point is 00:10:11 from the months of enduring chaos, the post-apocalyptic scavengers circling, ready to consume any last ray of hope and joy. We live in interesting times. 2020 so far has included a global pandemic and lockdown, crippling economic loss, the declassification and release of UFO and JFK files, a crippling fire consuming much of Australia's habitat and wildlife, murder hornets,
Starting point is 00:10:37 global outrage over systemic corruption and brutality, race riots, and cancellation of all but virtual events. The old world is dying, the pandemic, a mere interlude to the thrashing panic that permeates its apocalyptic death throws. The corporate media is relentless. All we hear is outrage, virtue politics, and insanity. Nothing surprises us anymore. So many have been harmed, so many lives destroyed, whether through senseless violence, the virus, inapt leaders, or by their own hand, nihilistic demons rage shrieking their battle cries to join forces with those demanding peace and justice. Our overlords, but for a few, look on as the world falls apart while they cash their government paychecks without interruption. Others kneel in weakness before those
Starting point is 00:11:28 they victimize in a false showing of solidarity. The voice of the truth, the truth, victims are eclipsed by apoplectic virtue signaling social justice warriors and thugs who surround them like flies to a garbage heap. There is a way out. There is another choice. Corruption is the beating heart of the political economic beast, but like us, it bleeds and is mortal. Today, a character rose amongst the crowd, speaking words clear and true. Who knew global adoption would unfold like this. Only at the precipice of destruction could an honest voice amidst those battle-weary and broken finally be heard. Our revolution was never one of violence. We protest against the suffering of which this world has been built. Slave labor does not power
Starting point is 00:12:24 our machines. No insiders, no elite, no one entity determines the cadence of our system whose heart bleeds roughly every 10 minutes unlocking value. We believe in rules, not rulers, that the individual by divine right is sovereign. Bitcoin separates money and state. It is fair, honest, and open to everyone, to the many from the few. And just a little side note here when she says, today a character rose amongst the crowd. She's actually referring to, if I'm not mistaken, at I am the character. on Twitter, who was in the midst of the Black Lives Matter protests and encouraged everybody to take their sovereignty into their own hands. And rather than saying, burning down buildings and doing things like that, investigate Bitcoin, opt out of the current system
Starting point is 00:13:25 and leave it to wither and die on its own while they move to a more fair and gender. just system in Bitcoin. So I find it interesting. Again, everything is so, it's so difficult to have these conversations because people on both sides often just don't want to hear it and don't like listening to takes that are anywhere kind of in the middle. And it can be difficult to to have those conversations and not trigger somebody by either misspeaking or not being as perfectly eloquent and articulate as as you would like. And it's it is difficult to have. So lately I've kind of taken this stance of yeah, I talk about it on the show. People that are watching this are most likely interested in Bitcoin.
Starting point is 00:14:29 But in day-to-day life, if somebody's interested in learning about this stuff, I'm happy to talk about it. But for the most part, I just don't bother. I think that this system in and of itself will gradually proliferate on its own. I'm happy to create educational resources in and around that. But people will want to look at this when they're ready. and, you know, I'll put out stuff when I can and kind of help expedite it as much as possible. But when somebody doesn't want to hear something, they just don't want to hear something. And so leave them to their own devices until they eventually find their way here themselves and then happy to help.
Starting point is 00:15:15 Anyways, I will, let's leave that subject matter off to the side now and move on. Bitcoin pioneer Charlie Shrem offered to work with PayPal in 2011. Why the hell am I talking about this? because the rumors the other day came out that PayPal is likely launching the ability to buy and sell cryptocurrency within their app within Venmo. So a bit from the article on Decrypt here, legendary Bitcoin pioneer Charlie Shrem begged to work with PayPal in 2011 he revealed in a tweet on Monday. His claim came in response to reports that the online payments giant now plans to allow
Starting point is 00:15:54 its 320 million customers to buy and sell crypto. He tweeted out, just going to leave this here, check out the date. And the date was September 19th, 2011. He's getting an email from somebody at PayPal, though he's blocked out who it was. It says, wow, this is great, Charlie. I wish we could work with you, but they were very firm. So basically, Charlie Shrem is, again, one of the OGs in Bitcoin very, very early to the game, 2011. and he introduced the Winklewoss twins to it in 2012.
Starting point is 00:16:29 He's heavily featured in the book Bitcoin Billionaires by Ben Mesrich, which is being turned into a film. And yeah, so it's just funny to kind of look back and see the inverse, I guess the flipping, the capitulation of companies like PayPal that were so adamant to not work with anything like this, now kind of realizing that implementing this, not allowing people to utilize this technology through their app is actually going to cost them a shitload of money. Later in the article, it talks about how Bitcoin sales have been increasing an incredible amount,
Starting point is 00:17:12 especially with rivals like Square and Cash app. They bought roughly 306 million worth of Bitcoin. the first quarter of 2020, eating up a large portion of the mined bitcoins, which actually have not gotten cut in half since then in May. So I'm curious to see what those second quarter numbers look like coming out for a square and cash app. So yeah, again, gradually, then suddenly people coming on board. Now, I should say, before I get into this next article, PayPal is still very centralized. they'll still just at the drop of a hat continue to shut down accounts.
Starting point is 00:17:56 So while it's nice to see it being Bitcoin proliferating in a lot of these payment processes and everything, you're not really a sovereign individual until you get it into your own custody. And again, I always recommend wherever you get your Bitcoin, withdraw it, hold it yourself, unless you need to have it or you're using it with some sort of service. And even when you are doing so, make sure that you don't put all your eggs in one basket. It would be just heartbreaking to see anybody lose all their Bitcoin. So, you know, if you're using some for a purpose with a service, then make sure it's not all of your, all of your sets. Okay.
Starting point is 00:18:35 Anyways, this next story, alleged Bitcoin dealer, unless unlicensed Bitcoin dealer, becomes first Singaporean charged under the new law. Okay, so a 23-year-old Singaporean accused of unlicensed Bitcoin dealing is set to become the first person charged under the City State's Payment Services Act. The Singapore police said on June 23rd that the woman whose identity has not been disclosed had provided a digital payment token service without a license. She is alleged to have received at least 13 fraudulent fund transfers worth a total of 3,300. $550 Singapore dollars, which is around $2,400 U.S. dollars, which she then used to purchase Bitcoin. The money is thought to be proceeds obtained from victims of online scams. Police claim that the fraudulent transactions were made on the instruction of an unknown person in return for a commission. Now, I'm going to stop there with this article because right off the bat hearing this, I don't think this woman should be charged.
Starting point is 00:19:44 I think she's actually the victim of fraud herself because I've seen it a million times exactly this setup. In fact, a friend of mine just recently messaged me and asked about something like this where they were asked to get a transfer to their bank account, withdraw it, and then use it at a Bitcoin ATM to then send Bitcoin somewhere else and they would get a cut of that money. It's a scam. It's so what happens is a lot of the time people will get scammed on lines. People will get access to someone's bank account. They'll use it to do a bank transfer to somebody else in an employment scheme where they say, hey, we need you as an employee to do transfers in Bitcoin for us. We'll send you money to your bank account. You send it out to this Bitcoin address. What's actually happening is the fraudulent bank account transfers can be reversed and eventually will be. whereas the Bitcoin transfers cannot be. So let's say I'm a victim. I take this job and the perpetrators are sending me funds from a bank account that they've gained fraudulent access to. I get into my bank.
Starting point is 00:21:02 The instructions are withdraw the cash, go to a Bitcoin ATM, deposit it, and then send it to this QR code that we're going to give you. When I do that, the Bitcoin is gone. I get to keep a small cut of the dollars in my bank account. The problem is when the bank realizes that it's fraudulent, I'm on the hook for the total amount that was originally sent for me. And the Bitcoin is already gone. The cash is already gone.
Starting point is 00:21:29 There's no way for me to recover it. The Bitcoin ATM company is not at fault because I put cash in with them. I'm at fault, unfortunately. the victim of a scam at that point. This is tit for tat exactly what I've seen a million times working with Bitcoin ATM companies. This is exactly what they do. This 23-year-old should not. I mean, unless she was in on it, but I very much doubt it. Look at the amounts, 3,000, 3,000 or 2400 U.S. dollars. That's not, you know, that's people preying on individuals that don't know what they're doing. And again, I just, yeah. And so they're trying to charge her for being
Starting point is 00:22:18 unlicensed as a Bitcoin dealer. Yeah, I, like, I get that there's laws around that, but you're, you're literally penalizing an individual that had no idea how this stuff even works, I imagine. So, it's rough. Anyways, let's move on. Liberty X allows Bitcoin purchases in cash at 7-Eleven's CVS and right aid. Okay. So again, another, we were just talking about it with PayPal, the on-ramps continue to proliferate. So Liberty X, the firm that launched one of the early Bitcoin ATMs, has just made purchasing Bitcoin in cash possible at more than 20,000 retail locations across the United States. On June 22nd, they announced on their Twitter account, the crypto ATM service company said customers of retailers, including 7-11 CVS, right aid.
Starting point is 00:23:10 They'd be able to buy Bitcoin with cash. Users need to have the Liberty X mobile app installed, select which retail location they would like to visit in advance, and scan their bar codes at the time of purchase. According to LibertyX, crypto holders can buy between $20 and $500 up to around 0.052 Bitcoin, as of this writing, with transactions processed in minutes for a small fee.
Starting point is 00:23:36 now there were people on on reddit that were talking about this and they kind of broke it down and it ended up being uh so they end up paying not a bad spread they said that's not even a bad spread you only paid like half a percent above the spot exchange price um and then you have the flat five dollar ATM ATM fee so pretty much not bad obviously more efficient to buy higher amounts when you're dealing with that because you have a flat $5 fee plus a half percent. But yeah, I mean, I've used some Bitcoin ATMs and they can, it can be pretty steep. The fees there, I've seen, especially down in the States, it's not nearly as bad here in Canada. I think there's like 40 or 50 Bitcoin ATMs in my city alone. And, but I still, I've seen them 5, 10, 15, 20 percent.
Starting point is 00:24:31 I've heard horror stories of like 30 percent in the States, which is crazy. But this seems to be, I mean, with a flat $5 fee, you see that, you know, in a nightclub or something, you see that for taking out cash. I mean, it sucks, but it's reasonable. And you're exchanging fiat for Bitcoin. So I say that's pretty good. So, you know, kudos, liberty. Blue Wallet has a new release. So they now have a few different things on here.
Starting point is 00:25:07 New features, except offer for buy Bitcoin, log into local trader with hoddle, hoddle, new full listing screen, seer contracts, and offers, labeling and edit on chain transactions, and they've added new local currencies as well. Now, the big one about this is local trader. So those of you unfamiliar, Blue Wallet,
Starting point is 00:25:29 probably one of my most used Bitcoin wallets. There's three main ones that I typically default to, Blue Wallet, Green Wallet from Blockstream, and Samurai Wallet. Those are my mobile. Obviously, Wasabi on desktop is a big one for me, along with Electrum. Besides the point, Blue Wallet has been pumping out releases like crazy, and they've got a lot of great, easy-to-navigate features. They've got the advanced stuff for people that want to use it, but if you're not an advanced user, you can pretty much navigate this without being confused by all these extra things and only utilize them when you realize that there are when you want to do something that's a little bit more intensive. So to me, the thing that stood out was the local trader thing. It says this
Starting point is 00:26:14 version features the ability to buy on the local trader, a peer-to-peer marketplace where you control your funds. You can now log in with hoddle-hottle, which is, again, peer-to-peer online exchange, view offers, view contracts, and accept offers. And it gives a little breakdown of what that looks like. You can look it up by where you are and find offers and set offers. It looks pretty smooth. Yeah. Anyways, if you're not using Blue Wallet, check it out. I've done a, I've done a tutorial on it. You can just search my YouTube, just search Blue Wallet, BTC sessions. You'll find it. And yeah, enjoy. One last thing. Actually, not last thing, but I wanted to point to this out. Steve Barber tweeted this or retweeted it rather. Now, Steve Barber is awesome. He's here in
Starting point is 00:27:02 Alberta, my home province, and he does basically mobile mining units on skis that can be brought out to oil and gas wells to help basically capitalize on lost energy or wasted energy, which cuts down on emissions and also ups profits majorly. And it ups the hash rate and security of the Bitcoin work. So it's like a win, win, win for everybody. But he retweeted out this from a guy who offers like cloud mining with whatever the hell is services. Anyways, it's just such a shit fest. It's it's the guy's own birthday where he's for some reason gives himself an award a trophy and they have this scammy looking video and he's he sounds it looks and he's in this wearing this fucking Ironman suit with like a Bitcoin symbol on it in CG. It's so bad. And
Starting point is 00:28:01 his company is, again, like a cloud mining company where they have, oh, mine best is what it's called. And they sell you hash rate and basically it's not a good idea. Just don't do it. But seeing this video makes it seem that much more scamy. Cloud mining is really not that profitable for the most part, I would say, you know, if the margins are already thin when it comes to mining Bitcoin. And so when you're paying cloud mining, you're also paying a fee to the people that have set up the infrastructure. So more or less, you're paying for their infrastructure to mine. You're getting a cut of those mining rewards. But as the hash rate, as the competitiveness of Bitcoin mining goes up, it's very difficult to recoup your initial investment.
Starting point is 00:28:53 in that situation, whereas the cloud mining company already has the infrastructure in place that you've now paid for to set up. So I'm very skeptical of most cloud mining, especially when I see videos like this. Furthermore, I need to point this out. This is like what they're talking about on their website. I just screenshot it a couple things. Running with stable 10 gigabyte a second internet connection, the hilarious thing about them floating their internet connection is as long as you have,
Starting point is 00:29:23 like 512 kilobytes a second, you're probably fine. Maybe a little bit more than that. But like as long as you just have a bare minimum internet connection, you don't need this kind of internet speeds. So the fact that they're using that as a selling point is the fact, it seems like they're banking on people to not know what the fuck they're looking at. And they see, oh, 10 gigabytes a second, incredible. You must be able to mine so much with that.
Starting point is 00:29:51 It's irrelevant. it makes no difference on how much you mind how fast your internet speed is. And secondly, technologically advanced infrastructure company specializing in cryptographic computing activities, they're literally just throwing terms that people likely won't understand but sound advanced to bolster themselves when realistically specializing in cryptographic computing activities. okay does Bitcoin involve
Starting point is 00:30:24 cryptography? Yes does that have any bearing on like what they do not particularly also cryptography isn't exclusive to Bitcoin and cryptocurrencies
Starting point is 00:30:38 public and private key cryptography again it doesn't I don't know it's it's like they've just put words here to sound fancy. It's anyways, expect
Starting point is 00:30:54 to see a ton of bullshit like this, these lavish parties, people drinking champagne and having you know, big, like fancy light shows. The guy has a friggin Dolorian from back to the future and they have like smoke machines and everything. When you see shit like this,
Starting point is 00:31:10 run. And they've elevated this guy to be like a visionary because he's got like a few mining rigs and a set up and he's selling cloud mining. Fuck off. Like, come on, really? Anyways, finally, I wanted to take a look at this, and I know I'm running a bit long here, a bit of a longer episode, but Marty Bent brought up an excellent tweet storm from Vijay Boyapati. I hope I'm saying this name right. Anyways, I'm not going to dive too much in Marty's article, but he did kind of aggregate this in one spot nicely. So I'm just going to read through the tweet storm. In their embryonic form, many species appear alike.
Starting point is 00:31:50 imprinted in their various DNAs is the code that will evince their great differences in the fullness of time. A thread on the great debate about Bitcoin is and why on what Bitcoin is and why only one of the two major visions makes sense. In the first few years of Bitcoin, in the first few years, Bitcoin appeared to be both a disruptive payment rail near zero transaction fees and a promising start of Bitcoin. value, dramatically increasing in value over time. Yet written in the code that powered its network were rules that guaranteed only one outcome. Bitcoin's consensus rules are the set of rules agreed upon by all computers running the Bitcoin network. Only those computers abiding by these
Starting point is 00:32:40 rules are accepted as part of the network. Perhaps the most famous rule is the number of Bitcoins that are created per block. Bitcoin's consensus rules are, by the game theoretic nature of the network, incredibly difficult to change. The change to change a rule would require the agreement of overwhelming majority of computers running on the network. From a purely software perspective, the difficulty of changing Bitcoin's rules and core parameters might seem like a disadvantage that would eventually consign Bitcoin
Starting point is 00:33:13 into obsolescence. Rather, the difficulty preserves Bitcoin's most valuable property. It needs to be recognized that immutability is by far Bitcoin's most valuable attribute. There has never in the history of man been any set of rules developed by humankind that you could count on being permanent. Fundamentally, demand for Bitcoin's arises from the scarcity of supply. No more than 21 million will ever be created. yet belief in the scarcity of Bitcoin supply rests completely on the credibility of its monetary policy. If easily changed, that policy has no credibility, much like a protocol such as TCPIP or the shape and specification of a power socket,
Starting point is 00:34:01 changing Bitcoin's consensus rules with a hard fork would come at great cost, ultimately destroying Bitcoin's core value proposition. He has an image of consensus protocols of power sockets, and he shows an ungrounded outlet with just the two prongs, and he shows a grounded outlet with the two prongs and then the ground thicker little socket at the bottom, and how the ungrounded outlet can fit into a grounded outlet, meaning that the upgrade to a grounded outlet is backwards compatible with the old prongs of the old Bitcoin outlet. meaning that the upgrade to a grounded outlet is backwards compatible with the old prongs of the old Bitcoin outlet or sorry, of the old, the old prong. And so what he's getting at is had the socket upgraded in some way where the old prong wouldn't fit, then everybody would have to upgrade all of their electronics. And the same would be true of Bitcoin. A hard fork means it's not backwards compatible, meaning everybody using that monetary system would have to upgrade at the exact same time.
Starting point is 00:35:08 And that's not ideal when it comes to a money. You don't want to constantly have to be checking. Does my money still work? So it's very, very important that Bitcoin remains backwards compatible, barring some catastrophic failure or major bug found. It needs to retain those qualities. So solid, solid tweet storm by VJ here. So I'm going to wrap up, guys. Again, a bit of a longer one today, but thank you so much for watching and or listening.
Starting point is 00:35:37 If you're here on YouTube, remember to hit like, subscribe, and share. But also check me out on my other platforms, Facebook Live. I live streamed to Twitter. I've got Twitch and what's the other one, D-Live. I'm also audio-only, Apple Podcasts, Spotify, Google Podcasts, wherever you look. You'll be able to find me. If you want to help out the show in another way, you can hit up the sponsors I mentioned down below. That was Ledden and Coin Cards. Check them both out.
Starting point is 00:36:04 Also, if you haven't already stored your Bitcoin on a hardware wallet, please do get on that. It's very important that you future-proof yourself now before you have more money than you know what to do with on just an internet-connected device. So Ledger is one such option. There are lots of options, so regardless of what you choose to use, get something. But if you opt to pick up a ledger, I've got an affiliate. link down below and doing so will help the show. And it'll also get you some deals on stuff. I have the Ledger NanoX and the Ledger NanoS. You can get packs and deals and all kinds of different stuff. So be sure to check them out. And finally, if you really loved what you saw,
Starting point is 00:36:42 you can always drop me a Bitcoin Lightning Network tip at my Tipin.combe page. That is tippin. Dot me slash at BTC Sessions. With that, I'm out. Have yourselves a wonderful evening, a wonderful rest of your day. And I'll see you next time for your daily. session.

There aren't comments yet for this episode. Click on any sentence in the transcript to leave a comment.