What is Bitcoin Backed By – Miyagi Mornings Epi-135
If for any reason the Odysee video above does not play well for you, the back up YouTube version is here.
Every time I hear someone in the media say
“Bitcoin isn’t backed by anything”
I want to choke them though the speaker. Okay honestly I don’t want to do that, I want to be able to have a 15 minute discussion with them on air to explain how wrong they are. Of course no such people nor their networks are interested in facts, so we will do it ourselves here.
I already explained why BitCoin has value, you can find that episode here. https://odysee.com/what-makes-bitcoin-valuable-miyagi:5
And while there is a lot in common with “what backs Bitcoin” that is really a lot more specific and as you will hear today, bitcoin is absolutely “backed by something”.
Oddly enough Bitcoin and the dollar are actually backed though the same thing but in drastically different ways. The one word answer? Security.
Please note that security and “value stability” are not the same thing. Additionally “value stability” is highly relative to time lines it is measured across.
The dollar has a great deal more “value stability” across a week or a month then Bitcoin, but Bitcoin destroys what people mean by “value stability” measured across a multi year period of any significance.
Note that today we are focusing on one main issue, what backs Bitcoin and how that compares to what backs the dollar. I will cover some other concepts too but this is the one to key in on. Once you really get it, everything else including why “Bitcoin is sound money” will make sense.
Flag Featured in this video is here – https://amzn.to/36wGHXK
Microphone I use – https://amzn.to/3AXdS4C
The Collected Writings of Satoshi – https://amzn.to/2VyGkK0
Great episode. I resisted for years, having had my first exposure to Bitcoin in 2013. I didn’t figure it out and start buying until 2020. Instead of saying I was too late, I finally saw the orange light. I realized I wasn’t ready before that.
These talking heads on CNBC are idiots. They don’t see the train coming while they walk on the tracks with their headphones in their ears. One of them said matter-of-factly yesterday that bitcoin is in a bear market. Bitcoin is still very early in the adoption phase. The current prices are not a bear market – they are a gift.
I finally got over my own resistance 8 months ago. I am still learning every day. It’s a progression that everyone has to go through at their own pace. I’ve had 3 “holy shit” moments during this 8 months:
1) When Michael Saylor said would you rather have money designed by central bankers or engineers.
2) I repeatedly see a correlation between Bitcoin HODLers and Keto/Carnivore diet.
3) The first time I sent a Lightning payment and witnessed near instant final settlement.
The last one is when I realized that train is rolling down the tracks. It is still in the distance and it is quiet – but the tracks are starting to sing. For now it is a slow moving train. You still have time to get on board. Or you can walk on the tracks with your headphones in, and to quote Mr. Miyagi “squish like grape.”