1 Bitcoin = $378
If you “know” economics & money yet don’t grok Bitcoin… you don’t know money or economics. Not from 1st principles. – JJ
Money Creation Rate
Today BTC’s annual money creation rate = 8.9%
In 10 months = 4.5%
In 5 years = 2.2%
In 9 years = 1.1%
Transparent, immutable, human-proof – Mike Komaransky
As opposed to fiat USD… zero predictability on money creation schedule. Which is more civilized and reasonable? – Erik Voorhees
JP Morgan President: Bitcoin will be Stopped
Bitcoin’s just not going to happen. You’re wasting your time. When the DoJ calls someone and says “that’s an illegal currency, that’s against the laws of The United States of the Land, if you do it again we’ll put you in jail” … it’s over.
There’s no issue.This is my personal opinion, there will be no real non-controlled currency in the world.
There’s no government that’s going to put up with it for long. It’s kind of cute now… a lot of the senators in congress say “I support Silicon Valley innovation”… there will be no currency that gets around government controls.
The technology will be used. It may even be used to transport currency. But it will be US Dollars. – Jamie Dimon, Chairman of JPMorgan Chase
EU Planning Bitcoin “Crackdown”
Reports are emerging that the European Union is planning some sort of “crackdown” on Bitcoin in the wake of the Paris mass shooting amid allegations that ISIS has some Bitcoins. This is in spite of the declared intention of ISIS and their actual movement to establish a precious metals based monetary system in their caliphate.
Bitcoin is beyond the point where it can be substantially hindered by the failing fiat states of Europe. The socialist states of the world have longed to insert themselves into every transaction between men so that they may more readily collect their share which they demand by force. Bitcoin provides an armor which allows actual persons to resist the bloodsucking proboscis of the parasite state. This, not “ISIS possesses Bitcoin equivalent to the value of one of the armored vehicles it inherited from the United States” would be the actual motivation for a “crackdown” on Bitcoin.
An attempted crackdown on Bitcoin by the EU and its member states would likely:
- Pose serious problems for any venture purporting to act as an interface between fiat currencies and Bitcoin in those jurisdictions.
- Begin a phase of intensified social engineering attempts in various forums concerning or purporting to concern Bitcoin.
- Involve the arrests of a few people in tax evasion and drug cases on flimsy evidence with most of the prosecution’s cases having been constructed in parallel to the actual investigation.
- Reveal exactly how inept the socialist states of Europe are and how woefully incapable they are of coping with the present, much less the future
A European crackdown offers little in the way of actual threats to Bitcoin. The parties who would crack down have far more to fear in their own failure than any amount of fear they can try to project into persons involved with Bitcoin. – Bingo Boingo
Then They Fight You…
The pretext of terrorism is a repugnant use of a crisis to mould policy. We know that they use these terrible events, many of which their security services are responsible for launching, to accelerate a political or business agenda:
They have done the math. Bitcoin is an existential threat not only to the banks, but to the means of collecting taxes, and if they can’t stop it entirely, they will do everything they can to slow its adoption. – Beautyon
Then You Win
The recipient of Bitcoin cannot be controlled. This money, once received can now flow anywhere in the world instantly, all at once or a dollar at a time, and there is nothing that anyone can do to stop it.
It cannot be stopped, un-done, persuaded or diverted. Money is beyond the reach of the State.
Anyone familiar with BitTorrent and movie piracy knows what is going to happen next, and that there is nothing that can be done to stop it. Bitcoin is a tool that cannot be stopped, changed or replaced by force. It is too useful, too powerful, too attractive. It saves people time and money. It makes people’s lives better, just like the internet and mobile phones make people’s lives better. It is neutral, and has no inherent moral properties. – Beautyon
Not Only Will Bitcoin Win, But it Will be an Easy Victory
Your secret meetings don’t matter, neither does who is in your secret group, and what “major players” they are, or your idiotic drama.
Only software matters. Producing flow charts is irrelevant. Talking in a room is irrelevant. Running a secret club produces nothing. You are goldfish flapping around on the floor. The bowl is shattered and you can’t even know it.
While you scribble boxes and arrows in a presentation app, Bitcoin development is accelerating everywhere. You’ll never stop it. GAME OVER.
You idiotic people actually believe that if you sit in a room and chant”BLOCKCHAIN … BLOCKCHAIN … BLOCKCHAIN” that Bitcoin will go away.
If this is the best you have, the most you can do, all you can up with, then not only will Bitcoin win, but it will be an easy victory. – Beautyon
Biggest Difficulty Increase in a Year
The Bitcoin network difficulty has now climbed to 72,722,780,643 which is an increase of 10.44%.
The previous difficulty was 65,848,255,179.7 which arrived via a 5.77% increase, the highest in six months.
New all time high difficulty figures come with astounding regularity, but the magnitude of these last two increases is notable. – Bingo Boingo
MARKETS / FINANCE
Chinese Government Busts Biggest “Underground Bank” as Capital Outflow Hits $500bn
Beijing has announced a crackdown on the country’s biggest “underground bank” which handled $64 billion (410 billion yuan) of illegal foreign-exchange transactions. China is currently boosting efforts to curb capital outflows and fight corruption.
The bank transferred money overseas using non-resident accounts, exploiting regulatory loopholes and bypassing oversight, according to the government.
More than 370 people have been arrested, some face lawsuits or criminal charges, the People’s Daily reports citing police officials.
Chinese authorities started raiding underground banks in April. Since then they have revealed over 170 cases of money laundering and illegal fund transfers totaling more than 800 billion yuan ($125.34 billion). Police have shut down 37 banks. Around 100 suspects from eight suspected gangs have been detained.
“Many customers wanted to avoid China’s strict supervision on foreign exchange trade. The gang could earn over 50,000 yuan ($7,834) a day thanks to this,” a gang leader told Xinhua News Agency.
Capital outflow accelerated in China this year. Chinese nationals have been moving their money offshore over fears of a weakening economy and with confidence that investments were safer outside the country.
The government has already taken restrictive measures to prevent the capital flight. In September, China cut the annual limit of cash which Chinese bank card holders could withdraw abroad next year to 100,000 yuan (about $15,730). Previously, the daily cash withdrawal limit was 10,000 yuan ($1,573). – RT.com
COMPANIES / PROJECTS / PRODUCTS
Move Over eBay: Countdown to OpenBazaar & the Decentralized Market Revolution
This December decentralised market place OpenBazaar is set to go live.
By virtue of the fact that it’s decentralised, OpenBazaar is not limited in any way. It means people can own their own data as well as pay in bitcoin instead of risking credit card fraud. It also allows traders to deal directly with customers, rather than being kept separate by an intermediary like eBay.
Instead of paying someone 10% fees to monitor and arbitrate, this task is done by reputable actors who moderate when called upon and can earn tips in bitcoin from doing so. The aim is to create a general working and earning ecosystem for all participants, upon which other businesses can be built.
IBTimes reached out to eBay for its opinion on decentralised markets. A spokesman said this sounded rather far off in the future. – Ian Allison
Software is Eating the World, and the Internet is Eating Media
Today, billions of people carry internet-connected supercomputers in their pockets, the largest knowledge repository in the world is a massive crowdsourced encyclopedia, and a social network is one of the 10 most valuable companies in the world. Ten years ago, someone who predicted these things would have seemed crazy.
Jeff Bezos’s Space Company Makes History with Reusable Rocket
Jeff Bezos: The rarest of beasts – a used rocket. Controlled landing not easy, but done right, can look easy. Check out video.
Elon Musk: Not quite “rarest”. SpaceX Grasshopper rocket did 6 suborbital flights 3 years ago & is still around.
PRIVACY / SECURITY / INTERNET
BIP47: Reusable Payment Codes
I think BIP47 (reusable payment codes) is one of the most important developments in bitcoin this year. – Andreas Antonopoulos
Besides running circles around blockchain analysis outfits, BIP47 reusable payment codes are very Blockchain Alliance unfriendly. – SamouraiWalletDev
Something . . . that we’re heavily involved in is BIP 47 . . . [also known as] payment codes. Remember that? I prefer to use the phrase payment address because I think they’re comparable in many ways to an email address and a Bitcoin address is not
A payment address is more like an email address. For example, you can use the same address every time. So, you have a single address. People can always send to that same address, and that means they don’t have to ask you first for an address to send to . . . Furthermore, whenever you receive a payment through a payment address (or payment code, BIP 47), there is a return address. Both parties can see a complete history of all the transactions that were sent between them; the critical point is no one else can.
You know what this means? This means that all those companies who are sprouting up to provide blockchain analytics on the source of funds — these companies are not going to last. They’re going to cease to exist. They are a temporary aberration. They’re building on the past instead of the future. – Chris Odom
LEARNING / EDUCATION
Government Schools are Prisons
Government schools are largely responsible for the phenomenal growth of statism over the last century.
The elevation of schooling (notice I don’t use the word “education”) to sacred status means that we will not be able to directly undermine the state’s grip on future generations’ hearts and minds. The demise of government schooling will likely be the result of natural market progress, such as online education, coupled with increasing bureaucracy and strangling government debt at all levels.
As someone who spent 17 years being indoctrinated in government schools and another 10 years indoctrinating others in government schools, the reality is that the state’s monopoly on the schooling market is too strong for us to undo all the propaganda it spews. When I was first teaching and discovering libertarianism in the late 2000s, I noticed some history teachers were actually teaching that the POTUS is commander in chief of the economy. I shit you not.
Until the state indoctrination machine collapses, any work we do will be around the periphery with those who have a strong sense of individualism and, like Neo in the Matrix, feel that something is wrong with their world and that government schools were prisons for their minds. – Ted Logan
Some say bitcoin doesn’t make remittances cheaper, yet our users swear by it and have actual numbers to prove so. – Miguel Cuneta, Rebit.ph
From Nation States to Stateless Nations
We’re living in an age of disruption. How deep does the rabbit hole go?
What we’re witnessing is a shift from territorial monopolies on the use of force as a way of ordering civilization, toward a world of borderless civic networks.
Or, in the words of Tom W. Bell, a move from nation states to stateless nations, which extend the dynamics of social networks into areas traditionally monopolized by government.
Digital currencies like bitcoin are already challenging the state’s monopoly on the provision of currency, and it is inevitable that peer-to-peer technology and smart contracts will begin to challenge its monopoly on law and dispute resolution.
This shift reflects the extent to which the internet has already expanded our range of thought and activity. We can easily make friends with people on the other side of the globe who share our interests, we’re now able to buy and sell to anyone anywhere.
We can offer our services on freelance sites like Fiverr and Upwork. All of this is amazing, and unprecedented, and there is more to come. Our social habits and economic opportunities have been transformed, and we’re better because of it.
Those who believe that an institution designed in the 17th century is going to be able to adapt to the new world through minor changes in policy rather than fundamental institutional disruption are not processing reality effectively.
It sounds radical. But the truth is that the old-fashioned nation state can’t last forever. It belongs to a particular chapter in human history, and was built for a certain kind of society and economy that no longer exists. Ancient civilizations like Rome and Egypt also aspired to permanence and inevitability, but were swept away by underlying social and economic changes.
To paraphrase Martin Luther King, the arc of history is long, but it bends towards liberty. Is the liberal democratic state really “the end of history” as Francis Fukuyama once put it? Is this all there is? Or can we create in the 21st century another leap, on the scale of Magna Carta or the Declaration of Independence, into something greater still? – Philip Saunders
Voluntary Jurisdictions and Open Exits
What defines a state above all else is its monopoly on violence, and forced participation in a given geographical area.
The internet points us to a different way: to a non-territorial, networked, polycentric world of voluntary jurisdictions and open exits. Unlike the present model of geopolitical “tax farms” (as some have quipped), a polycentric legal system would not be based on geography, no more than Facebook or Twitter or Google is; but rather voluntary assent, where participants can enter or exit at any time, or remain neutral, regardless of physical location.
A polycentric legal order in which stateless nations compete for adherents would be superior to our current system from a democratic, egalitarian and libertarian standpoint.
Instead of different factions and special interests competing for power in a centralized state, via political parties or corporate cronyism, people with different perspectives can exit arrangements with which they disagree and form consensual communities of their own design. When people are allowed to participate directly and build their world, we will soon see which ideas work better in practice and which ideas don’t work.
I believe when this shift happens, there will be resistance, in much the same way that taxi monopolies in Paris and London and New York are fighting the rise of companies like Uber.
But in a world where exit rights are cherished, people may still choose to remain legally associated with traditional nations, for emotional or cultural or practical reasons. The key point is that there ought to be no impediment to people exiting their citizenship of existing nation states and forming new and better communities and parallel jurisdictions.
As with Uber, there are many special interests which rely on the maintenance of these legal monopolies, who will do their utmost to fight such trends. They need to understand that we are not asking for their permission, and they will be defeated. – Philip Saunders
Will SpaceX Accomplish It’s Goal of Getting to Mars in the Next 15 Years?
Yes, absolutely. The colony might take 20 years to get started, but if they just wanted to send something to Mars and not get it back they could do that a lot sooner. They could do that in a year or two. – Steve Jurvetson
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