, 15 tweets, 4 min read Read on Twitter
1/ In the immortal words of Ice Cube, HODLing ain't easy, but it's necessary:

An Ode to Saving (in #Bitcoin)
2/ No economic good can become a full fledged money without passing through the 4 stages of the evolution of money.
3/ The most protracted of the four stages is the establishment of a good as a store of value. Once a store of value is widely owned, its purchasing power will stabilize and it will quickly become suitable as a medium of exchange and unit of account.
4/ Acquiring a good in hopes that it will be demanded as a future store of value hastens its adoption for that very purpose. This seeming circularity is actually a feedback loop that drives societies to eventually converge on a single store of value.
5/ HODLers play a crucial role in this process; by buying and holding through adversity, HODLers increase the reservation demand of Bitcoin.
6/ As the reservation demand of Bitcoin increases, so too does the price, which attracts speculators and increases liquidity. The increase in liquidity occurs in a series of expanding hype cycles:
7/ Each cycle brings aboard a new set of true believers; a new set of HODLers. They, in their turn, become strong advocates for the adoption of Bitcoin as a store of value.
8/ While the comparison to religion may give Bitcoin an aura of irrational faith, it is entirely rational for the individual owner to evangelize for a superior monetary good and for society as a whole to standardize on it.
9/ Money acts as the foundation for all trade and savings, so the adoption of a superior form of money has tremendous multiplicative benefits to wealth creation for all members of a society.
10/ HODLing does NOT mean never selling BTC! It's obvious that there is some price for which any major HODLer would want to sell *some* BTC just for diversification purposes, or to enjoy the spoils of their successful investment.
11/ What HODLing means is to prefer Bitcoin over other forms of savings (especially comparable monetary goods such as gold, t-bills or plain old dollars). Such a preference sucks financial energy out of e.g., t-bills and gold and into Bitcoin.
12/ The reason one would prefer Bitcoin to comparable monetary goods is that it excels along the attributes that make for a good store of value.
13/ The earlier the anticipation of future demand for a monetary good in its evolution to becoming fully fledged money, the greater the financial advantage conferred to its possessor. Thus, there is a big advantage to becoming a HODLer as quickly as possible & staying the course.
14/ HODLing is not always easy. Sometimes, like now, it's excruciatingly difficult, with many wondering where the bottom is:
15/ Do not fret, fellow HODLers, we are in this for the long game. 50 years from now our posterity will not be measuring their wealth in dollars, pounds or yen.

Bitcoin, will be the yardstick by which our grand kids measure their savings. It will be the global unit of account.
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