Thread by @UglyOldGoat1

The #Bitcoin fundamentals of four generations of inflation, entitlements, and regulations are separate and apart from #Bitcoin the technological innovation. If we had sound money there would be little demand for Bitcoin. (1/13)

https://twitter.com/kalsangdolmanz/status/1352677253461676032

The notion that gold futures hold down the physical gold price or subjects the gold price to long-term manipulation is a canard. CME gold futures deliveries are settled with warrants meeting exact specifications met by approved refineries, carriers, and warehouses which (2/13)

ensures the integrity of delivery apart from the exchange. cmegroup.com/education/cour… One need look no further than the 1980 Hunt Silver fiasco which illustrates how deliverable futures contracts provide for the discovery of an untapped silver supply resting in people's homes.(3/13)

Not so for Bitcoin. The CME Bakkt Bitcoin contract is for Bakkt Bitcoin. It is not Bitcoin. Bakkt Bitcoin is a cash-settled monthly futures contract. While the Bakkt Bitcoin has geographically storage of private keys, they are not your private keys. (4/13)

Not your keys, not your bitcoin. The Bitcoin Warehouse is an internal ledger The internal ledger operates separate and apart from the Bitcoin blockchain. The only interaction with the public blockchain is during the deposit of bitcoin into the Bakkt Warehouse and the (5/13)

withdrawal of bitcoin out of the Bakkt Warehouse to meet the Bakkt Bitcoin (USD) settled futures. Unlike gold, there is no procedure or mechanism to transfer Bitcoin from the Bakkt Warehouse private key to a private key apart from the Bakkt Warehouse. (6/13)

The challenge outlined by Black Rock and the undeliverable cash-settled CME futures exposes the current obstacles and risks of on-and-off-ramps on all legacy platforms. @PrestonPhysh and others have recognized these risks and they are likely to have quite the opposite effect.7/13

The obstacles were recently outlined by institutional buyer @michael_saylor Because Bitcoin, the innovation, has a fixed supply and negative stock-to-flow it is unlikely Bitcoin futures will ever be made deliverable to private keys. Acquiring sound money is not easy. (8/13)

Nor should it be. If you really think Bitcoin, the innovation, is like any other asset I don't know what to tell you. However, your challenge does expose a genuine threat and challenge for Bitcoin. Confiscation exposure on all legacy platforms. (9/13) en.wikipedia.org/wiki/Executive…

The March bailout is the canary in the coal mine. What can be deposited on a whim can be confiscated on a whim. Moreover, those pioneers who have genuinely contributed to sound money through non-legacy unregulated Bitcoin innovation such as @Bitmex are subject to (10/13)

Soviet-style persecution by three initial regulators with guns like the SEC, DOJ, and FBI. The difference between now and then is Bitcoin, the innovation, has allowed Bitmex to operate with full functionality even while the principle founders are under arrest or on the lam. 11/13

If the authorities could shut down #Bitcoin or #Bitmex it would be a fait accompli. The case for a relatively smooth transition to sound money, ie. the future for #Bitcoin is in the hands of HODLers with their own private keys. (12/13)

If we are to be our own banks, we must relearn The Lost Art Of Commercial Banking. (13/13)
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