Quick thread on 𝘀𝗰𝗮𝗺𝘀, because it bears repeating.
Scams are designed to separate your from your hard-earned sats. Never assume you’re immune.
If you know what scammers target, you’ll know what to protect.
What do scams attempt to achieve?
1. Capturing your login credentials or identity docs for custodial services
2. Capturing your private keys in the case of self-custody
Scams take different paths depending on the target.
But you can greatly reduce the attack vectors by taking custody of your bitcoin (not keeping them on an exchange).
*note that scams require active participation and are different from hacks/attacks
What strategies do scams employ to achieve this?
1. Unsolicited emails/texts asking you to upload identity docs, confirm login details 2. Apps, websites that ask you to manually enter your private key 3. Investment offers, giveaways that require a ’deposit’
So keep an eye out for these warning signs and always remember the golden rule-
For a deeper understanding on why we tend to fall for scams-
Satoshi Nakamoto cites 8 references in the Bitcoin white paper. Each one uniquely influencing the design of the Bitcoin protocol.
In this thread we’ll explore what they are and why they’re important.
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0/ First, for context, it’s helpful to understand that the Bitcoin protocol combines several existing tools, technologies and systems in a highly novel way.
1/ ‘b-money’ by Wei Dai is the very first reference listed. Dai was also one of the first people contacted by Nakamoto.
“efficient cooperation requires a medium of exchange (money) and a way to enforce contracts.
I describe a protocol by which these services can be provided.”
This thread is a compilation of selected quotes from @Breedlove22’s interview w/ @lexfridman: Philosophy of Bitcoin from First Principles.
Clocking in at 4hrs, it’s an unbroken chain of logic, crystalizing the importance of Bitcoin as an innovation for society.
0/ Quotes are organized according to the following topics-
(although the conversation spans much more)
1/ “When you look at the system of capitalism or the system of communism, there's ideals. And a lot of people argue that in [it’s] perfect form it would actually be good for the world.
The question is how resilient are they to the corruption of human nature?”
Taken from ‘Economic Facts and Fallacies’ by @ThomasSowell, the Open-Ended Fallacy lays out the dangers of causes, movements and campaigns whose advocates disregard the limited nature of time and resources or the reality of trade-offs.
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1/ “Who could be against health, safety, or open space?
But each of these things is open-ended, while resources are not only limited but have alternative uses which are also valuable.”
2/ “No matter how much is done to promote health, more could be done. No matter how safe things have been made, they could be made safer. And no matter how much open space there is, there could be still more.”
Selected quotes from Part II of @FossGregfoss’s salient paper:
‘Why Every Fixed-Income Investor Needs to Consider Bitcoin as Portfolio Insurance’
0/ “Bitcoin is the best asymmetric trade I have seen in my 32yrs of trading.”
1/ “Owning Bitcoin does not increase portfolio risk, it reduces it. You are actually taking MORE risk by not owning bitcoin, than you are if you have an allocation.
It is imperative that all investors understand this, and I hope to lay out the arguments why..”
2/ “The GFC just transferred excess leverage in the financial system to the balance sheet of the governments.
Perhaps there was no choice but there is no question that in the ensuing decade, we had the chance to pay down the debts that we had pulled forward. We did not do that.”
People create new ways of doing things. This alters incentives and shifts behaviours. Creative destruction ensues and opportunity creates new players, rules & systems.
Restrict innovation and a jurisdiction will fall behind.
There are three key markers of a disruptive innovation: 1. Born from a catalyst 2. Perceived as a toy/novelty 3. FUD from incumbents/concerned citizens
Let’s look at how Bitcoin has tracked these over time.
Satoshi’s message in the genesis block points us to the GFC and subsequent bailout of financial institutions.
The architects of the crisis would be protected from the full consequences of their actions.