Account Share

 

Thread by @leashless: "It's becoming increasingly necessary to split the "making the internet work properly" faction from the "holy shit free money" faction in the […]"

7 tweets, 2 min read
It's becoming increasingly necessary to split the "making the internet work properly" faction from the "holy shit free money" faction in the crypto-currency situation. THERE IS NO FREE MONEY. There's only risk: if we can't make the global economy more efficient, your BTC hits $0
Let me give this to you on the back of an envelope. Global trade is, say, $50tn. That's physical goods. If BTC etc. make global trade 1% more efficient, that's worth $500bn. A year. But for that to happen, people have to be selling cars and office buildings using the blockchain.
If we aren't getting the mainstream industrial/financial economy to use blockchains to make the underlying global economy more efficient, this is just a bubble, and the blowout will be *devastating*.

It's going to take prolonged, targeted investment to get the global econ shift.
All this volatility is basically caused by a lack of fundamentals: BTC is basically pure risk - either the long game works, and it's under-priced, or the long game fails and it's worth zip. Tides of emotion and guess work blow the price around like a carrier bag in a gale.
You don't get price stability until the industrial uses of BTC etc. can be measured. "We could pay by wire and it'll take three days, or blockchain and 5 minutes." That, or track-and-trace etc. are why businesses would choose to pay in crypto. But prices have to be more stable.
I cannot stress this too much. Until there's a large mainstream industrial user base for crypto, the entire ecosystem is at huge risk. This is why @sweetbridgeinc is so important: they've *absolutely* nailed all the thinking around the industrial case. I learned most of this here
This is not a complex argument once you see it: the value of BTC etc. depend on it being more efficient in some aspect of global trade than USD. If that isn't true anywhere, eventually the value will drop: store of value only works if there is demand for the underlying assets.
Missing some Tweet in this thread?
You can try to force a refresh.
This content can be removed from Twitter at anytime, get a PDF archive by mail!
This is a Premium feature, you will be asked to pay $30.00/year
for a one year Premium membership with unlimited archiving.
Don't miss anything from @leashless,
subscribe and get alerts when a new unroll is available!
Did Thread Reader help you today?
Support me: I'm a solo developer! Read more about the story
Become a 💎 Premium member ($30.00/year) and get exclusive features!
Too expensive?
Make a small donation instead. Buy me a coffee ($5) or help for the server cost ($10):
Donate with 😘 Paypal or  Become a Patron 😍 on Patreon.com
Trending hashtags
Did Thread Reader help you today?
Support me: I'm a solo developer! Read more about the story
Become a 💎 Premium member ($30.00/year) and get exclusive features!
Too expensive?
Make a small donation instead. Buy me a coffee ($5) or help for the server cost ($10):
Donate with 😘 Paypal or  Become a Patron 😍 on Patreon.com