ericfj on Nostr: I don’t think they *voluntarily* surrender anything. The game theory makes it so ...
I don’t think they *voluntarily* surrender anything.
The game theory makes it so they must hold it, for their own survival (relevant searches: Nash equilibrium in a coordination game, prisoner’s dilemma, first mover advantage). They can still print to the extent that fiat currencies keep their entrenched network effects but it loses its benefit over time and hurts whatever legitimacy they have more and more. So if they’re smart they use at least part of the print to buy BTC.
This ultimately makes NGU which empowers early adopter (or any smart opportunist, really) to invest in / build infrastructure that goes completely around them.
The game theory makes it so they must hold it, for their own survival (relevant searches: Nash equilibrium in a coordination game, prisoner’s dilemma, first mover advantage). They can still print to the extent that fiat currencies keep their entrenched network effects but it loses its benefit over time and hurts whatever legitimacy they have more and more. So if they’re smart they use at least part of the print to buy BTC.
This ultimately makes NGU which empowers early adopter (or any smart opportunist, really) to invest in / build infrastructure that goes completely around them.