Chris Liss on Nostr: Think the debate between SOV and MOE is a false one. It’s already a SOV but will ...
Think the debate between SOV and MOE is a false one. It’s already a SOV but will eventually become a MOE when people selling scarce goods and services refuse to take fiat for them.
Buyers in the market will always prefer spending fiat if given the choice. So it’s on the sellers of scarce goods to refuse, and eventually they will. Some already incentivize buyers by offering a discount per the exchange rate in sats because they realize that rate is not real, certainly not over the medium and long term.
Now states can require public-facing businesses to take fiat, but they can’t stop individuals like professional athletes whose services are highly scarce from insisting on being paid in sats. As that becomes more common, it’ll be increasingly obvious to sellers who can choose.
Others who can’t will take fiat but immediately convert to sats. I imagine it might be digital dollars via tether in places outside the US banking system, but when sanctions or other measures allow too much control and restriction, merchants will opt out and revert to sats instead, since sats are available just as easily as a parallel digital rail.
So Saylor can talk his book all he likes about SOV and not challenging the USD, but he’s ultimately powerless to stop what’s coming.
The problem for the fiat system is that unlike gold, BTC IS itself a financial NETWORK, not just a token. It’s only a SOV because it *works*. And by *works* I mean is an entire parallel system unto itself.
Buyers in the market will always prefer spending fiat if given the choice. So it’s on the sellers of scarce goods to refuse, and eventually they will. Some already incentivize buyers by offering a discount per the exchange rate in sats because they realize that rate is not real, certainly not over the medium and long term.
Now states can require public-facing businesses to take fiat, but they can’t stop individuals like professional athletes whose services are highly scarce from insisting on being paid in sats. As that becomes more common, it’ll be increasingly obvious to sellers who can choose.
Others who can’t will take fiat but immediately convert to sats. I imagine it might be digital dollars via tether in places outside the US banking system, but when sanctions or other measures allow too much control and restriction, merchants will opt out and revert to sats instead, since sats are available just as easily as a parallel digital rail.
So Saylor can talk his book all he likes about SOV and not challenging the USD, but he’s ultimately powerless to stop what’s coming.
The problem for the fiat system is that unlike gold, BTC IS itself a financial NETWORK, not just a token. It’s only a SOV because it *works*. And by *works* I mean is an entire parallel system unto itself.