kylehuber on Nostr: Great article and discussion on investing in bitcoin vs being on a bitcoin standard: ...
Great article and discussion on investing in bitcoin vs being on a bitcoin standard: https://fountain.fm/episode/eamBhenCtei5R3hiulrq
Written by jimmysong (npub10vl…sp42)
Jimmy writes about the the shift from the fiat mindset where bitcoin is an investment to adopting it as a unit of account. What resonated most with me was the point about how this shift leads to a profound increase in peace of mind- which you can’t put a price on.
In my experience, this shift led to three fundamental mindset changes.
1. Your savings are actually not “volatile” if bitcoin is your unit of account. When your stack is growing, your savings are growing, simple as that. Denominating in fiat means assuming risk to buy stocks, bonds or other assets, just to keep up with the 7% annualized inflation.
2. Time preference- On a bitcoin standard the opportunity cost of everything you purchase is more bitcoin. On a fiat standard the opportunity cost of everything you purchase is a melting ice cube losing value every single day. Just look at the rise in sports betting, shitcoin gambling and the fact that nearly half of all stock options have a 0-day expiration. Society has generally become more financially nihilistic, and for good reason. On average, people’s goals and aspirations (buying a house. starting a business etc.) are moving further out of reach as they work harder and harder.
3. Lastly, the feeling of knowing my time and energy isn’t being stolen through debasement of the dollar is hard to describe. The best word I can think of is, freedom.
Written by jimmysong (npub10vl…sp42)
Jimmy writes about the the shift from the fiat mindset where bitcoin is an investment to adopting it as a unit of account. What resonated most with me was the point about how this shift leads to a profound increase in peace of mind- which you can’t put a price on.
In my experience, this shift led to three fundamental mindset changes.
1. Your savings are actually not “volatile” if bitcoin is your unit of account. When your stack is growing, your savings are growing, simple as that. Denominating in fiat means assuming risk to buy stocks, bonds or other assets, just to keep up with the 7% annualized inflation.
2. Time preference- On a bitcoin standard the opportunity cost of everything you purchase is more bitcoin. On a fiat standard the opportunity cost of everything you purchase is a melting ice cube losing value every single day. Just look at the rise in sports betting, shitcoin gambling and the fact that nearly half of all stock options have a 0-day expiration. Society has generally become more financially nihilistic, and for good reason. On average, people’s goals and aspirations (buying a house. starting a business etc.) are moving further out of reach as they work harder and harder.
3. Lastly, the feeling of knowing my time and energy isn’t being stolen through debasement of the dollar is hard to describe. The best word I can think of is, freedom.