Only with a uniform medium of exchange acting as a unit of account does complex economic calculation become possible, and with it comes the possibility for specialization into complex tasks, capital accumulation, and large markets. The operation of a market economy is dependent on prices, and prices, to be accurate, are dependent on a common medium of exchange, which reflects the relative scarcity of different goods. If this is easy money, the ability of its issuer to constantly increase its quantity will prevent it from accurately reflecting opportunity costs. the importance of sound money can be explained for three broad reasons: first, it protects value across time, which gives people a bigger incentive to think of their future, and lowers their time preference. The lowering of the time preference is what initiates the process of human civilization and allows for humans to cooperate, prosper, and live in peace. Second, sound money allows for trade to be based on a stable unit of measurement, facilitating ever‐larger markets, free from government control and coercion, and with free trade comes peace and prosperity. Further, a unit of account is essential for all forms of economic calculation and planning, and unsound money makes economic calculation unreliable and is the root cause of economic recessions and crises. It's also worth noting that there was no meaningful mention of bitcoin throughout this part of the book.

The Bitcoin Standard - Saifedean Ammous

delay his gratification to engage in risky production over a longer period of time is that these longer processes will generate more output and superior goods. In other words, investment raises the productivity of the producer. Any industry in which people complain about their asshole boss is likely part of the bezzle, because bosses can only really afford to be assholes in the economic fake reality of the bezzle.

The Bitcoin Standard Quotes and Notes

Note: Seems a bit much? I think the underlying point that money has a lot of downstream effects is good though In a society of sound money, there are no liquidity concerns over the failure of a bank, as all banks hold all their deposits on hand, and have investments of matched maturity. In other words, there is no distinction between illiquidity and insolvency, and there is no systemic risk that could make any bank “too big to fail.” A bank that fails is the problem of its shareholders and lenders, and nobody else. El Salvador recently became the first country to accept Bitcoin as legal tender. In doing so, it effectively became a guinea pig for Satoshi Nakamoto’s original vision – and made them a lot of friends in the Bitcoin community in the process.

Standard Hashrate Token BTC Standard Hashrate Token

The only scarcity, as Julian Simon brilliantly demonstrated, is in the time humans have to produce these metals, and that is why the global wage continues to rise worldwide, making products and materials continuously get cheaper in terms of human labor. La segunda parte toca un tema especialmente controvertido como es la teoría monetaria. En este sentido, el autor tiene un enfoque 100% austriaco y aborrece al máximo las teorías keynesianas tan en boga en la actualidad. The value of money, supposed to be the unit of account with which all economic activity is measured and planned, went from being the value of the least volatile good on the market to being determined through the sum of three policy tools of the government—monetary, fiscal, and trade policy—and most unpredictably, through the reactions of individuals to these policy tools. Governments deciding to dictate the measure of value makes as much sense as governments attempting to dictate the measure of length based on the heights of individuals and buildings in their territories. One can only imagine the sort of confusion that would happen to all engineering projects were the length of the meter to oscillate daily with the pronouncements of a central measurements office. Only the vanity of the insane can be affected by changing the unit with which they’re measured. Making the meter shorter might make someone whose house’s area is 200 square meters believe it is actually 400 square meters, but it would still be the same house. All that this redefinition of the meter has caused is ruin an engineer’s ability to properly build or maintain a house. Similarly, devaluing a currency may make a country richer nominally, or increase the nominal value of its exports, but it does nothing to make the country more prosperous. Knjiga Bitcoin standard bi morala spadati med obvezno branje za vsakogar v sodobni družbi. Ponuja jedrnato in razumljivo zgodbo o monetarni teoriji, zgodovini denarja, praktični ekonomiji in vplivu političnih odločitev na poslovni svet, kulturo in gospodarstvo. Knjiga vsebuje enega izmed morda najboljših opisov odlik močnega denarja in nevarnosti šibke valute, kar jih je bilo predstavljenih v sodobni poslovni literaturi. Bitcoin standard obenem mojstrsko razbije mite o sodobni monetarni teoriji in polomljenih idejah, ki so prevladovale v ekonomskem razmišljanju o fiat valutah od zgodnjega dvajsetega stoletja naprej.” – Odlomek iz predgovora Michaela Saylorja, Microstrategy Note: Argument is that this monetary nationalism administered by central banks created more upside as well as more downside. In an asymmetric world, AKA Extemistan, that is not worth it.I'm in 3/4 and there is still nothing interesting if you know a little bit about bitcoin and financial system. Further, wide acceptance of a medium of exchange allows all prices to be expressed in its terms, which allows it to play the third function of money: unit of account. Unlike the Romans and the Byzantines, Arab and Muslim civilizations’ collapse was not linked to the collapse of their money as they maintained the integrity of their currencies for centuries. While bitcoin is a new invention of the digital age, the problem it purports to solve is as old as human society itself: transferring value across time and space. Ammous takes the listener on an engaging journey through the history of technologies performing the functions of money, from primitive systems of trading limestones and seashells, to metals, coins, the gold standard, and modern government debt. Exploring what gave these technologies their monetary role, and how most lost it, provides the listener with a good idea of what makes for sound money, and sets the stage for an economic discussion of its consequences for individual and societal future-orientation, capital accumulation, trade, peace, culture, and art. Compellingly, Ammous shows that it is no coincidence that the loftiest achievements of humanity have come in societies enjoying the benefits of sound monetary regimes, nor is it coincidental that monetary collapse has usually accompanied the collapse of a civilization. differentiating between a good’s market demand (demand for consuming or holding the good for its own sake) and its monetary demand (demand for a good as a medium of exchange and store of value).

Everything you need to know about the Bitcoin Standard - Luno Everything you need to know about the Bitcoin Standard - Luno

Really terrible. I thought this book would give some technical information on bitcoin, but instead gave me some libertarians shitty views on whatever it seemed like he was thinking about at the moment he was writing. His take on Modern art was among the most memorably idiotic parts of this publication. What it did say about bitcoin was basic knowledge I could have found on Wikipedia, and even that was barely touched and poorly written. The second challenge for Bitcoin is that it needs to grow. But eventually, Bitcoin would need to rely on centralized institutions to continue growing. Unfortunately, there doesn’t seem to be a viable way around this: the more transactions that happen, the more copies of the ledger need updating. Market participants can enter and exit Bitcoin mining exposure in any size, any time, at a low cost than actual physical bitcoin mining which requires maintaining a mining rig. Marketing - Grow your business 527% in 18 Months and sell 5000 Books in Four Weeks As a First Time Author But in the digital space the node concept works. Considering one equal to another becomes possible when you can't see faces and the potential for natural human bias is eliminated. You can see where this can take us as far as rabbits and holes. Decentralization as a concept opens up many many ideas and is one fundamental disagreement I have with the author who claims that this technology is only good for cash. I think cash will be foundational but we're already seeing a lot of uses he hadn't even thought of 3 years ago. Universal decentralized global forms of ID, social media and streaming are a few examples currently. Not to mention NFTs but I need to study that more. I'm not on board yet.

The Bitcoin Standard Summary/Review

By requiring the expenditure of electricity and processing power to produce new bitcoins, PoW is the only method so far discovered for making the production of a digital good reliably expensive, allowing it to be a hard money. easy money trap: anything used as a store of value will have its supply increased, and anything whose supply can be easily increased will destroy the wealth of those who used it as a store of value. The Bitcoin standard owes its workings to Satoshi, the creator of Bitcoin, but the concept was popularised in 2018 by Dr Saifedeam Ammous, an Assistant Professor of Economics at the Lebanese American University. In his book, The Bitcoin Standard, Ammous lays out the inefficiencies and flaws of the central banking system, and so too the fiat monetary system, arguing for the adoption of Bitcoin as legal tender. What is the Bitcoin standard? Ammous describes what BTC has become in its promoters’ eyes: “a global hard money” to store financial wealth, which third party intermediaries can hold and trade on their platforms, much like banks do now. Noting the incongruity, he writes, “While this view of Bitcoin might sound like it is a betrayal of Bitcoin’s original vision[correct, emphasis added] of fully peer-to-peer cash, it is not a new vision.” The digital-gold-as-universal-money idea had indeed been around for over a decade before the white paper. But this had little (if anything) to do with Satoshi’s white paper, and was not the problem Satoshi was trying to solve: ‘casual’ transactions (read small and uneconomic for banks) settling with electronic cash without the need for a fiduciary intermediary. In conclusion, the Bitcoin coders face a strong incentive to abide by consensus rules if they are to have their code adopted. The miners have to abide by the network consensus rules to receive compensation for the resources they spend on proof‐of‐work. The network members face a strong incentive to remain on the consensus rules to ensure they can clear their transactions on the network.

Bitcoin Standard Podcast - Saifedean Ammous The Bitcoin Standard Podcast - Saifedean Ammous

Risk Management - Apply Antifragility to make Entrepreneurship the Safest 21st Century Career and Surround yourself with a community that will foster success With the simple suspension of gold redeemability, governments’ war efforts were no longer limited to the money that they had in their own treasuries, but extended virtually to the entire wealth of the population.

bitcoinมันดียังไง” โดยการสาธยายว่าสกุลเงินต่างๆหรือสิ่งของแลกเปลี่ยน ที่เคยเกิดขึ้นมันเจ๊งหรือมีปัญหาได้ยังไง และการโดดมาของbitcoinมันจะปฏิวัติวงการนี้จริงๆหรอ Considering "politics" in the digital space (because money is inextricably tied to politics) has forced me to evaluate and work with some things. Now of course cash (which is what Bitcoin is) in and of itself on a functional basis is non political. It's simply cash. Yet a lot of the innovations and cryptographic history behind bitcoin have come out of the more libertarian/anarchist mindset. Certain ideas of libertarians have always appealed to me and this book is a libertarian (Austrian school specifically) perspective. For example, none of us like big government and big tech peeking into our lives and date and I don't believe anything which doesn't directly harm another should be illegal. I certainly agree with the rules being the same for everyone, multinationals included.