A human obsessed with reading, thinking, observing, doing research, and experimenting

Do you constantly get bombarded with news on cryptocurrencies, invest in cryptocurrencies, make predictions about cryptocurrencies, talk to your friends about cryptocurrencies, publicly advocate cryptocurrencies, secretly obsess over cryptocurrencies, dream about cryptocurrencies, hope cryptocurrencies will become the “next big thing,” but somehow secretly feels helpless when attempting to explain to…

Economists and other enthusiasts keep making irrational comparisons of Bitcoin to Fiat or gold.

Comparing cryptocurrencies to money makes no sense whatsoever. Cryptocurrencies are *not* currencies, they are assets.

They're a new asset class. They're analogous to stocks, bonds, mortgages, etc.

They do NOT exist for its own sake. They are the engine that enables decentralized applications to exist.

I expanded more about this irrationality here:

https://timalperamune.medium.com/what-exactly-are-cryptocurrencies-its-time-to-cut-through-all-the-noise-149fcbb75d0f?sk=f23b6134471ddbbf872487cb8bed9daa

There's also a huge misconception about money itself and its history. What makes fiat impossible to compete against in a *mixed economy* is tax being demanded in the nation's native fiat currency.

Tax is how a government maintains a coercive monopoly on a currency. This is what makes it impossible to penetrate this arena.

I explained more about this irrationality here:

https://timalperamune.medium.com/why-cryptocurrencies-can-never-become-money-6082e8be0e9f?sk=f3d3157b5685f6eba7d19496a2b7e6d5

Money has taken various forms throughout history. However, the form as such, has no relevance whatever.

Cryptocurrencies cannot become money because they are not accepted as payment for taxes. They are not legal tender. They are not “currencies.” They are a new asset class, much like stocks and bonds. Enthusiasm for decentralization ignores the unfortunate truth about the power of central authorities.

For the sake of…

This isn't capitalism. It is the very departure from laissez-faire capitalism that enabled this.

We've never had a truly capitalistic economy. The closest we've gotten was during the industrial revolution in America, and the quality of life was superb.

Government controls and special privileges started to become more prevalent after that, and THATS when everything started to collapse.

More government regulation or privileges are NOT the solution. The solution is laissez-faire...i.e a complete separation of state and economics.

Capitalism always gets the blame for things that have nothing to do with capitalism, and everything to do with government regulation or privileges. The latter is quite literally the OPPOSITE of capitalism.

Timal Peramune

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