Dec 12, 2021

Instant transfer of Bitcoin makes onboarding easy.

 Every time I onboard a newbie into Bitcoin I wonder how their journey will be.  Will they crash and burn (sell) or be like me and try to buy the dips.  Here was my path.

I first bought #Bitcoin in blind speculation.  Then I believed in it as an investment. Then I believed in it as money. Then it became my primary money. Then I decided to build a business around it. Today I am convinced #Bitcoin is legit --  humanity’s best hope for peace & prosperity. This is because the world is in tough shape right now:  -Unworkable, socialistic economic policies; the march of tyranny; authoritarianism & state violence; inflation & a broken supply chain and job market kaos. 

I onboarded this new newbie onto the Phoenix Wallet because it allows her to have self custody and do Lightning Bitcoin transactions. It was a little hard explaining the 3000 lost sats from what I sent her and the couple of lost sats when she sends it onward. I think having me there to explain the "Restore my wallet", feature by Acinq via entering the 12-words helped. She asked me about word order so I think she was catching on to how important the seed words are. She liked the instant transfer of wealth.  Having a little Bitcoin nest egg helps everyone secure their future.

Nov 8, 2021

Bitcoin -- Pragmatist climb on board

Who would of thought that it would take bitcoin 13 years until the pragmatist would catch on.  Last week I had 2 people (who are smart and rich) phone me. They wanted to talk about bitcoin. I explained how Internet 1.0 allowed information to become easily available. A lot of people, 40 and under, have heard about tor but don't understand why we need it. Then I went on to talk about Internet 2.0 where digital information is hard to duplicate. One person wanted me to talk about Ethereum, but it has more  to do with gambling than a real form of currency. People want to call Ethereum money, but it is like calling the stock market money -- if someone buys your crap then yes it is money. Ethereum has been trying to get the handle defi (decentralize finance), but it is really peer to peer finance. We are so new to crypto that not many are really educated on the subject. 
Thirteen years makes bitcoin a teenager and that is when people start testing their wings. It seems to me, like teenagers, bitcoin is forcing others around them to take action. Bitcoin is the hardest money and it’s going to destroy every other fiat money; even if Raoul Pal thinks Ethereum is better than Bitcoin. Now that Bitcoin is at a all time high most people are giving it a second look. This second look allows people to challenge their presuppositions. I do have my doubts also, however 13 years is a long time. There is a lot of metrics that calm my fears. Bitcoin is more than 10% the value of all the gold in the world. Taproot allows for multi signature wallets to look like regular wallets. The hash rate is over 140 exahash.

Oct 6, 2021

Bitcoin allows us to walk tall.

Your savings beleive it or not affect the way you stand, the way you walk and tone of your voice. In short your physical well-being and self-confidence. A man without savings is always running. He must. He must take the first job offered, or nearly so. He sits nervously on life's chairs because any small emergency throws him into the hands of others. ‘Without savings, a man must be too grateful. Gratitude is a fine thing in its place. But a constant state of gratitude is a hor- rible place in which to live. A man with savings can walk tall. He may appraise opportuni- ties in a relaxed way, have time for judicious estimates and not be rushed by economic necessity. A man with savings can afford to resign from his job, if his principles so dictate, And for this reason he'll never need to do so. A man who ean afford to quit is much more useful to his company, and therefore more promotable. He can afford to give his Company the benefits of his most candid judgments. A man always concerned about necessities, such as food and, rent, can’t afford to think in long-range career terms. He must dart to the most immediate opportunity for ready cash, Without savings, he will spend a lifetime of darting, dodging. A man with savings can afford the wonderful privilage of living generous in family or neighborhood emergencies. He can take a level stare into the eyes of any man, friend, stranger or enemy. It shapes his personality and character. The ability to save has nothing to do with the size of income. Many high-income people who spend it all are on a treadmeill, darting through life like mnnows. “Take waste outof your spending; you'll drive the waste out of your life.” Will Rogers put it this way, “I'd rather have the company of Janitor, living on what he earned last year... than an actor ‘spending what he'll earn next year.” If you don’t need money for college, a home or retirement then save for self-confidence. The state of your savings does have a lot to do with how tall you walk.

Aug 23, 2021

Alberta electricity up 38% year on year

Yes, in Alberta electricity went from 6.4 to 8.75 cents / kWh in 2021. This is my solution to the problem -- buy 38% less electricty
I bought 2 lithium battery packs. Each battery pack contains 16 280 Ahr cells. I put Eve cells in the golf cart and the Bad Boy has Lishen cells. The lishen cost me C$160 (206K sats) / cell and the Eve cost me C$180 (232K sats)/ cell. Two 100 Amp overkill BMS was C$344 (444K sats). Then I went a bought a MPP LVX-6048 direct from Taiwan for $1182 US or $1500 Canadian (2M sats). 4 20 #2 AWG wire was C$210 and MC4 wire with DC disconnects was $260 Total = C$7750 (10 million satoshis)

May 22, 2021

How to give money to 1 billion people

How do you give money to 1 billion people fairly?  Most people think you have to have a benevolent dictator; but I would like to show you what bitcoin has done in the last 11 years without a central controller (dictator).  We just passed the 1 trillion US market cap. 

Most people think that bitcoin became money on May 22, 2010 (10,000 bitcoin for pizza) which would make bitcoin 11 years old today. There is now 100 million bitcoin users, but that doesn't mean equitable distribution. (everyone doesn't hold 0.1 bitcoin). 

The reason Satoshi created bitcoin was to stop the bailout of banks (money printing). This cantillon effect of money printing causes certain people to have more capital than other people. As we have seen this last year, the rich get richer as the poor get handouts via the inflation tax. This teaches them to not rely on themselves, but on the government handouts that buy less and less real goods

Now that bitcoin has caught on we have seen what effect influencers have on bitcoin.  Elon Musk tweeted last week about how much energy bitcoin was using and that caused the price to fall.  How can one man with 55 million twitter followers cause so much havoc? It has to do with network effects and that people like to follow each other. Bitcoin now can be used as value transfer because network effects.  Everybody knows someone who values bitcoin so if they accept it they know they can give it to someone else.  This cannot be said for other bitcoin subsidiaries. To go from an idea to everybody know someone who in real life has something in 11 years is amazing. Would you believe bitcoin doesn't have an advertising budget or paid influences. Amazing. At current rate of growth 1 billion people will own bitcoin in 4 years. 

Feb 11, 2021

Help! Canada's spiraling deficit.

As a Canadian, this chart sobers me. Gross Domestic Product is how much goods and services your country produces. Yes, it includes the products which are self consumed like food. As you can see via the chart Canada has had a 456% balance sheet growth in 2020. This is equal to the increase in the price of Bitcoin over the last year. 

Why have we done this to ourselves? A lot of the blame has to go to the Central Bank of Canada. They keep telling Canadians that inflation is less than 2% so borrow as much as you can. In fact the consequence of you taking on to much mortgage is not that you will lose your house, but rather that you will have to use the governments forbearance program.  Without any consequence for your bad decision people are being encourage to make more bad decisions. 

The bank of Canada would like you to believe Bitcoin is not an unit of account or a means of exchange. They have given up on the idea that it is not a store of value. (Currently the Canadian dollar stands at 8th place on the Store of Value chart and Bitcoin at 12th place.) In fact, as Bitcoin  replaces the USD as the safest place to store your value they start to realize the if Bitcoin doubles its market cap more people will use Bitcoin than the Canadian dollar as money. Whether Bitcoin is used as a means of exchange or a unit of account is immaterial. The savers of society just want to hold onto money for a rainy day. Whether you have to convert your Bitcoin into dollars or just buy your Tesla via Bitcoin is immaterial. Once the Bank of Canada realizes that inflation is a lagging indicator and try to stop inflation they will realize that their tool kit boils down to one weapon and that is interest rates. 

The question isn't which company or person will add Bitcoin to their treasury next; but when will the Bank of Canada add Bitcoin to their balance sheet? Bitcoin has fully refuted the dangerous Keynesian dogma that money needs government backing to work.