In today’s bitcoin and cryptocurrency news, learn about how people everywhere are starting to lose faith in their societies’ pillar organizations. It’s obvious to everyone who uses their brain that our monetary, financial, and governing systems are rotten to the core, yet impossible to change. On the other hand, a year ago, the price of Bitcoin (BTCUSD +1.08%) was thousands of times higher than it is now. On the other hand, the miners who support the largest cryptocurrency in the world are not doing so well at the moment, as evidenced by their stock price. Lastly, over 80 million retailers around the world are now able to accept cryptocurrency payments because to Visa’s partnerships with 60+ cryptocurrency companies, such as wallet service providers and cryptocurrency exchanges.
What Bitcoin Will Do to Cryptocurrency Governance
Original Source: End of the Monopoly: How Bitcoin Will Usher in a New Era of Governance in Crypto
People are losing trust in global institutions. Any intelligent person can see that governance, finance, and money are corrupt, incompetent, and inescapable.
The globe is in a constant state of crisis, lurching from one emergency to another with growing speed and instability. No progress or growth. Hate, nihilism, and pessimism are popular.
Edan Yago found Sorvyn. This is an excerpt from CoinDesk’s daily crypto news digest, The Node.
Our institutions’ many flaws stem from monopoly power.
Monopolies are harmful for everyone but the monopolizing firm. We lose common sense when it comes to the state, the biggest monopoly. Why? Because there’s no other choice. A single body must oversee law and violence within its borders.
Satoshi published Bitcoin on Jan. 3, 2009, and gave us an alternative. He showed you can build rules without an administrator. He showed that this may be applied to the most fundamental institution of property and law: money.
Bitcoin showed that all users may be superusers and that admins are unnecessary.
What Bitcoin demonstrated for money, tokens have since demonstrated for other digital property. Decentralized finance (DeFi) is bringing into question the need for administration in financial services. Web3 (or 5) is an initiative to eliminate internet service monopolies.
We are part of the most profound transformation in human history, although few appear to realize it. The endgame of this revolution is that we will eventually rid ourselves of the most harmful and destructive monopoly of them all: the state monopoly.
Wrong turns
Since most people don’t understand the final destination, we take many erroneous turns. “I’m in it for the tech” or “blockchain not Bitcoin” say those who see another Silicon Valley-style tech disruption. They are sidetracked and obsessed with features instead of principles, bringing admins back into authority to get faster transactions or larger throughput.
Bitcoin’s clever design is that it’s a tool for liberty disguised as a get-rich-quick scam. Much of “crypto” has perversely flipped this on its head, spewing out get-rich-quick schemes as weapons for economic independence.
Aside from crypto, “bitcoiners” often miss the historic occasion. From a reliance on centralized services to the hope for institutional adoption, most traders and HODLers are more interested in “number go up” than “authorities brought down.”
For all the conviction of token Bitcoin maximalism, it misses the point. Its basic tenet is that no other tokens outside BTC should exist. This is monopolist logic applied to Bitcoin. The outcome is a myopic fixation on money as the source of all evil. A conviction that we can fix all issues with money.
Money, if it’s the root of all evil, is opposed to Bitcoin. There have been thousands of years of anti-market philosophy, at least since Jesus shattered the merchants and money-changers. Money corruption is a severe problem, yet even a casual study on human history shows it is not the sole or even the most serious.
Some of the most ruthless and authoritarian regimes used the gold standard. Sound money didn’t prevent the slave trade, August proscriptions, or the numerous massacres in between. Human history is a chronicle of gang violence and mob bosses. Fixing money is a heroic start to fixing monopolistic power, but it’s not a universal miraculous cure.
Satoshi’s legions
In a prideful moment, Roman General Pompeius Magnus said, “I need only stamp my foot, and armies will grow up all over Italy.” This is how humanity’s mob lords have ruled the world for centuries: by calling forth faithful physical might.
Then came Satoshi, the boss of no one, who clicked his mouse and legions of miners sprung up all over the world, dedicated to coding laws and function, not man. Satoshi showed us that a decentralized consensus mechanism may summon forth and coordinate power in the real world.
Taken to its logical conclusion, it becomes evident that we can and will replace mob bosses and central admins with leaderless consensus norms. We may not rid ourselves of violence, power, and policing, but we no longer need a governmental monopoly to prevent chaos.
We, the legions faithful to Satoshi’s ideals, will build new institutions of government based on voluntary participation and free market incentives. Blockchains, decentralized autonomous organizations (DAOs), and P2P networks will be the antithesis of monopolies; they will compete for users and members.
We shall be masters of code, not the other way around. We’ll create a world where, like BTC, every property is cryptographically confirmed, enforced, and immutable. To do so, we will design mechanisms that incentivise and coordinate decentralized “police.”
The world will replace the state with Nakamoto consensus, not because it’s right, but because it’s lucrative. Half the world’s GDP is controlled by governments. Once we discover we can do to government what we’re doing to money, the game theory will play out. The next Bitcoin-sized asymmetric bet, after sound money and sound finance, is sound government. Get in early.
Like Prometheus, Satoshi gave fire then left. Its flame leads the road to the next era of human development. We’ll abolish central powers that monopolize sovereignty. With them gone, we will be our own lords.
Bitcoin’s Future Appears Secure, but Other Crypto Miners Continue to Suffer
Original Source: Bitcoin Is Looking Solid, but Some Crypto Miners Are Still Getting Crushed
Bitcoin prices remain a fraction of a year ago, but the outlook has improved. The same can’t be said for the world’s largest cryptocurrency’s miners, and the stock market shows it.
Core Scientific CORZ +1.99% (CORZ) shares have fallen 78% since Thursday, and Argo Blockchain ARB –51.92% (ARBK) fell 55% on Monday. These two publicly-traded crypto miners are encountering debt issues. Bitcoin prices suggest otherwise.
Bitcoin has fallen this year, in part due to the link between cryptos and other risky assets, which has intensified in 2022’s severe financial environment.
Things have improved. Bitcoin prices stabilized in September and October, but the stock market was tumultuous. Last week’s gain pushed Bitcoin beyond $20,000, where it’s stabilized.
Analysts are cautiously predicting Bitcoin’s bear market bottom. According to crypto asset manager CoinShares CS 0.00%, money is flowing back into Bitcoin funds and out of those who bet against it for the second week in a row. Since summertime, the Bitcoin options market has been negative.
Bitcoin miners are in danger and becoming worse. Business model helps explain why.
Bitcoin miners are essential to a procedure termed “proof of work” They utilize computers—often warehouses of them—to solve complex puzzles to secure the network and execute transactions; they’re paid in Bitcoin. This procedure is energy-intensive. How many miners participate influences how complex these challenges are and how much energy is needed.
Sky-high energy prices, growing competition, and months of low Bitcoin prices are wrecking miners’ balance sheets. Miners’ shares, which have long tracked Bitcoin’s price, have decoupled. Dropping.
According to a Thursday filing, Core Scientific’s board decided not to make payments due in late October and early November owing to liquidity concerns. The company stated it was considering raising financing, restructuring, or filing for bankruptcy.
Argo Blockchain agreed to adjust payment schedules to free up funds in early October. Argo stated it would sell mining machines and had a deal with a strategic investor to raise $27 million. Monday, the company stated it no longer expects the deal to go through and is seeking additional financing.
Neither firm commented quickly.
Christopher Brendler, a D.A. Davidson analyst, stated on Oct. 21 that “although we still believe in Bitcoin and see additional potential in the miners, it’s time to be even more cautious”
While Brendler lowered the sector, he recommended Riot Blockchain (RIOT) and Marathon Digital (MARA). Core Scientific and Argo Blockchain were both Neutral.
Wall Street has noticed the troubles at crypto miners, but ratings may not reflect the seriousness.
Visa’s New Bitcoin, Ethereum, and Ripple (XRP) Wallet
Original Source: BREAKING: Visa trillion dollar company to launch Bitcoin, Ethereum and Ripple (XRP) wallet
Finance giant Visa has submitted two crypto-related trademark applications with the USPTO, revealing ambitions to oversee bitcoin transactions and establish a virtual environment for recreation, leisure, and entertainment.
The October 22 applications, released by Washington-based trademark attorney Mike Kondoudis on October 27, showed the corporation planned to launch cryptocurrency wallets and auditing software.
The firm plans to provide temporary use of non-downable software allowing users to see, access, store, and send Non-Fungible Tokens (NFTs) and other digital collectables.
Visa’s crypto odyssey began in 2014 when former CEO Charlie Scharf called Bitcoin “interesting.” Alfred Kelly, the firm’s current CEO, said crypto may become “very popular” in the next five years. He wanted to make sure the company was in the middle of the crypto revolution.
Visa has partnered with over 60 crypto firms, including wallet service providers and exchanges, to enable crypto payments at over 80 million retailers worldwide. In 2020, the San Francisco payments firm submitted a patent to generate digital currency using blockchain technology on a centralized computer.
It introduced crypto advising services in December 2021 to educate customers about the new asset class. The firm bought a $150,000 Crypto Punk NFT in August and then launched a program to help producers understand NFTs. Visa worked with FTX to launch FTX-branded debit cards throughout Latin America, Asia, and Europe.
Visa isn’t the only institution dabbling in crypto. Western Union and Paypal filed crypto-related trademarks with the USPTO last week. Formula One, Ford, Facebook owner Meta, E-bay, Mastercard, and Formula One all registered for crypto-focused trademarks in the past year.
Summary of today’s bitcoin and cryptocurrency news
To sum it up, the world will replace the state with Nakamoto consensus because it is profitable. Half of the world’s GDP is governed. Once we realize we can do to government what we do to money, game theory will play out. After sound money and banking, sound governance is the next big asymmetric gamble.
On the other hand, while Brendler lowered the sector, he recommended Riot Blockchain (RIOT) and Marathon Digital (MARA). Core Scientific and Argo Blockchain were both neutral. Wall Street has noticed the troubles at crypto miners, but ratings may not reflect the seriousness.
Lastly, Visa isn’t the only company dabbling in crypto. Western Union and Paypal filed crypto-related trademarks with the USPTO last week. Formula One, Ford, Facebook owner Meta, E-bay, Mastercard, and Formula One all registered for crypto-focused trademarks in the past year.
