To try to commit fraudulent transactions to the Bitcoin ledger is to deliberately waste resources on solving the proof‐of‐work only to watch nodes reject it at almost no cost, thereby withholding the block reward from the miner. Humans created money as an easier way to exchange goods and services, and gold quickly became the foundation of consistent standards. 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. Once people figured out you could exchange universally valued objects for goods, everything changed. There are good books available which give an introduction to Austrian School economics, not wholly tinged by a militant brand of libertarian ideology.

BTC Standard Hashrate Token BTCST - CoinGecko BTC Standard Hashrate Token BTCST - CoinGecko

It is crucial to the theory of interest rates, financial markets, and discounting factors in economic models. A major advantage in securing centralized credit is scale, as it appears quantitatively less risky to lend to large‐scale lenders. History shows it is not possible to insulate yourself from the consequences of others holding money that is harder than yours.

Therefore, if miners attempted to change the rules of the network, the blocks they generate would simply be ignored by the network members who operate the nodes, and they would be wasting their resources on solving proof‐of‐work problems without any reward. Saving reduces spending and because spending is all that matters, government must do all it can to deter its citizens from saving.

The Bitcoin Standard - Saifedean Ammous

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. The larger the firm, the easier it is for it to secure low‐interest funding, giving it a large advantage over smaller independent producers.

Beginning with a history of gold, Ammous looks at different types of money in history and shows how Bitcoin fits in. It is a narrow and partial history of money, excluding the ubiquitous role of credit and governance which are detailed in more comprehensive treatments of monetary history.

The Bitcoin Standard’: A review - CoinGeek ‘The Bitcoin Standard’: A review - CoinGeek

Ammousa, Bitcoin standard, poleg odlične obravnave teh tem vsebuje tudi enega redkih razsvetljenih in poučnih opisov bitcoina, na katere sem naletel, in predstavlja nujno branje za vse, ki jih zanima morebitna vloga bitcoina v sistemu svobodnega in zanesljivega denarja prihodnosti.When the author gets back on the actual topic of the book (and away from his conspiracy theory ramblings), the text makes a compelling case for the potential of bitcoin. 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. Seashells were used as money when they were hard to find, loose cigarettes are used as money in prisons because they are hard to procure or produce, and with national currencies, the lower the rate of increase of the supply, the more likely the currency is to be held by individuals and maintain its value over time. The security of Bitcoin lies in the asymmetry between the cost of solving the proof‐of‐work necessary to commit a transaction to the ledger and the cost of verifying its validity.

Bitcoin Standard Book Summary and Notes - Taylor Pearson The Bitcoin Standard Book Summary and Notes - Taylor Pearson

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. money that is easy to produce is no money at all, and easy money does not make a society richer; on the contrary, it makes it poorer by placing all its hard‐earned wealth for sale in exchange for something easy to produce.The book’s blind spots also demonstrate what undermines BTC’s ultimate narrative: like it or not, governments will regulate and seek control, regardless. None of the criticisms here are seeking to deny either that we have a major problem with runaway central banking, or that much of modern economics has lost its way.