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Bloated MVP

Cryptocurrencies Make Sense As Uncensorable Mediums Of Exchange

Cryptocurrencies are useful because millions of people want to make transactions that their governments want to prevent

  1. As a medium of exchange, cryptocurrency has a big advantage over digitized fiat because it’s much harder for a government or other middleman to stop you from conveniently and securely buying and selling whatever you want. This is admittedly awesome!
  2. As a store of value, cryptocurrency’s price will not go to zero as long as it has steady demand from people using it as a medium of exchange, but who knows if its market cap will tend toward $10B or $10T.

Medium Of Exchange

  1. Uncensorability — If your government can stop you from transacting in domestic and foreign fiat, or if third parties can interfere to block certain types of fiat purchases like porn and drugs, but you can still transact in cryptocurrency
  2. Irreversibility — If once a payment is received, the risk of having that payment reversed is low
  3. Privacy — If other people can’t see what transactions you made
  4. Stability — If cryptocurrency is less volatile than a country’s fiat currency
  5. Transfer Speeds— If you can transfer cryptocurrency faster than fiat
  6. Fees — If you can transfer cryptocurrency cheaper than fiat





Transfer Speeds and Fees

Store Of Value

  • P/E ratios justifiably go down in periods of high inflation
  • High interest rates raise the cost of capital for stock investment (a liquidity crunch)
  • Bonds offer higher yields, which causes lower demand for stocks

Why I hold Bitcoin, Ethereum and Monero

What does this mean for the rest of Web3?



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