Bitcoin is a belief system

Complex human societies are based on layers of belief systems. Most of these systems were created naturally and provided value as they helped to create social cohesion.

Money in itself is just a belief system. It’s not perfect and it doesn’t have to be optimal. It just has to exist because makes societies better than otherwise. Money does not exists in reality, it’s just used as a huge imaginary balance sheet that allows every human in the world to record information about who deserves to use more resources than others in a finite world.

Money will never be perfect, as it’s used as a model to represent reality. But what great advantages it offers societies in its current state.

Our current fiat belief system is a money system based on our trust in governments: it’s the belief that the most powerful and stable institutions standing in the world today will make whatever is necessary to give value to a currency, mostly by means of taxation and legitimate violence.

The fiat system has now leveraged its power to create a massive and ever increasing amount of government debt (via populism) that will be factually impossible to pay. Inflation has punished savers to reward debtors and cantillon effects have produced a wealth inequality that has been growing dramatically. Debts are reaching unseen levels, taking the system to a production halt as debt has no more room to grow the economy. All these factors have taken us to an unacceptable unfair system.