A key point is that investments that will do well either have an income (e.g. BigTech) or no expenses (e.g. a hard asset such as Bitcoin). Thus ostensibly why Hayes chose Filecoin per Peter Killopsโ comment on this page.
First my summary of this blog.
โข With such a large debt-to-GDP ratio, the Fed is actually injecting stimulus by forcing interest rates higher because itโs both paying interest on reserves parked at its windows, while also increasing the interest payments of the U.S. Treasury. Volker didnโt have to try to control the market price (i.e. interest rate) because he wasnโt staring at a global depression, government collapse when he only did QT, as the GDP-to-debt ratio was minuscule. I must correct Hayes, that the Fed isnโt making a mistake by choice as they are trapped and have no other choice.
โข Eventually the fiscal situation will spiral into out-of-control inflation unless the government can ramp up to financial repression on steroids (ergo CBDCs) to force depositors to save at negative real interest rates. In this way, the inflation can be reduced/minimized (and hoping the governments can inflate away their debt-to-GDP problem over the very long-term) by essentially bleeding depositors of wealth with an inflation tax, albeit at hopefully lower inflation than it would be if unchecked with the worsening status quo.
โข To get the significant/surviving/most-favored financial players to play along given they would no longer be able to earn risk-free profits on reserves parked at the Fed, they will be allowed to offer ETFs (e.g. a Bitcoin ETF) for which they can take risk-free fees. As Hayes had explained in his Kaiseki blog (https://cryptohayes.substack.com/p/kaiseki-b15230bdd09e) this would allow speculative profits in CBDC fiat, but not delivery of the underlying asset. Thus speculative bubbles blown by still massive increases in QE to fund these massive fiscal deficits, because such financial repression will likely also require the government to become even more socialist (think UBI paid with CBDCs).
This plan will fail because Westerners arenโt Asians. Westerners will break out of this walled garden, when they can compare the freedom of the underlying asset to the ETFs which send profits back to overzealous governments which will essentially confiscate it all with CBDCs, taxes, wealth taxes, decrees, edicts, etc.. The truculent, uncooperative Westerners (especially North Americans!) will force the government to become even more totalitarian as the governments attempt to hold on for dear life (HODL).
Also Satoshi put a poison-pill in Bitcoinโฆbecause anyone who does not know the following will lose all their Bitcoins. There is a 13+ million BTC anyone can spend booty created by the 2017 soft fork. The pay-to-script-hash that enables the SegWit and all that Blockstream Power Rangers developers โusers controlled Bitcoinโ (User Activation Soft Fork ASAF) nonsense (i.e. the imbecile, erroneous concept that Bitcoin is a democracy and not here to destroy democracy), is anyone can spend in the legacy protocol. Satoshi intentionally laid this trap and set the blocks to 1 MiB, so that it will be immutable and the future reserve currency. Bitcoin is merely the 1988 Economic Magazine's cover story Phoenix. I even dug up the 1998 anonymous user group post that foreshadowed by essentially describing its design. Do you not see a 10 year cycle? 1988 announced. 1998 design leaked anonymously. 2008 launched. 2018 reached popular awareness. And 2028 it rises as the Phoenix fulfilled.
The 2017 soft fork never hard forked off, but it will be forced to. And legacy protocol hodlers will receive both forks, but those not hodling in addresses that begin with 1 will only receive the non-legacy fork and thus they will receive a nearly worthless token (because the miners will have first dibs on the anyone can spend).
The looming Bitcoin ETFs will be completely drained when the miners restore the Nash Equilibrium that the 2017 impostor soft fork broke, thus taking as โanyone can spendโ donations all BTC that are stored in addresses that begin with 3 or bc1. Actually what BlackRock will be doing is acting like they are innocent when everyone is fleeced and destroyed, while they are actually working for the colonial masters. This will be the hack on centralized keys that does not require access to the keys because it will come from the miners. Read the fine print on the Terms and Conditions of BlackRocks ETF filings. So what BlackRockโs ETF investors will end up with is essentially soft fork impostor tokens and they will be capital control marooned on the CBDC regime.
@Rob-yc7bs I was the person who figured out that Satoshi employed double-hashing precisely to combat quantum computing with colored coins. You do not know what you are talking about. Bitcoin is only fiat if TPTB control 51% of the mining hashrate (which I believe they will but they will not reveal their hand until it is time for the Antichrist).
Shouldโve read this blog first before commenting on ๐ฟ๐ค๐ช๐๐ก๐ ๐๐๐ฅ๐ฅ๐๐ฃ๐๐จ๐จ (https://open.substack.com/pub/cryptohayes/p/double-happiness?comments=true&commentId=41381042).
QUOTE: โ[chart showing Treasury interest payments exceed nominal GDP, growing faster than GDP] ๐ ๐ฆ๐ด๐ต๐ช๐ฎ๐ข๐ต๐ฆ ๐ต๐ฉ๐ข๐ต ~$23 ๐ฃ๐ช๐ญ๐ญ๐ช๐ฐ๐ฏ ๐ช๐ฏ [net] ๐ญ๐ช๐ฒ๐ถ๐ช๐ฅ๐ช๐ต๐บ ๐ช๐ด ๐ฏ๐ฆ๐ต ๐ช๐ฏ๐ซ๐ฆ๐ค๐ต๐ฆ๐ฅ ๐ฆ๐ท๐ฆ๐ณ๐บ ๐ฎ๐ฐ๐ฏ๐ต๐ฉ.โ
A key point is that investments that will do well either have an income (e.g. BigTech) or no expenses (e.g. a hard asset such as Bitcoin). Thus ostensibly why Hayes chose Filecoin per Peter Killopsโ comment on this page.
First my summary of this blog.
โข With such a large debt-to-GDP ratio, the Fed is actually injecting stimulus by forcing interest rates higher because itโs both paying interest on reserves parked at its windows, while also increasing the interest payments of the U.S. Treasury. Volker didnโt have to try to control the market price (i.e. interest rate) because he wasnโt staring at a global depression, government collapse when he only did QT, as the GDP-to-debt ratio was minuscule. I must correct Hayes, that the Fed isnโt making a mistake by choice as they are trapped and have no other choice.
โข Eventually the fiscal situation will spiral into out-of-control inflation unless the government can ramp up to financial repression on steroids (ergo CBDCs) to force depositors to save at negative real interest rates. In this way, the inflation can be reduced/minimized (and hoping the governments can inflate away their debt-to-GDP problem over the very long-term) by essentially bleeding depositors of wealth with an inflation tax, albeit at hopefully lower inflation than it would be if unchecked with the worsening status quo.
โข To get the significant/surviving/most-favored financial players to play along given they would no longer be able to earn risk-free profits on reserves parked at the Fed, they will be allowed to offer ETFs (e.g. a Bitcoin ETF) for which they can take risk-free fees. As Hayes had explained in his Kaiseki blog (https://cryptohayes.substack.com/p/kaiseki-b15230bdd09e) this would allow speculative profits in CBDC fiat, but not delivery of the underlying asset. Thus speculative bubbles blown by still massive increases in QE to fund these massive fiscal deficits, because such financial repression will likely also require the government to become even more socialist (think UBI paid with CBDCs).
This plan will fail because Westerners arenโt Asians. Westerners will break out of this walled garden, when they can compare the freedom of the underlying asset to the ETFs which send profits back to overzealous governments which will essentially confiscate it all with CBDCs, taxes, wealth taxes, decrees, edicts, etc.. The truculent, uncooperative Westerners (especially North Americans!) will force the government to become even more totalitarian as the governments attempt to hold on for dear life (HODL).
Also Satoshi put a poison-pill in Bitcoinโฆbecause anyone who does not know the following will lose all their Bitcoins. There is a 13+ million BTC anyone can spend booty created by the 2017 soft fork. The pay-to-script-hash that enables the SegWit and all that Blockstream Power Rangers developers โusers controlled Bitcoinโ (User Activation Soft Fork ASAF) nonsense (i.e. the imbecile, erroneous concept that Bitcoin is a democracy and not here to destroy democracy), is anyone can spend in the legacy protocol. Satoshi intentionally laid this trap and set the blocks to 1 MiB, so that it will be immutable and the future reserve currency. Bitcoin is merely the 1988 Economic Magazine's cover story Phoenix. I even dug up the 1998 anonymous user group post that foreshadowed by essentially describing its design. Do you not see a 10 year cycle? 1988 announced. 1998 design leaked anonymously. 2008 launched. 2018 reached popular awareness. And 2028 it rises as the Phoenix fulfilled.
The 2017 soft fork never hard forked off, but it will be forced to. And legacy protocol hodlers will receive both forks, but those not hodling in addresses that begin with 1 will only receive the non-legacy fork and thus they will receive a nearly worthless token (because the miners will have first dibs on the anyone can spend).
The looming Bitcoin ETFs will be completely drained when the miners restore the Nash Equilibrium that the 2017 impostor soft fork broke, thus taking as โanyone can spendโ donations all BTC that are stored in addresses that begin with 3 or bc1. Actually what BlackRock will be doing is acting like they are innocent when everyone is fleeced and destroyed, while they are actually working for the colonial masters. This will be the hack on centralized keys that does not require access to the keys because it will come from the miners. Read the fine print on the Terms and Conditions of BlackRocks ETF filings. So what BlackRockโs ETF investors will end up with is essentially soft fork impostor tokens and they will be capital control marooned on the CBDC regime.
QUOTE: โ๐๐ช๐ต๐ค๐ฐ๐ช๐ฏ ๐ช๐ด๐ฏ'๐ต ๐ณ๐ฆ๐ข๐ญ ๐ฎ๐ฐ๐ฏ๐ฆ๐บ. ๐๐ต'๐ด ๐ข ๐ง๐ช๐ข๐ต ๐ค๐ถ๐ณ๐ณ๐ฆ๐ฏ๐ค๐บ. ๐๐ฏ๐ฅ ๐ฃ๐ช๐ต๐ค๐ฐ๐ช๐ฏ ๐ธ๐ฐ๐ฏ'๐ต ๐ธ๐ฐ๐ณ๐ฌ ๐ฐ๐ฏ ๐ต๐ฉ๐ฆ ๐ฏ๐ฆ๐ธ ๐๐ถ๐ข๐ฏ๐ต๐ถ๐ฎ ๐ด๐บ๐ด๐ต๐ฆ๐ฎ.โ
@Rob-yc7bs I was the person who figured out that Satoshi employed double-hashing precisely to combat quantum computing with colored coins. You do not know what you are talking about. Bitcoin is only fiat if TPTB control 51% of the mining hashrate (which I believe they will but they will not reveal their hand until it is time for the Antichrist).