The South African government is attempting to apply capital control regulations to the crypto industry. These regulations are an apartheid government relic and are difficult to apply to crypto. Bitcoin’s decentralized, permissionless and censorship resistant technology will find ways to circumvent regressive regulations. If government undertakes the large administrative burden required to execute these policies … More SMM: (ed.12) Illegitimate government policies raise self-custody imperative
The environment is precious, resources are scarce, and we are compelled to sustain this beautiful planet for future generations. Bitcoin’s detractors single out bitcoin mining as regressive and environmentally damaging, which catches the eyes of the increasingly powerful ESG and green movements. But this approach reveals a gross misunderstanding of the technology. This month’s article … More SMM: (ed.11) The ESG Solution
This article originally appeared in Bitcoin Magazine. Skeptics often argue that governments will ban Bitcoin when it becomes too important and threatens national sovereignty. At least these critics understand Bitcoin’s importance and the power that state currency monopolies exert over us. What they fail to understand is the power of distributed open-source technologies and the … More SSM: (ed.10) Worried about a ban? Then you need bitcoin more than you think
Today, bitcoin is idiosyncratic to traditional financial markets. Unlike bonds, equity and property, bitcoin’s returns are uncorrelated with economic growth, inflation, or risk premia. Bitcoin is related to these variables insofar as unsound money makes sound money more attractive, but no observable correlation exists. As a result, it can be tricky to position bitcoin in … More SMM: (ed.9) When bitcoin is fundamental & legacy markets are idiosyncratic
The internet has caused profound societal shifts in the past 30 years, but it’s influence isn’t fully realised. In this edition of the Sound Money Monthly I leverage off The Sovereign Individual’s historical analysis of technology. TLDR: A deeper technology-induced social and political regime change is underway, including a neutralisation of ever-growing nation state with … More SMM: (ed.8) Bitcoin – the next step in a tech revolution to the Digital Age
In January 2020 an internet chat group took down a Wall Street hedge and got one back for the little guy in a classic Robinhood story – or so you’re led to believe… While there’s a tinge of truth here, a reverse Robinhood story is on-going and unsound money is at the centre. [Reading time: … More SMM: (ed. 7) When will this Game of reverse Robinhood Stop?
2020 Sound Money Recap In 2020 we established that “sound money is the challenge and opportunity of our lifetime.” Central banks have pursued aggressively loose monetary policies since the 1970s, trying to solve every problem, social, economic, political or financial, with lower interest rates and debt. They’ve ignored the consequences like deteriorating economic growth, falling … More Sound Money Monthly: (ed. 6) Invest capital into a sound future
TLDR: Central banks positioning themselves as a solution to climate challenges is dangerous. They’ve promoted unsustainable debt fueled consumption for 50 years. Consumption is great but it needs to be based on production otherwise it’s unsustainable and bad for the environment. Micro level policy is futile while unsound money remains. Sound money is the environmentally … More Sound Money Monthly: (ed. 5) Central banking is an environmental disaster
TLDR: The foundations of social trust are being tested. Our unsound monetary system with its negative consequences is a driver of this trust deficit. Communities that adopt sound money assets take a proactive step towards trustworthy relationships and away from the insidious consequences of unsound money. Youtube summary video: Trust – there’s simply not enough … More Sound Money Monthly: (ed.4) Where can we place our trust?
Have you ever wondered why it’s challenging to buy a house and save for your family’s future? Debt and its unequal impact on wealth is the focus of this edition of the Sound Money Money. TLDR: Debt is driving wealth inequality. Society will remain at loggerheads until the short-term policies which encourage debt growth are removed. … More Sound Money Monthly: (ed. 3) Debt’s unequal impact on wealth