Bootstrapping Bitcoin
Get your channel membership here:https://www.youtube.com/@Bitcoin_University/join
In this video, I discuss the challenges that come with trying to launch a new cryptocurrency network and blockchain, and how fortunate Bitcoin was to have been able to negotiate this quagmire successfully.
To bootstrap a new network, you need to compensate miners either through new issuance (which dilutes existing holders) or through transaction fees (which assume organic long-term demand for block space).
While you are bootstrapping the miners, you also need the node count to grow, driven by authentic hodlers who want to use their own nodes to transact, and also want to participate in a circular economy, rather than participate in a quick pump and dump.
It's unlikely that Kaspa mining will be able to survive once its bootstrapping phase is over, thus adding one more crypto casualty to the 15 year body count.
Only Bitcoin has successfully negotiated this initial bootstrapping phase and begun to enter the circular economy phase.
Bitcoin has been very fortunate to survive the ongoing transition from block subsidy revenue to transaction fee revenue. Most of this is attributable to Bitcoin's fiat price going up.
Why has Bitcoin's price gone up? Because its foundation is a fanatical group of hodlers who aren't just sitting around waiting for a pump so that they can dump their coins and move on to the latest new shiny object crypto.
These hodlers buy a little Bitcoin, then start to go down the rabbit hole and get hooked. They start to run their own nodes (previous node bootstrapping problem solved).
They demand to be paid in Bitcoin, and they encourage merchants to accept Bitcoin-- both of which actions create transaction fee revenue for miners and help them to transition away from block subsidy revenue.
Over time, these hodlers are hardened and personally transformed by their hodling journey. They become stronger men and women. They move from high time preference living to low time preference living. They begin to prioritize exercise and good nutrition.
They go out in the world and build amazing things, since they're not glued to their monitors trying to trade the latest crapcoin.
As they become more and more low time preference, they marry and create new Bitcoiners the old fashioned way, and then raise them with good nutrition and the same low-time preference Bitcoiner values.
It's impossible for new coins to compete with this new Bitcoiner assembly line. You can't manufacture a culture like this. It needs to be bootstrapped quietly over many years.
That's why it's impossible for newer coins to compete. They all end up being flashes in the pan or pump and dumps, unable to achieve long-term organic demand and growth.
Bitcoin: there is no second best.
Not investment advice! Consult a financial advisor.
Is Kaspa the Next Bitcoin?
https://www.youtube.com/watch?v=GodfG2hMMXs&ab_channel=BitcoinUniversity
Bitcoin Dashboard:
https://bitcoin.clarkmoody.com/dashboard/
Bitcoin node count:
https://bitnodes.io/
Kaspa dashboard and node count:
https://kas.fyi/
Kaspa emission schedule:
https://kaspa.org/tokenomics-emission-and-mining/
Insights from a Kaspa miner:
https://x.com/MaximalMining/status/1807880771836752373
https://x.com/MaximalMining/status/1807882103381504317
I am not being paid or otherwise compensated by any company or cryptocurrency project that I mention in my videos. My opinion is not for sale. Please do not contact me with any affiliate or advertising deals.
#Bitcoin
#kaspa
#crypto
Disclaimer
Neither Bitcoin University, nor any of its directors, officers, shareholders, personnel, representatives, agents, or independent contractors (collectively, the “Operator Parties”) are licensed financial advisors, registered investment advisors, or registered broker-dealers. None of the Operator Parties are providing investment, financial, legal, or tax advice, and nothing in this video, on this YouTube channel, or at www.Trader.University or www.BitcoinUniversity.com (henceforth, “the Sites”) should be construed as such by you. This video, channel, and the Sites should be used as educational tools only and are not replacements for professional investment advice. Trading or investing in new and volatile assets like Bitcoin can be risky. Receive SMS online on sms24.me
TubeReader video aggregator is a website that collects and organizes online videos from the YouTube source. Video aggregation is done for different purposes, and TubeReader take different approaches to achieve their purpose.
Our try to collect videos of high quality or interest for visitors to view; the collection may be made by editors or may be based on community votes.
Another method is to base the collection on those videos most viewed, either at the aggregator site or at various popular video hosting sites.
TubeReader site exists to allow users to collect their own sets of videos, for personal use as well as for browsing and viewing by others; TubeReader can develop online communities around video sharing.
Our site allow users to create a personalized video playlist, for personal use as well as for browsing and viewing by others.
@YouTubeReaderBot allows you to subscribe to Youtube channels.
By using @YouTubeReaderBot Bot you agree with YouTube Terms of Service.
Use the @YouTubeReaderBot telegram bot to be the first to be notified when new videos are released on your favorite channels.
Look for new videos or channels and share them with your friends.
You can start using our bot from this video, subscribe now to Bootstrapping Bitcoin
What is YouTube?
YouTube is a free video sharing website that makes it easy to watch online videos. You can even create and upload your own videos to share with others. Originally created in 2005, YouTube is now one of the most popular sites on the Web, with visitors watching around 6 billion hours of video every month.
