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@ Tomer Strolight
2025-04-25 18:53:56
How Bitcoin Fixes Money and, In Turn, Everything Else
(in 250 words):
Nature is driven by forces. And in nature, to obtain some resource, a being takes it, most often by force.
In human society, when something is taken by force from nature, like extracting iron from the earth, it is called being industrious.
But when something is taken by force from another human, it is called theft.
Since both theft and industry are possible using force, industrious people must use significant energy to deter theft, directing it away from further industrious activities.
If we could direct more energy to producing wealth rather than to defending it we would be richer and more productive, and there should be less incentive to steal. This would kick off a positive feedback loop of abundance creation making theft unprofitable in many more cases and further increasing abundance, but we must first close the loopholes that rewards theft.
In the realm of money, bitcoin achieves this. Bitcoin cannot be taken by force. It cannot be created except for with force that makes it harder to take bitcoins by force. It cannot be counterfeited, clipped, debased or devalued.
Modern money has many such loopholes. They incentivize many people to dedicate their lives towards getting that money through un-industrious efforts - they spend their time and energy on activities that do not create any real wealth, but rob those who do create it of their wealth.
By closing these loopholes, Bitcoin fixes money, and in turn, so much more.