If a digital currency has a centralised starting point (which they all do) it implies that the same thing can be started by anyone, anywhere, at any time. This implies that there is an infinite supply. An infinite supply means a fundamental, economic value of absolute zero. So, the paradoxical question is: How can a digital currency have a fundamental value when it’s the very starting point that implies it should not have one?
To apply this question practically it can be rephrased: If a digital currency can be created by someone or something then both the USA & China can create the very same thing themselves. If they do, then neither will use it due to political policy. So how can both the USA & China agree to use a currency when it’s the very starting point that discredits it?
This is the paradox that Satoshi Nakamoto solved that I think he deserves more credit for. So, how did he solve it? Satoshi Nakamoto wrote the Bitcoin white paper in the English language and released it to the western world but gave himself a Japanese pseudonym. This is how he was able to “decentralise” the centralised starting point of the Bitcoin network because his identity remained a mystery. By releasing the Bitcoin White Paper on 31st October 2008, but not starting the network until 3rd January 2009, Satoshi Nakamoto provided a common, equal & reasonable opportunity for anyone & everyone to start the network themselves (31st October 2008–3rd January 2009). It’s this common opportunity that provided commonality to the starting point of the network & therefore means it can be classified as a commodity.
It’s the neutral, organic growth of the network without any central point of authority or influence, over a period of 10 years that cannot be replicated & therefore neither the USA nor China can replicate it. This is the very reason why Satoshi Nakamoto had to step away from the project for a select period of time in order for the network to undergo this period of commoditisation so that the token it produced could be categorised as a commodity: 10yrs 362 days (3rd January 2009–1st January 2020).
To further understand the significance of using a Japanese pseudonym read my Medium article titled “Bitcoin: Why Satoshi Nakamoto?” linked here — https://medium.com/@sirtoshitv/bitcoin-why-satoshi-nakamoto-5149d17cda2
So, where does this leave the fundamental value of all other coins on separate blockchains? The various types of distributed ledger technologies other than Proof of Work (POW), that Bitcoin uses, include; Proof of Stake (POS), Delegated Proof of Stake (DPOS), Pre-mined, Hedera Hashgraph & IOTA Tangle. All these technologies have centralised starting points, which means both the USA & China can replicate them overnight & will therefore never use them. This leaves the digital currencies that run on them with a fundamental value of zero.
So, why do these other currencies have a price if their fundamental value is $0? The reason they have a price is that it represents a speculative price against the fundamental value of Bitcoin. When education catches up with speculation their prices will all match their fundamental values at zero.
Bitcoin uses Proof of Work (POW) technology, so does this give other coins that use POW fundamental value? The short answer is NO. Any currency that has a starting point from a central point of authority such as; Charlie Lee & Lite coin (LTC), Vitalik Buterin & Etherium (ETH), Charles Hoskinson Cardano (ADA) etc have a fundamental value of zero because they have all had a fundamental influence over the growth of the networks from inception. This explains reports that both Charlie Lee (LTC) & Charlies Hoskinson (ADA) exchanged almost all of their respective holdings for fiat $USD at the peak of the speculative bubble towards the end of the year 2017 & no longer encourage any further developments of their projects.
This particular type of practice where the creator of a cryptocurrency (with a fundamental value of zero) implies to others that it could one day have a higher value than Bitcoin, & encourages other people to buy in, only to push the price up for the purpose of selling their own holdings is known as an “Exit Scam”. Charles Hoskinson was featured in the Forbes 2018, Richest People In Cryptocurrency list with an estimated wealth of $500 — $600 million. He has since lavished large donations upon respectable institutions such as The Blockchain Technology Laboratory at Edinburgh University & a Cardano research centre at the University of Wyoming. https://www.forbes.com/richest-in-cryptocurrency/#5fe7cae41d49
The Bitcoin network now has various forks on the chain, so which one has the most fundamental value? The answer is simple, it’s the chain that will scale & provide the most utility. Bitcoin is a Medium of Exchange (MoE). A MoE is a tool that enables, encourages & accelerates the facilitation of trade. Trade is the most valuable ability in the world, which means Bitcoin is like to become the most valuable commodity in the world. To understand further how Bitcoin is likely to become the most valuable commodity you can read my medium article titled the same linked here: https://medium.com/@sirtoshitv/bitcoin-why-it-is-likely-to-become-the-most-valuable-thing-in-the-world-584b96576da7
In order to achieve this, it must facilitate trade in the best way possible, which means it must be the fastest, cheapest, most efficient, suitably scaled, regulatory compliant digital system in comparison to all others. To understand the function that gives Bitcoin its value you can read my medium article about speed, cost & scale linked here: https://medium.com/@sirtoshitv/bitcoin-speed-cost-scale-b6dc8c13a8a5
This only leaves the Bitcoin protocol that Satoshi Nakamoto defined in the Bitcoin White Paper as “Bitcoin: A Peer-to-Peer Electronic Cash System”. This protocol named Bitcoin Satoshi Vision is known as Bitcoinˢᵛ & has the ticker symbol (BSV).
To understand why the Satoshi Nakamoto’s Bitcoin protocol is known as Bitcoinˢᵛ & has the ticker symbol BSV read my Medium article titled: “Bitcoin: A Tail of Blockchain BTC/BCH/BSV” linked here — https://medium.com/@sirtoshitv/bitcoin-a-tail-of-blockchains-x3-eebb136457c7
The first phase of Bitcoin which was developing a neutral network is known as the “Tulip period”. This phase ended when Satoshi Nakamoto had the keys to the Tulip Trust returned to him on 1st January 2020. To learn more about the 2 phases of Bitcoin you can read my article titled the same linked here —https://sirtoshi.medium.com/bitcoin-its-two-developmental-stages-69935f61930d
Satoshi Nakamoto had a vision. That vision was Bitcoin. Bitcoin is Satoshi’s Vision. Bitcoin is BSV.
