May 282017
 

I met my friend, Morpheus (now in federal custody), in 2005 at a meeting of the Libertarian Party of Palm Beach County in Florida. At the time I was struck by how quickly he understood the ethics lessons that I was teaching then. We quickly became good friends and stayed in touch after he moved to Arizona about 6 months later.

In 2012, just 12 months to the day after my wife’s death, I pulled up stakes and moved to the Phoenix area to become part of the freedom activist community in which Morpheus was a well known participant. Since then I’ve had many opportunities to admire his honesty, courage and fortitude in resisting the evils of mala prohibita (victimless “crimes”) enforcement.

The price he has paid for his extraordinary freedom has been severe. He has been robbed of multiple vehicles, beaten, tased, cuffed, kidnapped, strait-jacketed, prosecuted, fined, and caged just for being free – NOT for harming anyone. In fact, he is currently in prison for buying and selling BitCoins – a commodity comprised of strings of numbers and letters. What could be more absurd?

He was arrested on April the 20th while making a BitCoin deal, and then his apartment was raided and he was charged with owning a handful of ammunition that was found in his apartment (no guns though). So now the feds are trying to build a case against him, probably for “money laundering”, but they have as yet not charged him and have not specified a “probable cause” for his arrest. Meanwhile they won’t let him bail because they consider him a “flight risk” – which in fact he is NOT. And he is languishing in prison until a hearing or trial scheduled for August.

So I am appealing to all you freedom-loving, anarchist, libertarian, or constitutionalist, “activists” to ante-up for Morpheus’s defense – because if you don’t step up and help him, there will likely be no one to come to your defense when the Nazi thugs come for YOU… and they will I can guarantee.
I’ve talked to attorney  Marc Victor on Morpheus’s behalf, and he will charge $800 just to go out to where Morpheus is being held and do an initial interview. His actual defense in court is likely to run tens of thousands of dollars.

This case is likely to be a precedent setter. The federal government cannot afford to let anyone buy, sell, or financially transact anything without their demanding a slice of the revenue (in taxes).  So the outcome of this case could result in your total financial enslavement, OR it could set a precedent that will legitimize the first truly free market on the planet in over 8,000 years.

Make no mistake. Unless we defend Morpheus with every resource available to us, his fate will eventually become ours. If you don’t want to rot in some gulag, donate for his defense while you still can.

Via PayPal: borisheir@yahoo.com

Via Bitcoin: 1CnMqpF3dUoHSUg3r4ngAsJoNhSTBU7TY

If you’d like to write to him, here is his address in captivity:
Thomas Costanzo
#373285408
CAFCC WEST
P.O. BOX 6300
Florence, AZ 85132

Live free,

Oct 062015
 

The probability of a major dollar crisis is very high. Things are mirroring the conditions that existed in 2008 except much worse. Russia and China have stopped buying treasuries and are now bypassing the Petrodollar and buying oil directly from the Middle East. China has started their own International Bank to compete with the IMF and World Bank. So far they have signed on 150 + countries as founding members of this new Bank. They plan on backing their currency with gold. They have even convinced most of the US allies to join this new bank, including UK, Germany, France, and many others. The dollar is losing its status as the Worlds reserve currency which is a death blow. Many of the top financial people in the US that predicted the 2008 crisis are getting their money out of the dollar and recommending that others do the same. Even Jamie Diamond the head of JPMorgan Chase (the largest bank in the US) has said he expects a major event to take place with the dollar very soon.
The dollar is not immune from the laws of economics that have existed throughout history. All fiat currencies eventually fail and the sign of the end is when the central bank (the Fed) of the country starts printing so much money that the debt becomes unsustainable. Even the US Treasury just came out with a report that said the US debt is unsustainable and will cause the dollar to crash unless congress balances the budget immediately. Congress is not capable of fixing this problem.

It is a little scary, but I don’t think he is a fear monger. He has a lot of credibility and really believes this is a likely senerio and he is just one of many that are saying this. This is not a conspiracy theory. Its his opinion based on years of experience.

 

Feb 132015
 

Simon BlackSimon Black on board with Bitcoin

Looks like Simon Black from Sovereign man is starting to get on board with Bitcoin.  He explains what money is and how it is being manipulated.  Money is a “token” of work performed or energy expended. A Monetary system is simply a machine that accounts for the stored value represented by the tokens and and their transactions. Gold and Silver “tokens” have been used for millennia to perform this function.  The reason these metals were used is because they are scarce, durable, divisible and portable.  They can’t be manipulated… easily anyway.  Originally, Paper Money was a “receipt” of a “token”.  It had some advantages of precious metals: more portable, and it was more divisible. By making these improvements, it facilitated greater specialization and growth of the market as a whole.

Throughout history when Banks and Governments found they could manipulate the paper money they did the temptation is just too great.  The truth is that if you trust one person or one organization with your money they will find a way to STEAL it.  Then they acquire control of government and have them write “laws” protecting their criminal enterprise.  someone with your and not one man in a million would be able to diagnose it. Paper money can EASILY be manipulated, for those who are in control of the “System”.

Lenin was right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose. John Maynard Keynes

People have to expend energy, or work to acquire money.  However Banks and Governments have the ability create these “tokens” with a key stroke on a computer. No real work is performed so when they add more “tokens” available to themselves, they cause inflation for us, as they grant themselves almost unlimited power.

Bitcoin eliminates the ability of the Banks and Governments to manipulate the money supply.  It is simply a decentralized accounting system that allows everyone to see how many “tokens” each address contains. These “tokens” have value because people are willing to trade something else of value for them, just like Gold and Silver.  Gold, Silver and Bitcoin have similar properties: they are all scarce, durable, divisible and portable.  Bitcoin is superior to paper money in that is more easily divisible, immune to counterfeiting, especially by the BORG and highly portable crossing international boundaries in milliseconds with the possibility of being intercepted. It’s simply a digital age solution to a industrial age problem.

I have been following Simon Black for a few years he speaks the truth and seems to be coming around to Bitcoin in his podcast.

This is exactly how the banking system will collapse

Here is Simon Black’s podcast where he describes what I am talking about. You can fast forward to the part about bitcoin at 44 minutes into it.

Our goal is simple: To help you achieve personal liberty and financial prosperity no matter what happens.

If you liked this post, please click the box below. You can watch a compelling video you’ll find very interesting.

Will you be prepared when everything we take for granted changes overnight?

Just think about this for a couple of minutes. What if the U.S. Dollar wasn’t the world’s reserve currency? Ponder that… what if…

Empires Rise, they peak, they decline, they collapse, this is the cycle of history.

This historical pattern has formed and is already underway in many parts of the world, including the United States.

Don’t be one of the millions of people who gets their savings, retirement, and investments wiped out.

Apr 302014
 

Steve Jobs on coming reset to Bitcoin

Sovereign Man modified by Morpheus original article
Wisdom from Steve Jobs on the coming system reset

April 30, 2014
Santiago, Chile / Mesa, Arizona

Hi all fans of Simon Black and Sovereign Man.  I got this in my email. After I read it and have to suggest that Simon doesn’t carry his thought to the logical conclusion.  BitCoin IS the future, not metals or Banks in other jurisdictions are still part of the BORG and for that reason they are not to be trusted in any way shape or form.  Bitcoins properly dealt with are safer than the gold in Fort Knox, if there is any there, that is.

“Money” is a concept of the mind, it doesn’t exist in the real world.  It is only exists as construct of the mind.  Here is the Progression:

Agrarian Age: In this era there was no: electricity, Internet, cars, trucks, planes, trains, running water, Walmart, Circle K, running water in your house, newspapers, or mail services, some people thought the world was flat.  This age is marked by Barter, and with the rise of Roman Empire the “invention” of gold and silver as “money”. Keep in mind during    However in their lust for expansion and debasement of the coin through clipping and non precious alloys being added caused hyperinflation.  This gave rise to the dark ages with control going to the Roman Catholic Church, and all the Flat Earth sillyness.

Industrial Age: Moving out of the dark ages was marked with the “invention” of Paper Money with the “invention” of the printing press, they say they were printing Bibles, “Riiight”,I say “they were printing money Guttenberg wasn’t printing Bibles’. That coverup story is for the slaves and no different than the cock and bull 9/11 coverup.” This age is marked with the enslavement of humanity to debt, debt that is created by the banks to pit human against human to create governments to “referee” all disputes.  Of course they never indict themselves for criminal behavior.

Digital Age: This age is marked with the “invention” of the “computer” and the “Internet.” These “inventions” created a totally new kind of money one that could not exist with the previous systems to build on.   That new technology created a crypto-currency known as Bitcoin. There are other alt coins like:  Litecoin, Namecoin, Mastercoin to name a few.  To attempt to go back to the past and use the technology from an age that is so long gone is a mistake. I like to ask people “How come you don’t have a phone with a really long cord instead of a cell phone?”. The simple reason is because the new technology, the cell phone, replaced the corded phone so no one uses corded phones much any more.  To have be against bitcoins is like being against cell phones when they came out.  Those who were the Luddites back in the beginning of the industrial revolution quickly disappeared or got ran over.  We can’t take Gold and Silver into space its way too heavy.

Sure its a good idea to have gold and silver in case the aliens or the machines turn off the power, however a prudent person would also want to stock up on 9mm 40 and 45 cal double ought buckshot, food , water and other supplies. When you look at the progression of the price and the market cap a person would have to be out of your mind to not get involved with bitcoin.

So read both articles and see which one comes to a better conclusion.  Simon hit me up if you like m-o-r-p-h-e-u-s<at>t-i-t-a-n-i-a-n-s<dot>org

Steve Jobs used to tell a very inspiring story about an article he read in Scientific American when he was a boy.

He said that the article measured the ‘efficiency of locomotion’ of various species– essentially how many calories different animals spend getting from Point A to Point B.
The most efficient of all? Not human beings. Not by a long shot. It was the condor. The condor expended the least amount of energy per meter or kilometer traveled. Human beings were pretty far down the list.

But as Jobs recounts, the authors had the foresight to also test the efficiency of a human being on a bicycle. And this absolutely blew all the other species away.

Jobs later said that this was incredibly influential on his thinking because he realized that human beings were fundamentally tool creators. We take our situation, however grim or rudimentary, and we make it better.

There’s undoubtedly a lot of bad news in the world these days. Some people realize it. Others refuse to believe it and stick their heads in the sand. Our century-old industrial age monetary system is unraveling before our very eyes.

This absurd arcane structure in which we award a tiny central banking elite with the dictatorial power to control the money supply in their sole discretion is now drowning the world in paper currency.

ALL financial markets are manipulated by central banks, predominantly the Federal Reserve. One human or possibly a reptile in a human woman outfit — Janet Yellen– has the power to affect the prices of nearly everything on the planet, from the wholesale price of coffee in Colombia to the cost of a luxury flat in Hong Kong.

Moreover, politicians in some of the most ‘advanced’ economies in the world (Japan, the US, France, the UK, etc.) have accumulated so much debt that they have to borrow money just to pay interest on the money they have already borrowed.  Most would call this insanity.

They are and continuing to saddling future unborn generations with a debt that is SATANIC.

They wage endless, costly wars, murdering millions. They spy on their citizens. They spray poisons in the air. They inject fluoride, a carcinogen into the water. They arrest people for the burning a plant.  They tell people what they can and cannot put in their bodies. They confiscate private property and wages at the point of a gun.

They abuse the population with legions of heavily armed government agents (thugs). They conjure so many codes, rules, regulations, laws, and executive orders that it becomes totally impossible for any individual to exist without being guilty of some innocuous, victimless crime.

And they arrogantly masquerade the entire ruse as a FREE SOCIETY.

>None are more hopelessly enslaved than those who falsely believe they are free.Johann Wolfgang von Goethe

This system is on the way out. It will reset.

Like feudalism before, our system will go the way of the historical dust bin. And future historians will look back (just as we view feudalism) and say “why did they put up with that nonsense…?

This reset is nothing to fear. Human beings are incredible creatures who have a long-term track record of growth. We rise. We progress.

Or more appropriately, we ride bicycles. We create tools to overcome our challenges. We create new forms of currency.  The new currency will be in the form of a crypto-currency. The most prevalent in the world is called Bitcoin. You need to wake up and learn why Bitcoin is so much better than the current model.

Your industrial age country’s currency (paper debt money) is being rapidly debased, you could hold some savings in a different currency. Or you may hold agrarian currency (precious metals).  Or move into the future with Digital money…Bitcoin!

Freedoms are being rapidly degraded in almost every country in the world!  Make a decision to stop funding the destruction they cause. Get your bitcoins now.!

I liken all of these to wearing a seatbelt– another one of humanity’s marvelous tools.

You will be better off for holding your funds in a bitcoin wallet, where your money is safer there than all the gold in fort Knox, that is if there is any gold there at all. Or for wearing a seatbelt. But if the worst happens, it can make all the difference in the world.

Buckle up with Bitcoin.

You never know an accident is about to happen until it’s too late. But the warning signs of danger are all there: it’s raining and the road is slippery, fog has descended and visibility is severely limited. It’s an ominous evening.

Make sure you have your Bitcoin seatbelt on.

Until some other time in the Future
Morpheus, peace out. Thank you Simon Black!

Feb 172014
 
By Russ Wiles The Republic | azcentral.com Sat Feb 15, 2014 6:52 PM

Imagine that moment, maybe 3,000 years ago, when an artisan in the Middle East one day got paid not in grain but in shiny silver coins. Or that time in Colonial America when a weaver or blacksmith received wages not as coins but in freshly printed paper currency.

Both events, or something like them, marked major milestones in the evolution of money, and they had profound impacts for society and economic development.

Many people think society is now on a similar cusp with digital currencies.

The fact that bitcoins, the most prominent form, marked their fifth birthday this year strongly suggests that digital money is here to stay. Bitcoins still are not widely embraced by the public. They’re also somewhat cumbersome to use, confusing to non-tech geeks and subject to wide price swings. Yet they continue to gain acceptance. Overstock.com recently declared that it would take bitcoins in payment. The Sacramento Kings basketball team is planning to accept them for tickets. Virgin Galactic is taking them for future space flights.

Ajay Vinze, an associate dean and professor of information systems at Arizona State University’s W.P. Carey School of Business, believes digital currencies right now are about where the Internet was in 1993, shortly before it went mainstream and altered human business and communication forever.

“It’s at the early stages of being practical, when everyone’s testing it,” he said. “But once you see 100 million people using it, you’ll take a look, too.”

We’re not there yet. A December primer by the Federal Reserve Bank of Chicago estimated 30 bitcoin transactions happen every minute. That’s well below the 200,000 transactions per minute on the Visa credit- and debit-card network, but bitcoin transactions tend to be bigger in value, and commerce is growing fast.

Many media reports have been skeptical, warning that bitcoin could be a fad, if not a bubble, and pointing to recent wide price fluctuations and security stumbles. BitStamp, a Slovenia-based website that allows users to swap bitcoins for dollars and other currencies, last week fell victim to a cyberattack that forced it to halt withdrawals. Mt.Gox, another large exchange in Tokyo, cited a software snafu of its own that halted withdrawals. The two mishaps prompted one blogger to wonder whether the bitcoin world is ready for prime time.

In a January survey of 1,000 people by TheStreet.com, 76 percent of respondents said they’re not familiar with bitcoin and 79 percent vowed to never use digital currency.

Because of the anonymous nature of transactions, bitcoins also have been implicated in money laundering and other illicit commerce, with federal prosecutors last month filing charges against two individuals for allegedly using the coins to buy drugs.

Yet dollars also are used for illegal activity. And despite these and other setbacks, bitcoin is still around and growing.

It’s already an acceptable means of payment. Could it emerge as a full-fledged currency, perhaps even a dominant one?

Peter Steinmetz, a Valley medical researcher, got intrigued about bitcoins through his interest in computing. Now he uses them to buy gift cards, sold by various online firms, that can be redeemed for groceries and other products at Target and other retailers. Steinmetz has been tracking bitcoins for the past four years and predicts they eventually could supplant dollars, euros, yen and other global currencies. “The long-term prospects are extremely good,” he said.

More businesses are accepting them. The Rose Law Group in Scottsdale last summer announced it would take bitcoins as payment for legal services, apparently becoming the first law firm in the nation to do so. Partner Ryan Hurley said the company has attracted three clients who paid this way.

“It’s a very minor part of our business but an increasingly important one,” said Hurley, who has started to develop an expertise in bitcoin-related law. “Once you go down the rabbit hole, there’s a lot to look at.”

New way of thinking

Ah, the rabbit hole. It’s common to hear bitcoin enthusiasts make a reference to the term from “Alice in Wonderland” because it does require a new way of thinking about money. For thousands of years, humans required something tangible, primarily metal coins or more recently paper notes or plastic cards, as evidence that these monetary objects have value. Confidence has been affirmed by the issuance and regulation of money by governments.

Digital currencies represent a radical break from all that. They provide a way to conduct business through the Internet, person to person, without any involvement by a financial intermediary or government entity. The original paper that conceptualized bitcoins envisioned “a purely peer-to-peer version of electronic cash” that could be sent “without going through a financial institution.”

Transactions can be transmitted across national borders on a nearly cost-free basis. They’re quick, taking 10-30 minutes or so for the community of online users or “miners” to confirm each bitcoin transaction and thus validate that a coin hasn’t been spent previously.

Bitcoin allow you to send any amount to any person anywhere in the world,” said Steinmetz.

Because bitcoin transactions are direct, with no involvement from the financial system or governments, it raises questions about the role of central banks and other entities. If bitcoin usage catches on in a much bigger way and government influence wanes, that could be good or bad for economic regulation and development, depending on your viewpoint.

If bitcoin develops into a major currency, supporters predict it would be less vulnerable to inflationary pressures, because the supply of coins is designed to increase at a slowing pace and eventually become fixed at around 21 million units.

Governments have been watching from the sidelines so far, although New York’s Department of Financial Services is working on regulations that might cover capital requirements, permissible investments and consumer disclosures. Among the warnings to consumers: Once you make a bitcoin transaction, it can’t be canceled or reversed.

Role of governments

Greater government regulation is a possibility. It’s conceivable that one or more nations might prohibit their residents from using or holding bitcoins.

On the other hand, official government sanctioning of bitcoins or other digital currencies could spur rapid acceptance. Steinmetz thinks this initially might happen in a relatively poor nation that doesn’t want to shoulder the cost of maintaining its own currency. Ecuador abandoned its national currency in favor of the dollar more than a decade ago, and U.S. currency is the de facto standard in Panama and Costa Rica.

The involvement of governments as the bitcoin network matures will be a key development to watch.

“Although some of the enthusiasm for bitcoin is driven by a distrust of state-issued currency, it is hard to imagine a world where the main currency is based on an extremely complex code understood by only a few and controlled by even fewer, without accountability, arbitration or recourse,” wrote Francois Velde, a senior economist who wrote the Chicago Fed primer.

What happens if the Bitcoin network comes under harrassment or attack, especially as the value of the coins increases from current levels worth around $1 billion? “Bitcoin is free of the power of the state, but it is also outside the protection of the state,” Velde wrote.

For bitcoin to gain traction, it will need broader public trust and familiarity. That could be a challenge. Everyone knows that a dollar bill can be accepted and readily used for payment elsewhere. So too for foreign currencies, gold and so on. But what about a monetary unit that’s stored on an encrypted computer file?

Novices also will need to learn how to conduct transactions and protect themselves. You start the process by creating a virtual “wallet” protected by cryptography. You use secret codes or “keys” imbedded on your computer to unlock your wallet so you can spend bitcoins. It sounds weird and rabbit-hole-esque. On the other hand, said Vinze, young adults who are comfortable with the digital world and change in general are among the strongest proponents of bitcoin use.

Internet similarities

The bitcoin system is transparent and jointly controlled by users, much like the Internet. But the mathematical underpinnings, which dictate how coins are created and safeguards put in place, are beyond the understanding of the general public.

“At first it was basically a puzzle contest for cryptographic hobbyists, with a prize for solving an endless battery of puzzles,” wrote Nicholas Colas, chief market strategist at ConvergEx Group, a securities brokerage in New York. “Then, in 2011, bitcoin began to find an actual following.”

Perhaps the comprehension part won’t matter much, assuming bitcoin continues to operate as intended. Most people don’t understand the technical underpinnings of other financial innovations. Hardly anyone thinks twice about buying stuff over the Internet using credit and debit cards that also make use of cryptographic safeguards. The inner workings of the Internet itself are beyond the mental grasp of most mortals.

“Most people don’t want to know how electricity works, either,” Vinze said. “You just want to flip the switch and know that the lights will come on.”

Methods of payment that would have sounded absurd generations ago have become mainstream. The transition from barter to coins was the giant leap, and that was followed in later centuries by a monumental shift to paper currency. Recent decades have seen the rise (and, in some cases, fall) of checkwriting, ATMs, credit cards, debit cards, gift cards, prepaid cards, automatic bill payments, rewards points, point-of-sale swiping, banking on cellphones and more.

People adapt, and they might just be ready for bitcoin.

Bitcoin basics

Here are answers to typical questions about bitcoins.

What are digital currencies? Any currency is a means of exchange, a store of value and a unit of accounting or pricing. But unlike dollar bills, metal coins or silver bars, digital currencies aren’t tangible, with transactions conducted over the Internet. Mainstream currencies are issued and regulated by governments and are recognized as a legal way to pay debts. Bitcoin, the most prominent form of digital currency, doesn’t share these traits.

How long have bitcoins been around? Five years. They were conceptualized in an academic paper written under the apparent pseudonym of Satoshi Nakamoto.

Who owns or controls the Bitcoin network? Nobody owns it while all users control it. Think of it in the same way as the Internet, which is controlled by users following a basic set of rules.

What are bitcoins worth? More than $600 each at present, down from a peak above $1,000 but well above initial prices well below $1. Bitcoin prices fluctuate considerably, but supporters expect they will stabilize. When stability comes, that should support routine commerce rather than speculation. Then bitcoins could become more like dollars, euros, Japanese yen or other mainstream currencies that trade regularly against one another and are primarily used for commerce yet retain a speculative element.

Can I buy things with bitcoins? Yes. The list is relatively small but growing and ranges from merchandise at Overstock.com to tickets for Sacramento Kings basketball games. Smaller, routine transactions aren’t really practical because it takes several minutes for transactions to be authenticated. Customers buying a small item like a cup of coffee aren’t willing to wait that long, explained Ajay Vinze, a professor at Arizona State University. But the day is probably coming when smaller purchases can be made with bitcoins. Also, you can swap bitcoins for mainstream gift cards sold by various online firms or convert them into dollars.

How do I get started? You set up an account by installing a bitcoin “wallet” on your computer or mobile phone. One way to do so is by downloading software from bitcoin.org.

There are mathematical underpinnings to bitcoins. Do I need to understand them? You don’t need to understand them and probably won’t anyway. But one thing to note is that the supply of coins is regulated by individual and collective contributions made to the bitcoin network, through monitoring of transactions and more, said Vinze. Initially, bitcoins were awarded to sophisticated individuals with the ability and computing power to solve complex math equations. Now they’re allocated to or “mined” by parties that perform services for the network.

What are obstacles to greater bitcoin acceptance? There are many. Maybe the biggest is the time it takes for more people to understand how the process works, overcome their fears and start using the coins. As another risk, governments could suppress the market through increased regulation, possibly making transactions illegal. Taxation, assuming it’s even feasible with digital currencies, also represents an unknown.

Are bitcoins safe? That’s a multifacted question that defies a simple answer. On one level, there’s always a danger that the system could be corrupted and bitcoins stolen or counterfeited, though those also are risks for other currencies and methods of payment. On a personal level, users must be able to safeguard their own passwords and computers to minimize the dangers that coins could be taken from them. From a markets perspective, bitcoin values fluctuate against the dollar and other currencies, so there’s a risk prices could fall while you hold them.

One more thing to note: Bitcoin transactions are anonymous and there’s little recourse if you’re not satisfied with a purchase.

Reach the reporter at russ.wiles@arizonarepublic.com or 602-444-8616.

Jan 292014
 

I’m Five…Wats Bitcoin Daddy?

If you still can’t figure out what the heck a bitcoin is…

We’re sitting on a park bench. It’s a great day.

I have one apple with me. I give it to you.

You now have one apple and I have zero.

That was simple, right?

Let’s look closely at what happened:

My apple was physically put into your hand.

You know it happened. I was there. You were there. You touched it.

We didn’t need a third person there to help us make the transfer. We didn’t need to pull in Uncle Tommy (who’s a famous judge) to sit with us on the bench and confirm that the apple went from me to you.

The apple’s yours! I can’t give you another apple because I don’t have any left. I can’t control it anymore. The apple left my possession completely. You have full control over that apple now. You can give it to your friend if you want, and then that friend can give it to his friend. And so on.

So that’s what an in-person exchange looks like. I guess it’s really the same, whether I’m giving you a banana, a book, or say a quarter, or a dollar bill….

But I’m getting ahead of myself.


Back to apples!

Now say, I have one digital apple. Here, I’ll give you my digital apple.

Ah! Now it gets interesting.

How do you know that that digital apple that used to be mine, is now yours, and only yours? Think about it for a second.


It’s more complicated, right? How do you know that I didn’t send that apple to Uncle Tommy as an email attachment first? Or your friend Joe? Or my friend Lisa too?

Maybe I made a couple of copies of that digital apple on my computer. Maybe I put it up on the internet and one million people downloaded it.

As you see, this digital exchange is a bit of a problem. Sending digital apples doesn’t look like sending physical apples.

Some brainy computer scientists actually have a name for this problem: it’s called the double-spending problem. But don’t worry about it. All you need to know is that, it’s confused them for quite some time and they’ve never solved it.

Until now.

But let’s try to think of a solution on our own.

Ledgers

Maybe these digital apples need to be tracked in a ledger. It’s basically a book where you track all transactions — an accounting book.

This ledger, since it’s digital, needs to live in its own world and have someone in charge of it.

Say, just like World of Warcraft. Blizzard, the guys who created the online game, have a “digital ledger” of all the rare flaming fire swords that exist in their system. So, cool, someone like them could keep track of our digital apples. Awesome — we solved it!


Problems

There’s a bit of a problem though:

1) What if some guy over at Blizzard created more? He could just add a couple of digital apples to his balance whenever he wants!

2) It’s not exactly like when we were on the bench that one day. It was just you and me then. Going through Blizzard is like pulling in Uncle Tommy(a third-party) out of court(did I mention he’s a famous judge?) for all our park bench transactions. How can I just hand over my digital apple to you, like, you know— the usual way?

Is there any way to closely replicate our park bench, just you-and-me, transaction digitally? Seems kinda tough…


The Solution

What if we gave this ledger — to everybody? Instead of the ledger living on a Blizzard computer, it’ll live in everybody’s computers. All the transactions that have ever happened, from all time, in digital apples will be recorded in it.

You can’t cheat it. I can’t send you digital apples I don’t have, because then it wouldn’t sync up with everybody in the system. It’d be a tough system to beat. Especially if it got really big.

Plus it’s not controlled by one person, so I know there’s no one that can just decide to give himself more digital apples. The rules of the system were already defined at the beginning. And the code and rules are open-source—you know, kinda like the software used in your mom’s Android phone. Or kinda like Wikipedia. It’s there for the smart people to contribute to, maintain, secure, improve on, and check on.

You could participate in this network too and update the ledger and make sure it all checks out. For the trouble, you could get like 25 digital apples as a reward. In fact, that’s the only way to create more digital apples in the system.

I simplified quite a bit

…but that system I explained exists. It’s called the Bitcoin protocol. And those digital apples are the “bitcoins” within the system. Fancy!

So, did you see what happened? What does the public ledger enable?

1) It’s open source remember? The total number of apples was defined in the public ledger at the beginning. I know the exact amount that exists. Within the system, I know they are limited(scarce).

2) When I make an exchange I now know that digital apple certifiably left my possession and is now completely yours. I used to not be able to say that about digital things. It will be updated and verified by the public ledger.

3) Because it’s a public ledger, I didn’t need Uncle Tommy(third-party) to make sure I didn’t cheat, or make extra copies for myself, or send apples twice, or thrice…

Within the system, the exchange of a digital apple is now just like the exchange of a physical one. It’s now as good as seeing a physical apple leave my hand and drop into your pocket. And just like on the park bench, the exchange involved two people only. You and me — we didn’t need Uncle Tommy there to make it valid.

In other words, it behaves like a physical object.

But you know what’s cool? It’s still digital. We can now deal with 1,000 apples, or 1 million apples, or even .0000001 apples. I can send it with a click of a button, and I can still drop it in your digital pocket if I was in Nicaragua and you were all the way in New York.

I can even make other digital things ride on top of these digital apples! It’s digital after-all. Maybe I can attach some text on it — a digital note. Or maybe I can attach more important things; like say a contract, or a stock certificate, or an ID card…


So this is great! How should we treat or value these “digital apples”? They’re quite useful aren’t they?

Well, a lot of people are arguing over it now. There’s debate between this and that economic school. Between politicians. Between programmers. Don’t listen to all of them though. Some people are smart. Some are misinformed. Some say the system is worth a lot, some say it’s actually worth zero. Some guy actually put a hard number: $1,300 per apple. Some say it’s digital gold, some a currency. Other say they’re just like tulips. Some people say it’ll change the world, some say it’s just a fad.

I have my own opinion about it.

That’s a story for another time though. But kid, you now know more about Bitcoin than most.

 

Jan 202014
 

Morpheus Titania: Businessman, activist, Bitcoin Sales

Morpheus has chosen to live outside the “system” ever since the events of 9/11. At that time he was co-owner of Direct Mail Business known as “The Direct Hit” The company was started in his home. The Company did $300,000 in 2000 and $1.5 Million in sales from January 2001 to August 2001. After the Events of 9/11, first with the “terrorist” of planes being flown into buildings, then with the Anthrax in the mail, September sales were tanking from $250,000 in June and August 2001 to $5,000 in September 2001. With all contracts being canceled all the salesmen quit, cause they weren’t selling anything. With his formerly thriving business imploded, this left Morpheus had a great deal of time on his hands to study the events of 9/11. He came to the irrefutable proof that at bare minimum there was a massive co-ordinated coverup of the events of 9/11. Since that time he has been removing himself more and more from that “SYSTEM”.

Prior to owning The Direct Hit” Morpheus worked at the number 1 Dodge store in the world as a top producing salesman, as well as being a top producing gold certified Fleet manager.

Working outside of the system for over 10 years has lead him to the wonderful qualities of the digital currency known as Bitcoin. Bitcoin has many desirable qualities:

  • Bitcoins are transferred from person to person via the internet.
  • Any amount of Bitcoin can be easily transferred locally or internationally for pennies.
  • Bitcoin transactions happen instantly and the transaction clearing happens in 10 minutes.
  • properly protected Bitcoins are virtually impossible to be steal.
  • A Bitcoin “account” can’t be frozen.
  • Bitcoin has no prerequisites or limits.

Morpheus has been selling Bitcoin with a fervor of a man on a mission. The old decrepit systems of the Banks, Organized Religion and Government (The BORG) are failing humanity at every level. Through the use of Bitcoin, is how the old power structure will be made obsolete. He applies his 20 years of sales and marketing experience to Bitcoin marketing and sales.  Because of his rock solid reputation, He is one of the biggest sellers in the Phoenix area.

Morpheus is now semi retired as a bitcoin trader / entrepreneur. He got started selling in March 2013 when Bitcoin was selling for $31. He has successfully done traded over 1000 bitcoins in the past year. He uses his role as an activist now, to promote the use of Bitcoins by businesses. Business that accept Bitcoin have a unique advantage over other business that do not accept Bitcoin, because there are many people out in the world that have bitcoins and want to spend them at participating merchants.  Not accepting Bitcoin in the future

Because of the unique nature of Bitcoin, it is very possible to acquire sizable wealth by taking advantage of Bitcoins incredible DEFLATIONARY Nature. This means things in the future will cost less than in the past.  This is exactly the opposite of the de Facto system most of us live under.  Many of us know there is a financial shit storm brewing on the horizon. Every single inflationary monitory system the world has ever seen has eventually destroyed itself.  Are we so pompous to believe that human nature is going to be any different now then any other time in history. Do you trust the “government” to save you?

Many of us know, the current status quo system provides a unique relationship between the Banks and the Government that allows these 2 institutions to do anything they want, even when it is to the detriment of humanity.  Bitcoin and crypto-currency is the way We The People, take back control of our lives.  With Bitcoin, Banks are no longer needed. Now, anyone can be a bank and the fees are a whole lot less.  Banks will simply fade away, like the old vinyl record and carburetor companies did, when the CD and fuel injection was introduced. Government bureaucracy will also diminish as they won’t have unlimited resources to implement their fraudlent schemes.

For Businesses, it’s like the Gold Rush or the Internet boom all over again.  Business that accept Bitcoin have significant advantages over business that have yet to take bitcoin.  Many of us know that Credit Cards are insecure, in the past even large institutions like Target and Home Depot have had Credit Card security breaches; with Bitcoin an invalid or counterfiet transaction is statistically IMPOSSIBLE!  Retailers pay between 2-5% for the use of credit cards. Using Bitcoin there is never a fee, unless the merchant wants to convert the Bitcoins to de facto currency like dollars or euros’s. There are Bitcoin exchanges like Coinbase who will convert the Bitcoins into Currency for 1%, although the first million dollars is a zero fee.

Even more importantly than saving money for a business is access to new customers.  Like a said earlier all business have 2 requirements, you have to find new customers and service the ones you have.  The Bitcoin community does all this for you.  Most people involved in Bitcoin want to see it succeed, well in order to have it succeed it has to be promoted.  Whats the best way to promote a new currency, is to use it.  So a business that accepts Bitcoin, is going to automatically earn my business, every time.  Lets take where my office is, in the complex is Ashleigh’s Cafe, she takes Bitcoin because i introduced it to her.  Ashleigh’s Cafe is listed with other Merchants on Airbitz.co It made sense and now every morning I go to her Cafe to get coffee and something to eat and I pay her with Bitcoins.  She wins my business BECAUSE she accepts Bitcoin.  There are business all around town that take Bitcoins, when I need something they offer, I buy it from them.  Whats the expense? Zero.  I had her download an Free app and she is now accepts Bitcoin.

Business that do not convert their Bitcoins into cash get to take advantage of the deflationary nature of Bitcoin.  Even with the huge fluctuations the general trend has been in the for the rise of the price of Bitcoins vs the fiat monetary systems.  For example, the first known Bitcoin trade occurred on May 22, 2010.  On that date, a guy from Fort Lauderdale sent 10,000 Bitcoins to a guy in England, who then bought $30 worth of Pizza, for the guy in Ft. Lauderdale. That established the price at btc 10,000 / $30 = $.003 per Bitcoin. As of this writing the price of Bitcoin is $263.28. so the guy with the 10,000 bitcoins has profit of 2.63 Million dollars!

May 232013
 

SAN JOSE, Calif. (CNNMoney)

How big is Bitcoin?

The power of all the computers networked together to maintain the digital currency’s system far exceeds the combined processing strength of the top 500 most powerful supercomputers.

Easily. The matchup isn’t even close.

There have been lots of stories about Bitcoin in the past few months thanks to its rapid price rise — from $5 a year ago for 1 bitcoin to a record high of $266 in April, before falling back to around $122 today.

Bitcoin’s price moves attract the most interest, but the system’s infrastructure is its most fascinating aspect. The crypto currency dreamed up in 2009 by a still-anonymous hacker is now one of the world’s most expansive large-scale computing pioneers.

At any given moment, Bitcoin’s peer-to-peer network contains thousands of computers linked together to generate more than 1,000 petaflops of raw computing power. To put that in perspective, the world’s fastest supercomputer, Titan, runs at less than 18 petaflops. The Bitcoin network is sucking down nearly $200,000 a day in electricity costs, according to one tracking site’s estimate.

That’s stunning for an “economy” that sprang into being just four years ago, when an inventor using the pseudonym “Satoshi Nakamoto” released the system’s source code on a cryptography mailing list.

Related story: You can spend bitcoins at your local mall

Nakamoto built in an ingenious lure to draw in computing power. Bitcoins are “created” in batches every 10 minutes by an algorithm designed to eventually release a finite total of 21 million bitcoins. So far, 11 million have been released. The final coin won’t be minted until 2140.

Computers compete to get hold of those new bitcoins by solving mathematical problems of increasing complexity. Whoever does it first gets the coins.

Those same computers maintain Bitcoin’s “blockchain,” the public ledger that stores and verifies all of Bitcoin’s transaction records. As the network grows more powerful, so do the safeguards that prevent Bitcoin’s economy from being manipulated — or erased.

Related story: Strategist predicts end of Bitcoin

In the early days, a standard PC could successfully “mine” for coins and occasionally snag a handful. Today, mining is dominated by pros running custom-built computers with stunning amounts of power. It’s essentially an arms race, and the weapons have escalated fast.

So have the stakes they’re playing for. At $122 per coin, the 3,600 coins “minted” each day are collectively worth more than $430,000. The entire Bitcoin “economy” has a market cap of nearly $1.4 billion.

That kind of cash has drawn new players into the fold.

Two venture capital firms announced dedicated Bitcoin funds last week, and several others unveiled multimillion-dollar investments in buzzed-about startups like BitPay ($2 million from Founders Fund) and BitInstant ($1.5 million, led by the Winklevoss twins of Facebook (FB) fame).

“This isn’t a bubble or tulip mania,” said Tyler Winklevoss in a keynote talk at last weekend’s Bitcoin 2013, a conference that brought together more than 1,000 Bitcoin developers, speculators, entrepreneurs and enthusiasts. “This is rapid adoption. This is a rush.”

Keeping up with the rush will be the big challenge this year. Bitcoin’s growth is stress-testing the system in unprecedented ways. A key concern? The volume of bitcoin transactions — currently hovering around 60,000 per day — is doubling roughly every four months. If it doubles a few more times, the system will run up against a built-in technical limit that requires significant changes to overcome.

Related story: Bitcoin exchange Mt. Gox lands in feds’ crosshairs

Gavin Andersen, the Bitcoin system’s lead developer, estimates that point is only a year or so away.

He’s also confident that the Bitcoin ecosystem is resilient enough to handle it. The Bitcoin project has been full of “chaos and drama” ever since he’s been involved, but it hasn’t yet derailed the experiment, Andersen said in a “state of the union” talk at the Bitcoin conference.

He said he’s excited to see what Bitcoin will become with the fresh infusion of entrepreneurs and developers that the currency’s rising visibility has drawn into the community.

“We’ve been on a roller coaster ride,” Andersen said. “I expect, at least for the next few years, we’re going to remain on a roller coaster ride.” To top of page

May 062013
 

Anti-Bitcoin Socialist Panel Discussion Propaganda in New Zealand

This “panel” of apologists for socialism and big Government, “discuss” all the problems with BitCoin.  What is a “social contract” exactly anyway.  Is that the one where you are sold into bondage, without your consent? And  you are required to continue to pay into a system that provides no value to you, just because this is  what you have done all your life, when you realize the whole thing is a fraud?

The first shill talks about how we are “bound” to the commitment to certain “obligations” and rules to how our “currency” actually “works”.  What if I don’t agree with being bound to obligations to supposed currency that works only for the RULING CLASS?  I am not allowed to boycott it.  Well under  the old system you get the manipulated currency that is controlled by banks and government.  If you don’t like it then there is no other choice.  With anything else if I dont want to buy a certain product or service, don’t buy it.  How can one boycott the currency? Well before BitCoin, YOU CAN’T.  This is a gigantic problem when you are a government this is a big Problem, they can not allow people to boycott them!

Shill #1 is bothered and you can see he is shuddering over the fact that it is “Free” of politics, “Free” from the “obligation” to society actually he means the Banks and Government.  He also describes FaceBook as networking system and BitCoin as an ANTI-networking system, probably because there is no central authority to get paid, every single time you make a transaction.

BitCoin is also “Highly Individualistic” It is strikingly interesting how opposed he is to the idea that individuals have rights.  All this factors make it “sinister”!  After touching on the possibility that people can conduct private transactions to buy drugs (non_government approved ones) or money laundering (private transactions) he goes back to how this contributes to the a “Highly Individualistic Society”.  A highly individualistic society is a gateway to Peace, Love, Creativity and and Ethical Society.

The double talk continues as he states “People can operate anonymously!”, “Nothing Traceable!”, “Avoid Paying Taxes!” and  “Avoid Foreign Exchange Rates!”.   He babbles on about being “bound” as a society.  Have you ever been “bound hand to foot and gagged? I have and it’s not a pleasant experience.   Do you like being Arrested?  You are bound feels great doesn’t it?  Then he goes back to sneering at a individualized Society is such a horrible thing. All of his supposed “reasons” are the exact “reasons” I support BitCoin!

Apr 112013
 

(NaturalNews) There’s a bigger agenda happening with bitcoin that needs to be publicly stated, and this goes far beyond the issue of the financial harm that will be caused when the bitcoin bubble finally implodes.

Central banks hate bitcoin. They hate it because it doesn’t allow them to loot bank accounts (Cyprus) and control the movement of capital around the globe. Bitcoin, in fact, threatens the very foundation of monetary control that underlies all the corrupt governments of the world. As such, bitcoin is a huge threat to the status quo, making it an obvious target for the globalists to attempt to destroy.

Discrediting bitcoin isn’t enough, however. To really be effective, they need to make bitcoin illegal.

The plot to criminalize bitcoin

How do you criminalize bitcoin? The same way you get guns banned: Plan an attack, make sure lots of people get hurt, roll out all the victims in front of the cameras, then use the sob stories as moral justification to crack down with oppressive new laws.

This is the agenda being planned right now with bitcoin. The recipe works like this:

Step 1) Central banks buy up massive quantities of bitcoin currency, driving the prices into the stratosphere and encouraging millions of people around the world to jump on board the “get rich” bandwagon.

Step 2) Once bitcoin valuations reach a sufficient level of insanity, start a massive selloff by dumping the bitcoins you already bought onto the market, offering them for sale at any price (i.e. sell into falling prices, accelerating the loss in valuations).

Step 3) Watch panic take hold as the bitcoin crash accelerates, ending in a catastrophic wipeout of “valuation” of all bitcoins.

Step 4) Find “victims” of the bitcoin crash who can tell a good sob story for the mainstream media about how they invested little Johnny’s college money in bitcoin and lost it all. Roll them out on CNN and MSNBC where they cry on camera and talk about how they were ripped off by bitcoin and now they only trust the government from now on.

Step 5) Demonize bitcoin by characterizing it as a “libertarian pyramid scheme.” Lash out against both decentralized currencies and libertarians.

Step 6) Once the demonization gains traction, have traitors in the U.S. Congress announce a “Consumer Currency Protection Act” that outlaws non-central bank currencies such as bitcoin. It’s all “for your safety,” of course. Shut down all online bitcoin wallets and exchanges, calling them “criminal pyramid schemes” and arrest a few people using bitcoin to send a warning message to the rest.

Mission accomplished! You’ve now made bitcoin look like a “pyramid scheme,” you’ve scared the public into being wary of “anti-government currencies,” and you’ve criminalized their use by consumers.

That’s the goal the central banks are trying to achieve right now. It’s all be set in motion by the bitcoin bubble which will inevitably lead to a bitcoin crash.

Bitcoin is being manipulated as a pawn in the globalist scheme to destroy freedom

The bitcoin bubble is to currency freedom as the Sandy Hook shooting was to firearms freedom. In both cases, governments will use a crisis to destroy freedom while claiming to be “saving” the people.

The government WANTS bitcoin to be a disaster, and the mainstream media, which has so far refused to give bitcoin much attention, will leap all over the story like vultures once it crashes.

For the record, I’m a proponent of bitcoin and I want it to succeed in the long run, but the mania speculation happening with bitcoin right now is going to be disastrous for its reputation. It is the worst thing that could happen to bitcoin.

What we would prefer to see is a slow, steady rise that reflects stability with low volatility. Instead, we see extremely high volatility, wild price ranges, desperate purchasing patterns and even purchase queues at some exchanges where the demand for bitcoins is so high that it exceeds the limits of the services (such as Coinbase, where you now have to stand in line to buy bitcoins two days later at whatever “market” prices are offered that day).

Why the bitcoin craze is the modern-day equivalent of tulip bulb mania

Bitcoin has become a casino. It is almost a perfect reflection of the tulip bulb mania of 1637 in these two ways: 1) Most people buying bitcoins have no use for bitcoins (just like tulip bulbs), and 2) The rapid increase in bitcoin valuations cannot be substantiated in any way that reflects reality.

In other words, there is no fundamental reason why bitcoins should be 2000% more valuable today than four months ago. Nothing has changed other than the craze / mania of people buying in.

Mark my words: A bitcoin crash will occur, and a lot of people are going to be financially hurt by it. More and more, this bitcoin craze is looking like a “pump and dump” operation, where the only winners are those who are the first to sell.

When bitcoins were in the sub-$20 range, I was not concerned about any of this. I actually encouraged people to buy bitcoins and support the bitcoin movement. But alarm bells went off in my mind when it skyrocketed past $150 and headed to $200+ virtually overnight. These are not the signs of rational markets. These are warning signs of bad things yet to occur.

By the way, the simple way to prove to yourself that everything I’m saying here is true is to ask yourself this simple question: What do the people who are buying bitcoins plan to spend them on?

The answer is NOTHING! They don’t plan to spend bitcoins on anything. They have no use for bitcoins. Their only play (for 90+% of those buying them) is to buy low and sell high. That’s it! For them, bitcoin is nothing more than a speculative vehicle for gambling with some of their money.

Every speculative bubble market that goes up must come down. And it will usually come down at a multiple of the speed at which it went up.

The velocity of bitcoins is a huge red alert

Now, if most bitcoin buyers were actually using the currency on a day-to-day basis, purchasing things online, sending bitcoins to pay off debts, exchanging bitcoins for services, etc., then that would be different. The circulation of a currency is classically known as its velocity. The higher the velocity, the more frequently the currency is being routinely used for transactions.

But the velocity of bitcoins after the initial purchase is shockingly low. What this indicates is that people are buying lots of bitcoins but then sitting on them. Once bitcoins are purchased, in other words, they basically just sit around and aren’t used for any practical purpose.

Amazon.com, for example, doesn’t accept bitcoins. You can’t buy gas for your truck with bitcoins. You can’t shop with bitcoins at the local grocery store. Until bitcoins are more widely accepted and the velocity rises, there is no fundamental reason why their value should suddenly skyrocket.

Of course, those who are deep into bitcoins right now will call me a doom and gloomer. Sure, it’s okay for them to talk about how the dollar is going to crash, or how the Fed is a criminal operation, but the minute I start invoking mathematical reality with bitcoins, suddenly I become the bad guy.

Well, my answer to the critics is that I have more faith in the laws of mathematics than the self-deluded logic of people who own millions of dollars worth of bitcoins and who therefore have a strong self-interest in promoting the bitcoin mania.

They are blinded by their own positions in bitcoins and cannot see through the fog of self delusion. In contrast to that, I own only two bitcoins worth approximately $400 or so, meaning that I have no substantial position in bitcoins to speak of. Whether bitcoins go up or down does not impact me in any meaningful way. My sole motivation in writing this is to warn others away from the extreme risks that are now clearly associated with buying bitcoins at present-day prices.

There is nothing new under the sun

As always, there will be people (we call them “noobs” or “suckers”) who think they have stumbled upon the one exception in the universe to the laws of mathematics and that bitcoin somehow represents a galactic shortcut to universal wealth where everyone can become billionaires by trading each other electronic chunks of data with higher and higher numbers encoded in them. These people are fools, and history will prove them so.

After the bitcoin crash takes place, people will ask me, “Mike, how did you know bitcoin was going to crash when everybody else thought it was going to keep going up forever?” And my answer will be, “Because I believe that 2 + 2 = 4.”

If you understand mathematics, you know that the bitcoin bubble is doomed. Sell while you still can and be happy with the profits you’ve made so far. Importantly, remember that the only reason you can sell is because there’s a “greater fool” on the other side of that transaction who is buying your bitcoins.

The problem with all bubbles is that sooner or later the world runs out of greater fools.

Final notes: Why 95% have no clue what I’m writing about

Frustratingly, perhaps 95% of the people who will comment on this article in social media websites have no understanding of high-level mathematics, no understanding of economics, no understanding of free markets, no understanding of greed vs. fear psychology and no historical context through which they might understand what’s happening with bitcoin. Almost no one buying bitcoins has any clue what they are. They don’t even understand the meaning of the phrase “decentralized peer-to-peer crypto currency” and they have absolutely no working knowledge of public / private key cryptography. They have no idea what they are buying and they have no qualifications whatsoever to even discuss the topic.

This is a case where 95% of the people talking about bitcoin need to be told, simply, “Shut the hell up!” because they literally have no clue what they are talking about.

If you are going to talk about bitcoin, make sure you understand the fundamentals of mathematics, cryptography, free markets, economics and human psychology before opening your mouth. Otherwise, you are only announcing to the world that you’re a complete fool who will soon be parted from his money.

And to all those who think they are going to “get rich” by buying bitcoin today and selling it off when bitcoin goes higher, let me offer you a piece of practical advice: After the bitcoin crash, when you are screaming bloody murder and selling your bitcoins at perhaps 1% of what you paid for them, it will be people like me who will buy them and thus receive a 99% discount on the bitcoins you once bought at a hundred times the price. That discount is called the “IQ discount.”

You know how lotteries are called a “tax on people who can’t do math?” The bitcoin crash will be a massive global wealth transfer from people who can’t understand the dynamics of decentralized crypto-currencies to those who do understand.

If you don’t follow what I’m saying here, then don’t buy bitcoins. You will only be led to the mathematical slaughter.