My name is Bitcoin and I am a modern currency which is decentralized and unbounded from governments, my creators posit. However, recently, I seem to track the Dow market index, and global events. So, when the Dow falls, I fall. I cannot explain what is happening to me!
Good People, in Oct 2007, the Dow closed at its pre-recession high of about 14,000. In March 2009, the index had fallen more than 50% to about 6,500. So, from 2009 to now, the DOW has added about 32,000 points to the current 38,700 points. Considering how many decades it took the Dow to get to 14,000 since 1897 when it was established, and how it used less than 15 years to add 32,000, you could agree that the market system has been a financialized system.
Simply, can you point to one thing in the world that has improved by 5X except the Dow stock index in the last 15 years? This is why everyone should pay attention as the current events unfold. Shine ya eyes.
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It was a fanatical crusade: bitcoin and the broad cryptocurrency world was decentralized and unbounded from the high voltage searchlights of governments. The hodlers believed that you can live in your hut, your mansion, and anything in between, untethered to any central ordinance.
But here, I had posited that it was all an illusion to think that Bitcoin is not centralized. Indeed, the top 10 global miners possibly control up to 70% of the total coins being created. And what that means is this: only a few people or organizations can “print” the new currency of Bitcoin and bring it to the world. Sure, many prefer that over central banks because governments are bad!
But with the collapse of FTX and the domino impacts across domains and territories, we can now agree that crypto is not fundamentally decentralized, but centralized outside the powers of government. As FTX goes, it has taken hedge funds, startups, businesses and thousands of global citizens along, financially. From Nigeria to Germany, Canada to Japan, etc, entities have been affected just because one company faded.
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