57 min
63. Bitcoin efficiency and cost-benefit analysis The Bitcoin Standard Podcast
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- Investing
We often hear bitcoin is a waste, but rarely will someone present a full accounting of all the costs and the benefits associated with bitcoin. In this seminar, based on a chapter from upcoming The Fiat Standard, Saifedean attempts a full accounting of the costs that go into making bitcoin work, from electricity to infrastructure, and compares them to the benefits bitcoin provides: appreciating savings, money transfer, and most importantly, obsoleting fiat money, with its massive costs. We estimate fiat inflation costs the world around 2.5% of global wealth per year, and has incalculable costs with rising time preference, economic distortion, activist government, and conflict. We also discuss how to best think about bitcoin's efficiency, and why it can be approximated by the stock-to-flow ratio!
Links referenced:
The Bitcoin Standard podcast episode on stock to flowThe Bitcoin Standard podcast episode on CPIEnjoyed this episode? You can take part in podcast seminars, access Saifedean’s courses and read chapters of his forthcoming books by becoming a Saifedean.com member. Find out more here.
THE BITCOIN STANDARD TOOLKIT/SPONSORS
NYDIG - https://nydig.com
Cyphersafe - https://cyphersafe.io/
OKCoin - https://okcoin.com/
Nodl - https://www.nodl.it/
Coldcard - https://coldcardwallet.com/
CoinBits App - https://coinbitsapp.com/
We often hear bitcoin is a waste, but rarely will someone present a full accounting of all the costs and the benefits associated with bitcoin. In this seminar, based on a chapter from upcoming The Fiat Standard, Saifedean attempts a full accounting of the costs that go into making bitcoin work, from electricity to infrastructure, and compares them to the benefits bitcoin provides: appreciating savings, money transfer, and most importantly, obsoleting fiat money, with its massive costs. We estimate fiat inflation costs the world around 2.5% of global wealth per year, and has incalculable costs with rising time preference, economic distortion, activist government, and conflict. We also discuss how to best think about bitcoin's efficiency, and why it can be approximated by the stock-to-flow ratio!
Links referenced:
The Bitcoin Standard podcast episode on stock to flowThe Bitcoin Standard podcast episode on CPIEnjoyed this episode? You can take part in podcast seminars, access Saifedean’s courses and read chapters of his forthcoming books by becoming a Saifedean.com member. Find out more here.
THE BITCOIN STANDARD TOOLKIT/SPONSORS
NYDIG - https://nydig.com
Cyphersafe - https://cyphersafe.io/
OKCoin - https://okcoin.com/
Nodl - https://www.nodl.it/
Coldcard - https://coldcardwallet.com/
CoinBits App - https://coinbitsapp.com/
57 min