There I was, just sitting at my desk minding my own business. Listening to Graduation for nostalgia's sake, when I saw this tweet fly down my otherwise impeccably curated TweetDeck. Goldmoney founder and CEO Roy Sebag opining on the fact that Bitcoin devs aren't working on a way to digitize physical gold. A display of cognitive dissonance and misunderstanding the likes of which can only come from a man with an enormous amount of sunk capital and reputational costs in the business of gold.
I hate to break it to you, Roy, but that shipped sailed long ago. Many men have debated about the single action that led to the complete bastardization of the Gold Standard, but for the sake of this letter we'll point to Executive Order 6102 as a shining example of why Roy's "digitized gold" wish is more of a pipe dream. For the uninitiated of you freaks, Executive Order 6102 was executed by FDR and ordered a forced turn-in/confiscation of gold held by US citizens. Gold's physical properties are a double-edged sword. Gold's chemical makeup and scarce nature have made it a great monetary good throughout history. Those same properties, however, have allowed corrupt bureaucrats to easily co-opt and centralize the supply of gold, making the chances of a Gold Standard reemerging next to impossible. The allure of the power that comes with the control of the gold supply is too strong. A Gold Standard has always and will always be ruined by the fact that its supply can be easily centralized via coercion.
The great Friedrich Hayek, recognizing this, said:
"I don't believe we shall ever have a good money again before we take the thing out of the hands of government, that is, we can't take it violently out of the hands of government, all we can do is by some sly roundabout way introduce something that they can't stop."
Whether people want to come to grips with it or not, Bitcoin finally presents this sly roundabout way to route around the centralizing nature of the Gold Standard and the inflationary tendencies of the corrupt assholes who are destined to co-opt that standard or any other they see as fit for the current moment. Bitcoin has taken the ideas around gold's physical properties, ushered them into a high gravity hyperbolic time chamber, and leveled them up to levels that would make Goku blush. Bitcoin is more easily divisible, transportable, and infinitely more scarce than gold, which can be mined at will on this rock and an innumerable amount of other rocks floating around our universe.
Bitcoin cannot be counterfeited (lest you want to be rejected by the full node warriors guarding the 21M supply), it cannot be physically confiscated because it does not physically exist, and it can be hidden in your mind. We live in a world in which individuals can walk around naked with untold fortunes in their minds'. This certainly isn't enabled by a Gold Standard, but a Bitcoin Standard.
To all of you gold bugs out there, we Bitcoiners sympathize with you more than you probably understand. Let go of the losing battle you're fighting and join us on the front lines of the digital money revolution. History will look back on you fondly.
That new couch smell is a qual smell.
Enjoy your weekend, freaks.