Bitcoin — the future of the financial system? (IV) 5. Corporative money. Facebook and Telegram was trying to launch their own cryptocurrencies (Libra and Gram), but they were shot down by the Securities Commission (SEC). Why? Beacause of user bases. Government is not interested in cryptocurrencies, which even a couple of million people use. But Facebook user base is 3 billion users and Telegram is 300 million users. So what if every Facebook user can send money to any other Facebook user in the world and for every transaction Facebook will take small percent (smaller than Visa or Mastercard), what if you have to buy Libra to buy ads from Facebook. Why do you need Visa or Mastercard in that case? Why do you need Goldman Sachs or JPMorgan even? If Facebook can provide same services as traditional banks, why do you need traditional banks? You would say: But Libra would be backed up by basket of currencies including mostly US Dollar. So for every dollar on Facebook user account you will have dollar on Facebook bank accounts. This is good for the dollar and banks, where Facebook will hold their funds. Right? But what will stop Facebook from changing that and start to back up users funds by Facebook stocks (or literally anything else in that case)? How big capitalization of Facebook will be in that case — 10 trillion dollars or more? What will Facebook will do with this kind of power? Create their own army? Nobody knows. Obviously, I can’t get in the head of US senators. And I’m not saying that was exactly their thought process. All I wrote above is just my fantasy. But what we know for sure is that they were scared, and they shot it down. Forever? Nobody knows.

Bitcoin — the future of the financial system? (III) Now there are around 7000 (!!!) coins on the market (but only around 300–400 of them have at least some value). New coins appearing every day. But it is a wild market (it started regulated by the governments only couple years ago), it’s not as strictly regulated as traditional markets (but at least in US, Russia, China it all goes this way). So in this business exist frauds, pump-and-dump schemes, Ponzi schemes. Bitcoin and other cryptocurrencies are used for money laundering, buying drugs and arms. But all of this exists in dollar too, but on much larger scale. The price of bitcoin is growing since it appeared. The times of exponential growth are being replaced with the times of long corrections. In several countries (Germany and Japan) usage of bitcoin is allowed and there you can purchase bigger amount of good and services for bitcoin. In other countries (for example Russia and Belarus) you are allowed buy and store bitcoin, but you can’t purchase anything for it.

Bitcoin — the future of the financial system? (II) 3. Infrastructure. In 2013 appeared new kinds of devices to mine bitcoin — ASICs, which moved the industry forward. In them were invested large sums of money and its brought big revenue for its creators. Industry of producing ASICs devices is growing every day. There is 5 big companies producing ASICs now and its worth billions of dollars. ASICs consume a great deal of power and produces a lot of heat. So you have to put it there, where cost of electricity is low and you have to cool them effectively. It’s whole other business worth plenty of money. 4. Economy. There are a lot of players in crypto economy — crypto exchanges, peer-to-peer exchangers, OTC market (when you buy bitcoin through special services). There are a lot of crypto exchanges right now on the market (300 according to coinmarketcap.com). But leading position now occupying Binance. It was founded by Changpeng Zhao in 2017, and already in 2018 it had market capitalization of $1.3 billion. Crypto exchanges have plenty financial products for its users, that tradition financial markets have — futures, options, trade with leverage.

Bitcoin – future of the financial system? Bitcoin for 11 years of its existence came a long way from capitalization of 0$ to capitalization of 200 billion $. Why that happened? Why people are not happy with traditional banking systems and traditional payment systems? 1. Technology. Geek culture become more and more common (especially in US). Any interesting technology emerging enthusiasts, which would like to test it and afterwards use it. 2. Idea. The world is becoming more and more small every day. So the world need transnational currency, which constitute universal measure of value. You (and Donald Trump) would say that this kind of currency exists – this is United States Dollar (or like mr. President would say (write?) on Twitter UNITED STATES DOLLAR!!!!). But emission of USD is in hands of Federal Reserve System, and emission of new global currency should not be in hands of one country. In this coronavirus years printing machine of FRS work like crazy (in this year alone will be printed around 5 TRILLION dollars) supporting American businesses and citizens. Emission of global currency should proceed transparently and by algorithm. By the year of 2140 will be printed only 21 million bitcoins.

DFW – Infinite Jest – book that will break you - new Ulisses or a funhouse mirror to modern America. Addiction what they are to us? What are we to them? Can we live without some kind of addiction? World of IJ is the world of total addiction. Addiction to drugs, sport, TV shows, Netflix and chill, are they different from one to another? Should this book to be written in such way to be effective? Rare bird make it to middle of Dnepr. In case of that book, rare bird make it to the second chapter. Should you read the book if your head is about to explode on every page or that’s only kinds of books you should read?

Is this right way to say it. If Jack was born in States in 1825, he would be a cowboy.

Mes ans dans l'ecole J'étais un enfant a peu paresseux. Je ne fasais jamais choses je ne volais pas faire. Peut-être mes parents devaient me forcer de travailler mieux, mais je grandissais au temps turbulent dans mon pays et mes parents devaient beaucoup de travailler pour m’avoir tout j'avais besoin. J'adorais de lire et je pouvais passer tout les jours avec un livre. Je n'aimais jamais faire le sport. Faire le même chose beaucoup de temps m'ennoyais. Je ne savais pas jusque mon dernière aînée en école, que je voudrais faire après. Et je faisait la mauvais décision, comment je compris maintenant. J'ai choisi l'éducation professionnelle et je ne travaille pas de ce profession un jour. Et j'ai du entre a l'université après, comme ça j'ai perdu deux ans.