2020 was especially unforgettable for Bitcoin. To commemorate our readers this year, we asked our network of contributors to reflect on the pricing, technological development, community growth and more of Bitcoin in 2020, and to think about what all of this could mean in 2021. These authors responded with a collection of thoughtful and thought-provoking articles. Click here to read all the stories from our series at the end of 2020.
It wasn’t the year we wanted when we look back on the past 365 days. It started well, but as the harsh reality set in, it got worse and worse.
I was back from Germany just a couple of weeks after visiting a few other bitcoiners when the New Year brought news of an unknown infectious pneumonia virus spreading in mainland China’s Wuhan city. I was able to attend a Guns n ‘Bitcoin Meetup in Switzerland before the world changed, maybe permanently.
As they say, “gradually, then suddenly,” all of these fancy journeys came to a halt. I thought nobody could stop Bitcoiners from meeting, discussing their views and organizing in the Meatspace until the World Economic Forum’s “New Normal” hit. (Remember this phrase: you will not own anything and you will be happy. Right.)
The new normal “
The world economy went off track and collapsed in financial panic. A few months later, Bitcoin price hit an annual low of around USD 4,600 and a new all-time high that same year. This shows that Bitcoin itself is resilient to natural disasters, even if there is higher volatility during such a crisis.
2020 exposed the evil side of currency nationalism and centrally administered monetary policy. The Federal Reserve Bank inflated the US dollar, and the New York Fed has distributed more than $ 9 trillion bailout packages and printed huge sums of money. It created prosperity out of nowhere for banks and for themselves, buying bonds and other financial junk products to inflate their own balance sheets. These moves were reminiscent of similar measures taken during the 2008 financial crisis when the US government placed Freddie Mac and Fannie Mae under a conservatory. (Fannie Mae and Freddie Mac are government-sponsored real estate financiers and investment companies that control over $ 3 trillion worth of assets, and that federal conservatory remains to this day.)
You may have noticed that there are more people out of work in the US now than at the beginning of the year, but they are practically invisible and the stock market keeps making new highs. The latter fact is largely due to money pressures and the practice of the US government to buy stocks and bonds in the market and increase the price of those assets, stocks and bonds. The Fed pumps everything.
This year was also a challenge for Bitcoiners. Our organizational structure changed and those who were more likely to go to conferences had to adjust to the year of restrictions. Anyone looking to work together will move into the uncomfortable realm of Zoom and Jitsi – the luckier ones who have a VR headset can enjoy AltspaceVR or VRChat. (Seriously folks, haven’t you heard of Second Life?)
And now, the biggest shock of the year, Joe Biden’s 2020 presidential election victory. Our American comrades can now expect the collapse of social norms to accelerate further. More bans will come and soon more people will lose their jobs.
We already lived in a world that wanted to control us, but now the virus gave him an excuse to go beyond its legal limits and try to “protect us” by imposing those restrictions and forcibly acquiring property in companies and other institutions “With the printing of money that the Federal Reserve is doing today. It was only a matter of time before evil showed its true colors, and it is happening today exactly as many had predicted.
It is important to understand that we already lived in an unstable world that was socially injustice from the US Federal Reserve. But now these factors have forced millions of Americans to abandon the path of the “American” and instead turn into left-wing Marxists who are now trying to take control of the United States. This is one of the problems that we cannot solve as long as the monetary policy of the central banks persists, driving those betrayed by the system further towards socialism and communism.
Bitcoin as a balance
If we are to survive in the years to come, we must educate people about the importance of personal finances and the importance of avoiding inflation at all costs. Without this, we will have a bleak future with another civil war on the horizon that will turn the totalitarian communists against the capitalist libertarians.
But at the moment it looks stable. Now that the virus has long since disappeared, we face more challenges, increasingly complex questions that need to be resolved, such as Bitcoin data protection, KYC, mining pools and the travel rule. The data protection war is right ahead of us and will be the most devastating chapter of the civil war in Bitcoin history.
As we slowly get closer to taproot activation, privacy will improve a lot and the Lightning Network can evolve.
However, there are those who oppose the Lightning Network because their interest in developing the infrastructure lies in the chain that is slowly being threatened by the rising fee market. Many would love to see Bitcoin fail, and we have to draw the red line there and stick to our principles and keep defending Bitcoin even if it doesn’t need our help or anything from us at all.
Today we can see that there is renewed interest in buying Bitcoin in retail, predecessors are arriving, and their curious interest is looking for connections. It’s only a matter of time before more people get into our line of sight and use our communications on Twitter, Reddit, and Telegram. These people will understand Bitcoin less, they will probably seek the thrill of profit, but since this is the survival of the fittest, only those will remain who have the ability to find out why things are like this in the world today and learn. These newcomers will learn about Bitcoin, maybe they are ill-equipped and have kept coins on custody exchanges, but we need to be tolerant of those who are only “exposed” to BTC in this way and try to get them to real users will.
The world around us is slowly becoming dystopian. The more we allow the national central banks to inflate their currencies further, the more unstable the world becomes. I don’t want to speculate about the future as the outcome can be completely unexpected. But I know for sure that the fight is not over yet.
We must maintain our vigilance and personal integrity if we are to function as full members of the New World Order society that Bitcoiners are building. We need to join forces with others, strengthen these bonds and organize ourselves further. Trust in the moment may be shambolic, but believe it or not, goodwill and determination will take us far into our destiny.
This is a guest post by Karo Zagorus. The opinions expressed are solely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.