The Eternal Beauty of Proof-of-Work
'Money is gold, everything else is credit' John Pierpont Morgan in 1912.
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'Money is gold, everything else is credit' John Pierpont Morgan in 1912.
Darwin's most famous quote comes from On the Origin of Species: 'It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change.'
For money to have meaning it needs to have a relationship to energy. The energy used to produce money becomes a physical representation of the time required to earn it. When money requires no energy to produce, it has no relationship to time.
In a monetary system where money is no longer backed by a tangible asset (as was the case with the gold standard) but controlled by the authorities through legal tender laws and a monopoly on money creation, this is, according to the author, a form of counterfeiting on a massive scale.
An Introduction to Bitcoin is an attempt to explain as many of the pieces of the puzzle, within the confines of a small book. It is a guide, if you will, for those who wish to walk the path laid out for us by Satoshi Nakamoto.
Mainstream economic teaching still pushes the basic belief that inflation occurs when the aggregate quantity of goods demanded at any particular price level rises more quickly than the aggregate quantity of goods supplied at that price level.