Category Archives: Guvmint Resistance

How about a distributed exchange that even your grandmother can use?

DEX is the first truly Distributed Exchange system

DEX is the first truly Distributed Exchange system

Peer to peer, distributed exchanges are possibly the most popular topic right now in the bitcoin community. Everyone holding a single bitcent or more seems to be so angry at the bottleneck caused by the exchanges that they’ve all decided to start their own distributed version.

I’ve literally counted dozens of attempts that they have started working on; and a few like BMOT and Metalair and even (uggh) Ripple have gotten some funding!

Well, not to be outdone, I’ve made my own whitepaper for a Distributed Exchange too:

DEX Whitepaper – 22 pages .pdf format

What’s so special about DEX?

It gives everyone a financial incentive to download it and keep the software running. Continue reading

The Futility of a 51 Percent Attack

Bitcoin is more invincible than most people would believe.

Bitcoin is more invincible than most people would first think.

Barring a worldwide lack of interest in either money or the internet, there are exactly three ways to kill Bitcoin, at least in theory. They are:

1.) To destroy all of humanity… Which I doubt needs any explanation.

2.) To use massive Electromagnetic Pulse (EMP) attacks against all civilized pockets of humanity, ensuring no line of communication survives. (A nuke detonated high above every city over 1,000 ppl in size worldwide should do the trick.)

3.) To employ a well timed 51% attack… But I’d like to bring up the argument here that this option really won’t work afterall. Continue reading

Alt Coins – What are they good for?

Bitcoin and Litecoin are the two major cryptocoins traded today

Bitcoin and Litecoin are the two largest cryptocoins traded today. If Bitcoin ever was fatally attacked, Litecoin could easily replace it.

Now that Bitcoin has stabilized above $100 for a while, and the world’s press is sending out a steady stream of info (or disinfo) on the subject of cryptocoins, I’m getting bombarded with questions about the alt-coins, such as Litecoin, PPCoin, Novacoin, Namecoin & even Ripple. “Alt coins” is a term used to describe all of the cryptocurrencies that aren’t the dominant cryptocurrency at the time. (e.g. Not bitcoin.)

Alt coins have all branched out from bitcoin, started in it’s wake, and each and every one of them excepting only Ripple are based on the same decentralized, peer-to-peer architecture that requires a miner crunching cryptography and user wallets to function. Yes, they are all worth dollars in trade on some exchange somewhere right now as I write this, and all have their own developer community and hopeful users like bitcoin does. (Only much smaller, with extremely little, if any, merchant adoption.)

Why are people putting time and money into alt coins? It is assumed by the developers that one day a major government or at least the Mexican drug cartels will have a reason to try to “take out” bitcoin. Although its peer-to-peer behavior should be adequate at stopping these threats, nobody knows what the future holds, and the fate of our very economy is at stake here… So litecoin (LTC) was the first created to be a sort of “understudy” or backup for bitcoin. It has it’s own wallet, mining software and blockchain. Although it was the 2nd alt coin created, it has almost always been the most traded of the group, worth about 2.5% what a bitcoin is worth.

For an updated listing of all cryptocurrencies, with descriptions, see here. Continue reading

First bitcoin ATM to be installed in Cyprus

A fake but pretty design for the upcoming Bitcoin ATMs.

A fake but likey design for the upcoming Bitcoin ATMs.

Jeff Berwick, a well known Anarcho-Capitalist who’s blog I often read, has announced today that he’ll be opening the first public ATM in Cyprus soon.

Even better, he has started offering these ATM’s as a franchise called BitcoinATM!

These ATMs will allow 2-way transactions; you can send cash money up to your wallet at one, or you can change bitcoins down into the local currency too! If you’re reading this blog, I’m sure I don’t have to tell you what these things getting out in the wild would do for bitcoin… It would make bitcoin nothing short of truly USABLE.

FreeStaters (of the New Hampshire variety) were actually the first to create a working bitcoin ATM which simply took USD and sent bitcoin to an address in return; but they don’t seem to have gotten any further along with the project that the proof-of-concept model. Jeff’s ATM, which admittedly we see no evidence of it getting even that far yet, has great backing and lots of money behind it. Jeff is well known for his libertarian-slanted investment success. Continue reading

Constant drivers for Bitcoin usage

What are the primary drivers of Bitcoin's epic growth?

The primary drivers of Bitcoin’s epic growth are:

W00t! Bitcoin broke through $50 tonight for the first time. Bitcoin’s adoption worldwide, too, is up. WAY up.

But still there are doubters that bitcoin can become truly relevant. Most opinions online assume that any bitcoin’s success is strictly due to the black market, and a few tech-loving geeks, A few others will admit that there is some actual market speculation going on too by random investors.

Thankfully, this isn’t even close to a realistic sampling of the bitcoin community. In fact it is laughably off track.

There are a few polls online, some informal, and a few much more formal like this one taken mostly from users of the BitcoinTalk forum. Taken together, these polls paint a pretty clear picture of who is actually buying bitcoin, and there appear to be 7 distinct groups that my untrained eyes can spot.

In order from most popular to least, the 7 groupings of bitcoiners are: Continue reading

Bitcoin will be central to the DEFCAD revolution

Dear friends, I just saw the future, and it is completely distributed.

Earlier today, Cody Wilson of Defense Distributed (where you can download printable gun parts) released a video that gave me as much hope as bitcoin does, if not more, for reshaping this planet into something desirable.

Without further ado, here’s the video: (We’re very likely going to be discussing it many times in the future, so you might want to take notes!)

DEFCAD is going to be a Bittorrent-like program, totally peer-to-peer, that has its’ own search for any and all 3D files online, especially the illegal ones. (Right now it’s just a website listing printable gun parts. Later it will be be a full peer-to-peer protocol listing all kinds of products, including those that unfairly cost too much, such as a prosthetic limb.)

Continue reading

Why Austrians are Wrong about Bitcoin

Austrian Economists unjust attack on Bitcoin.

Austrian Economists unjust attack on Bitcoin.

I have learned a lot from the Mises academy and Austrian Economics in general. There is in fact very little I’d disagree with that I’ve read from these sources, and I believe everything that came directly from Mises or Hayek themselves is the final word in economics. These great thinkers are rare gifts to humanity, and it’s a bitter injustice that ‘mainstream’ economists ignore them so often.

Sadly, the common opinion of Bitcoin expressed from the Mises Academy’s leaders today is a true exception to this otherwise pure fountain of wisdom. They have stated that Bitcoin can never be a commodity (since it isn’t useful for anything else) and therefore can never be actual money. Then some of them continue on to say that because it can’t actually be money, one should never invest in it, because they are sure the market won’t accept it. (My paraphrasing, but accurate sentiment.)

In short, the hardcore Austrians continue to say that the market won’t accept it, yet the market is valuing each bitcoin today at almost $50 USD, and growing.

Luckily, some others in the Mises crowd don’t go so far as saying that it cannot catch on; but still they don’t spend any time promoting it nor I’d imagine investing in Bitcoin. Here is the common response that most Austrians will point to on Youtube, and I believe it is the one such statement from Mises with the most reviews: Continue reading