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It’s time to join Bitcoin’s circular economy

Manufacturers of 3D printed weapons work according to the motto “Free men do not ask for permission”. They are not asking the state for permission to carry weapons. They don’t rely on gun manufacturers to make a gun they’d like to see developed. 3D gun printing works in parallel and outside of the legacy model of regulated manufacturers who produce compliant and serialized weapons that can only be purchased from third-party suppliers via licensed arms dealers after passing the state background test.

A “Bitcoin circular economy” runs on the same principle. Free men do not ask for permission to do business with one another and do not rely on the old third party financial institutions that operate in conjunction with government agencies.

In this article, I’ll define the Bitcoin Circular Economy, provide examples, describe its benefits, and offer advice on how to get started.

Definition of the bitcoin circular economy

A Bitcoin Circular Economy (BCE) is Bitcoin.

The title of the Bitcoin whitepaper is “A Peer-to-Peer Electronic Cash System”. The “system” is an economy made up of peers on a network who trade Bitcoin with one another. You acquire Bitcoin by earning it or by receiving it through donations.

“Circular letters” are somewhat redundant. But it helps to describe Bitcoin economies in which participants often trade with one another, rather than describing the entirety of all Bitcoin transactions on the P2P network.

A common misconception is the scale of this economy. A bitcoin economy is not the size of a nation state and replaces central banks. The minimum size of a Bitcoin economy is three participants. Three participants are a network, a system. A BCE is parallel to the fiat financial system.

One misconception about Bitcoin economies is that they are all or nothing.

“Internet trading relies almost entirely on financial institutions to act as trusted third parties to process electronic payments. Although the system works well enough for most transactions, it still suffers from the inherent weaknesses of the trust-based model. “

– Satoshi Nakamoto, The Bitcoin Whitepaper

The individuals and companies operating in a Bitcoin economy can and should use fiat too. One can think of bitcoin economies like the Money Gate Network – separate, more private, and much more difficult to censor. The clearnet works well enough for most users and Internet applications. However, Tor is required for certain people and applications. Of course, if the Internet were Tor, and Tor had less latency, it would be better for everyone except the state. If Bitcoin were the dominant financial system and suffered less volatility, it would be better for everyone but the state.

A second misconception about the Bitcoin economy is that it is mutually exclusive from HODLing. You can earn Bitcoin and HODL it. You can take expenses from your HODL and replace it. Don’t get lost in binary thinking.

Example of the Bitcoin circular economy

The center of 3D gun printing is a collective called Deterrence Dispensed with over 18,100 members. Let’s see how Bitcoin circulates in this community.

Shortly after a 3D printed Glock design came out, Deterrence Dispensed member “Spooky Rails” began making and selling aluminum rails that added durability to the Glock. He only accepted Bitcoin because Spooky Rails didn’t want to know or document the true identity of its customers. And he wanted to protect his own identity. Of the bitcoins he earned, Spooky Rails likely contributed to one of Deterrence Dispensed’s five bitcoin bounties to come up with new designs.

In September my company Guns N ‘Bitcoin held a conference called Bear Arms N’ Bitcoin, where we held a silent auction. The proceeds were donated in Bitcoin to Deterrence Dispensed. Perhaps the winner of the 3D weapons bounty bought one of the auction items.

Benefits of the Bitcoin circular economy

Bitcoin is the separation of money and identity.

National state money is the combination of money and identity. Your credit cards, checking account and PayPal account start with your identity; Your name, home address, social security number, email address, phone number and more. This has three tyrannical consequences for economies.

First, the state and third parties can censor the trade before it takes place. If you try to open an account with Visa using the identity of Gab founder Andrew Torba or his wife, you will be denied access to their services. Torba and his wife cannot use these services to participate in the social media economy.

Second, the state and third parties can censor future trade. With third parties, you are your transactions. Third-party services record every transaction you make. They oversee your trading and if you buy or sell something that they disagree with, they mark your identity as gratuitous. They forbid you to trade in the future. By doing this to thousands of businesses and millions of people, the state and third parties censored entire economies before they could even be created.

In contrast, a Bitcoin economy is not tied to identity. Perhaps this is Bitcoin’s most underrated application and why Bitcoin has become the money of choice for 3D gun print trading. A Bitcoin economy is a censorship-free economy.

Another benefit of participating in a Bitcoin economy is being able to purchase Bitcoin without using third-party KYC / AML compliant services. These services are the problem that Bitcoin should solve. As Nick Szabo said, “Trusted third parties are security loopholes.” Third-party KYC / AML compliant services are largely how the state is able to monitor, censor, and collect the tax revenues of Bitcoin users. Bitcoin that you earn or receive as a donation is bitcoin that you didn’t have to buy on a third-party exchange. The more people purchase Bitcoin through trading or donation, the less the KYC / AML services are needed, making Bitcoin less fragile and more robust.

When you participate in a bitcoin economy, you build relationships with people who value peer-to-peer bitcoin. You can trade Bitcoin with them instead of buying and selling on third-party KYC / AML compliant exchanges.

Started

You Can Participate in a Bitcoin Economy Today! The easiest way out for most people is to use bitcoin as payment with those who do their best to use their earned bitcoins as payment. You certainly don’t have to use Bitcoin with them all the time. You can use bitcoin with companies that accept bitcoin but convert it to fiat instantly. But do spend some bitcoin sometimes.

You can earn bitcoin too! Start a side gig. Ask for donations either through the BTCPay server or a Samurai PayNym. Sell ​​items on Craigslist for Bitcoin or ask to get paid in Bitcoin on your current job.

Get involved in peer-to-peer trading. Ask a friend to buy or sell you bitcoin. Try $ 20. Make it a fun exercise and experiment.

In total

A circular Bitcoin economy is one in which trading flourishes free of surveillance, censorship, and third party dependence. Anyone can participate by earning, spending, donating, and buying Bitcoin from those who do the same. A Bitcoin economy runs parallel to and apart from the central banks’ fiat economy.

Bitcoin trading is bitcoin exemplary.

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