One of the most significant cultural changes I’ve observed during my eleven years in the Bitcoin space is the shift from tech enthusiasts advocating for the principle of “only invest what you can afford to lose” to influential figures like Michael Saylor urging people to liquidate their assets—including their homes, cars, and relationships—to acquire more Bitcoin.
When I hear the macroeconomic analysts in this field (most of whom emerged over the last five or six years), I’m struck by a crucial aspect that often gets overlooked. While Bitcoin is undoubtedly more established than it was a decade ago, it remains at risk of failure.
The potential pitfalls are extensive and too numerous to detail here, but they range from excessive centralization to excessive decentralization. For instance, if mining becomes overly centralized, Bitcoin might face stringent regulations. Conversely, the project could implode if there’s a lack of consensus on the rules—a challenge we narrowly avoided during the block size debates.
I believe Bitcoin can surmount these challenges. The motivations for its success are substantial, and —perhaps more crucially— talented and driven individuals worldwide can contribute to devising solutions for any obstacles Bitcoin encounters.
However, for this to happen, the issues must first be recognized and then addressed. Liquidating your home, car, and relationships just to hold Bitcoin isn’t the answer.
This article constitutes a Take. The views expressed are solely those of the author and do not necessarily represent those of BTC Inc or Bitcoin Magazine.
