Bitcoin will inevitably enter the era of national reserves

With the strong rise in BTC prices, STHs (short-term holders) seem to be "okay" again. Most of their positions have also begun to return to profitability. From the perpetual contract rate data, as shown in the figure below, in fact, since last year, that is, August 2023, until now July 2024, the rate has basically remained positive, which shows that the market has actually been in a bull market.

Of course, for the time period when the rate is above the neutral rate (i.e. 0.01% for 8 hours), it can be considered a period of extremely strong bullish sentiment. Smart friends may think of shorting the currency standard to eat the rate, but Jiaolian thinks that this kind of arbitrage before 100,000 dollars or more (below) is not profitable enough, and the final outcome may be that the rate is eaten and the principal is lost.

Robert Francis Kennedy Jr. (RFK Jr.), the U.S. presidential candidate who has little chance of winning, attended the ongoing "Bitcoin 2024" conference and gave a speech.

In his speech, Kennedy Jr. said: "(If I am elected,) I will sign an executive order instructing the U.S. Treasury to purchase 550 bitcoins a day until the United States has established a reserve of at least 4 million bitcoins and a dominant position that other countries cannot usurp."

This statement even attracted the praise of Jimmy Song, a well-known Bitcoin developer: "No matter what you think of Kennedy Jr., he has done a lot of homework. It is awe-inspiring that he can learn so much knowledge in just one year."

It's a pity that he has no chance of winning (being elected) at all."

Some netizens disagreed with this pessimistic argument: "If everyone who said he had no chance of winning stopped saying he had no chance of winning and voted for him, he would have more chances of winning."

Jiaolian appreciates the attitude of the latter netizen. Politics is a game that caters to ideas. Many things that people think are indestructible are actually the product of ideas. From small families and companies to large societies and countries, they are actually the ideas of a group of people. If the ideas of most people change, these things will change in minutes.

Ideas are called consensus in the field of encryption, public opinion in the field of politics, and "water can carry a boat, but it can also overturn it" in the field of history.

No matter how dictatorial a tyrant is, no matter how powerful a violent machine is, no matter how terrifying a butcher knife and bomb are, they will inevitably be defeated by the general concept of the people.

On this point, the great teacher Marx's words are classic: "The weapon of criticism cannot replace the criticism of weapons. Material force can only be destroyed by material force, but once the theory is mastered by the masses, it will also become material force. As long as the theory convinces people, it can master the masses; and as long as the theory is thorough, it can convince people.

When the teaching chain talked about "people controlling capital", some pessimistic people immediately denied it and insisted that it was impossible. If everyone abandons the impossible concept, but claims their own rights, actively practices and exercises power, when every soldier, every civil servant, every worker, every farmer, every teacher, every student, every father, every mother... When everyone in a country thinks and does this, it will naturally be possible.

Just like the halving of BTC issuance and the total amount of 21 million coins, from the idea in Satoshi Nakamoto's mind, it became the common idea of ​​dozens or hundreds of early participants, and then became the collective idea of ​​millions, tens of millions of miners, coin holders, and ecological participants, and it became more and more indestructible.

After this idea has grasped millions, tens of millions, and even hundreds of millions of people in the future, how did it become a material force - a material force that cannot be destroyed by aircraft carriers and nuclear bombs? Through mining machines, computing power and PoW (proof of work). The world's invincible computing power is the "criticism of weapons". And the concept of "decentralized currency" conceived and designed by Satoshi Nakamoto is the "weapon of criticism".

Why can't BTC be "de-PoW", such as following the trend of PoS? Because from a philosophical point of view, the mentor has long warned us that the weapon of criticism cannot replace the criticism of weapons, and no matter how clever the design ideas are, they cannot replace powerful computing power.

Becoming a national reserve is another powerful concept on the development path of BTC.

Whether it is Kennedy Jr. or Trump, it is not important which specific individual proposed and promoted this concept.

The objective law of historical development determines that when BTC develops to this stage, it will inevitably give birth to and emerge more and more influential politicians who begin to advocate and promote this concept.

In the view of Jiaolian, this is the inevitable development of history.

From this point of view, it is not important whether Kennedy Jr. has a chance to win the election, and we don’t need to care or worry about it.

What is important is that when a politician begins to promote this concept, it means that this concept has been recognized by a considerable number of people.

So game theory can tell us for sure that this will definitely prompt more politicians to move closer to this concept.

When a country begins to include BTC in its national reserves as an element of national strategic competition, it will inevitably arouse the vigilance, evaluation, reflection and follow-up of other countries.

After all, in international competition and the survival of civilization, if you are not careful one day, you will lose everything. If a tiger takes a nap, it will suffer a century of humiliation. No one dares to despise it.

What kind of concept will be deeply rooted in the hearts of the people and become the choice of history? The mentor has made it very clear: if you can convince people, you can control the masses. What kind of persuasion looks like? Thorough.

Is BTC thorough? Thorough.

Along the way, countless people with ulterior motives who want to promote altcoins always like to label BTC people as "maximalists" and smear them as "extreme", "uncompromising", "closed" and "intolerant". All these labels, smears, criticisms and abuses are actually the supreme honor and medals!

It is precisely because of the "thorough" revolutionary nature of the BTC community, with an uncompromising spirit, and resolutely defending the purity of BTC, that it can continue to persuade people, and then control hundreds of millions of people around the world, become the most powerful material force, incarnate the criticism of weapons, survive the test of life and death, crush the mantis arm that blocks the car, and finally win the victory of the currency revolution.