They’re LYING To You About Bitcoin!! Here Are The Facts!!

There is a lot of disinformation and Misinformation out there about crypto Particularly about Bitcoin ironically Enough most of it has come from the same Mainstream media Outlets that claim to Fight fake news readers of their hit Pieces are often left feeling like they Should stay away from crypto and BTC Some would argue that that's the entire Point whatever the reason it's high time To correct the record my name is Guy and Today I'm going to address some of the Biggest criticisms of Bitcoin reveal Which are Justified discuss how they can Be addressed and examine why the Mainstream media's tone on crypto is About to Change I'll start by saying that most of The information in this video comes from A report titled quote revisiting Persistent Bitcoin criticisms it was Published earlier this month by Fidelity One of the largest asset managers in the World with we'll leave a link to the Report in the description if you're Interested now the report begins with a Bit of background basically Fidelity has Been speaking with wealthy individual And institutional investors about their Views on bitcoin since November 2020 Over the years they've noticed that These investors have consistently Brought up nine criticisms of the Project now Fidelity has divided these

Criticisms into two categories with five Being misconceptions and four being Potentially valid Criticisms the five misconceptions are That BTC is too volatile to be a store Of value that BTC has failed as a means Of payment that Bitcoin is bad for the Environment that Bitcoin will be Replaced by a competitor and that Bitcoin is not backed by anything if These misconceptions sound familiar That's because these are the ones that You see most most often in the Mainstream media chances are that this Is where Fidelity's investors got their Information from if so it underscores The importance of educating the average Person about crypto on which note if you Want to help others get educated about Crypto smash that like button and share This Video now regarding the potentially Valid criticisms you'll remember that There are four these are that there Could be a bug in bitcoin's code that Makes it worthless that regulations will Slow Bitcoin adoption that people could Lose interest in Bitcoin and that there Are quote unknown unknowns about Bitcoin From Fidelity's perspective the Possibility of any of the above Occurring is very small but nonetheless Large enough for these criticisms to be Somewhat Justified more importantly

These are criticisms that need to be Addressed for large investors to feel Comfortable investing in BTC and crypto In general but we'll come back to that Later first we need to address those Misconceptions you'll recall that the First misconception is that BTC is to Volatile to be a store of value the Authors argue that BTC is volatile Mainly because it trades quote without Intervention this could be a subtle Reference to the US government's So-called plunge protection team which Stabilizes trafi markets more about that In the description I Digress the authors go on to highlight The fact that btc's volatility has Actually been on the decline as its Adoption has grown as a fun fact coin Telegraph research estimates that btc's Volatility could fall to the same level As the US dollar in the next 10 to 20 Years assuming its adoption continues Obviously for now though BTC remains More volatile than most assets something That the authors themselves admit even So they insist that its volatility will Decline as people start to realize that Its similarity to Gold also makes it a Store of value note that we did a video Comparing BTC to Gold a couple of months Ago on that note it seems that the Authors missed one of the main reasons Why BTC is volatile people are still

Trying to understand what it is and how To measure its value on the one hand BTC Is a scarce digital asset on the other Hand Bitcoin is technically the most Secure payment Network on the planet at The philosophical level the fundamental Purpose of BTC is to take the power to Control money away from the central Banks and governments now nobody knows How much an asset like this is truly Worth and the fact that only a small Percentage of its Supply is tradable Only adds to the volatility and that Reminds me if you happen to be into Crypto trading you should check out the Coin Bureau deals page it's got up to 60% discounts on trading fees and up to $40,000 of bonuses on the best crypto Exchanges this offer is available for a Limited time only so check it out in the Description ASAP now where was I ah yes From our perspective btc's volatility Has little to nothing to do with its Status as a store of value Asset That's simply because other stores of Value like gold are also volatile even Fiat currencies are volatile consider That the Japanese Yen has lost almost 30% of its value against the US dollar Over the last two Years anyways the second misconception Is that Bitcoin has failed as a means of Payment the authors argue that Bitcoin Purposely sacrificed scalability for

Decentralization and and security they Also point out that it's wrong to Compare bitcoin's seven transactions per Second to Visa's 40,000 transactions per Second that's because transactions on The Bitcoin blockchain are instantly Settled whereas the thousands of Payments that Visa processes are only Settled after the fact sometimes days Later the authors also note the fact That Bitcoin settled $3.1 trillion worth Of transactions in 2022 40% of what MasterCard did What this means is that Bitcoin can be Used to settle high value transactions And the authors seem to imply that this Is what Bitcoin ought to be used for as For all the others the authors believe That they're better suited for layer 2 Scaling Solutions like the lightning Network which are more scalable than Visa more about the lightning Network in The description moving on now what's Fascinating is that the authors believe It's possible that the main reason why Bitcoin isn't being used as a means of Payment is because BTC is taxed as Property in the US and most other Countries this means that customers and Merchants need to keep track of capital Gains or losses on BTC transactions Again it seems that the authors missed One of the main reasons why BTC isn't Being used for payments the

Infrastructure for this is still being Developed this includes the layer to Scaling Solutions as well as the Applications required to use them we're Arguably still in the early stages of BTC payments it goes without saying that This is improving by the day and BTC Payments are becoming more widespread as The awareness and Adoption of Bitcoin Increases the thing is that this Awareness often comes with the added Awareness that you probably shouldn't Pay for things using a store of value Like BTC that's because stores of value Are well stores of value they're not Meant to be spent they're meant to be Saved this is something that's often Forgotten today thanks in large part to The people in power blurring the lines Between money and currency more about That in the description as well now the Third misconception is that Bitcoin is Bad for the environment naturally this Is a reference to Bitcoin mining which Uses a large amount of energy the Authors start by pointing out that most Of this energy is coming from renewable Energy sources and the trend continues In that direction notably the authors Don't deny that Bitcoin mining does use A lot of energy rather they ask whether This energy use is worth it they admit That the answer depends on who you ask And go on to explain that if you value

Things like Financial Freedom the Ability to transact freely then yes it's Probably worth it to those who say it's Not worth it the authors ask whether the Energy waste associated with the Existing fin Financial system is worth It after all there are estimates that The financial system uses more energy Than Bitcoin mining heck even clothes Dryers are estimated to admit more Carbon than Bitcoin mining and speaking Of which the authors spend a lot of time Talking about how Bitcoin mining is Being used to reduce such emissions for Instance Bitcoin mining can be done Using flared gas which would otherwise Go into the atmosphere Bitcoin mining Can also help subsidize renewable energy Operations and as you might have guessed The authors seem to have missed one of The main reasons why Bitcoin is not bad For the environment if you watched our Video about why inflation is destroying The planet you'll know that BTC is Deflationary this incentivizes saving Instead of spending by contrast the Existing Financial system is Inflationary this incentivizes spending Over saving the result is overc Consumption which lies at the core of Most of the environmental damage if the World switched to using a deflationary Currency this would stop overnight Without the need for a single regulation

Or tax the only reason this hasn't Happened already is because powerful Individuals and institutions have Trillions of dollars of debt that they Can't possibly pay back deflation would Make that debt more expensive and cause Them to default so the inflation must Continue at all costs anyhow the fourth Misconception is that Bitcoin will be Replaced by a competitor the authors Start by acknowledging the fact that Bitcoin's code being open source means That anyone could start their own Bitcoin however they argue that it's not Possible to create the same network Effect or ecosystem they go on to Explain that dozens of crypto projects Which branded themselves as the next Bitcoin have come and gone mainly Because they compromised on the Qualities that make BTC valuable and Thus failed to prove their point they Point to the fact that most of crypto's Market cap is Bitcoin and what's Interesting is that this infographic Includes eth dominance which has risen Considerably over the last two years or So this is presumably a reference to the Possibility that ethereum could someday Flip Bitcoin by market cap yet another Topic we've discussed at length in Another video now not to go on too much Of a tangent but it's possible that this Will never happen that's simply because

Bitcoin has no actual competition in the Store of value Niche whereas ethereum Has no shortage of it in the smart Contract Niche the increasing popularity Of Alternatives is effectively reducing Ethereum's market cap the more you know Now the fifth misconception is that BTC Is not backed by anything this is yet Another popular talking point among Mainstream media pundits notably those Closely affiliated with Wall Street the Authors argue that BTC is backed by Immutable computer code and its Ecosystem participants this includes the Users who transact on the blockchain Miners who process these transactions Nodes who store the history of these Transactions developers who maintain and Upgrade the code and BTC holders the Authors stress that a large ecosystem of These participants is what backs BTC as Such every additional user minor node Developer or holder further increases Btc's backing others have argued that BTC is also backed by the energy being Used to secure the Bitcoin blockchain This being the case then bitcoin's Immense energy use suggests that it's Backed by more than most assets but alas It seems that the authors missed the Underlying fact and that's that BTC has Value because people believe that it Does at the end of the day that is all That matters if we all decided that gold

Had no value then its price would drop Close to zero not to absolute zero as It's still used for some manufacturing And this is especially true when it Comes to Fiat currencies which are quite Literally backed by the governments Dictate that's literally the meaning of Fiat if we all decided that our Fiat Currencies were worthless then they Would actually go to zero that's why Financial authorities are so obsessed With appearances and credibility it's Also why Financial authorities are Terrified of any competition from Foreign Fiat currencies or truly Sovereign currencies like BTC and come To think of it it's a good thing that Most of them don't consider BTC to be a Currency if they did then it would Probably increase the likelihood of a Regulatory Crackdown anyhow you'll Recall that the four remaining Criticisms could be justified and the First of these is the possibility that a Bug in bitcoin's code could make it Worthless the authors start by Acknowledging that a bug is always Possible given that we're dealing with a Truly Global Network of Miners and nodes The authors then detailed two instances Where Bitcoin experienced a bug the First instance occurred in 2010 some Someone managed to Mint 184 billion BTC Without mining fortunately this was

Quickly fixed by Satoshi Nakamoto Himself unfortunately however the second Instance was a lot more problematic in 2013 Bitcoin was taken offline for 6 Hours after an upgrade to its node Software caused a temporary Fork of its Blockchain thankfully Miners and Developers were able to coordinate a Solution and roll back the Bitcoin Blockchain to the block before the fork But it still caused BTC to drop by 20% To $37 and yes I know what you're thinking I also wish I had bought the dip back Then too regrets aside the authors Emphasized the fact that Bitcoin has had No technical issues since 2013 and has Had 99.9% uptime since 2009 still they admit That another technical issue are after a Future upgrade is theoretically possible And this could result in a quote Precipitous price decline yikes now with This criticism we're honestly surprised That the authors didn't mention anything About Quantum Computing this appears to Be a much bigger threat than a bug at This point in time for context quantum Computers could theoretically crack Bitcoin's cryptographic code rendering It useless the good news is that this is A tail risk Bitcoin Developers are aware Of a malicious actor with a quantum Computer would also probably Target

Other infrastructure first such as Banks The bad news is that governments could Theoretically use quantum computers to Take down Bitcoin if it becomes a threat So let's hope that doesn't happen Anytime soon lo and behold this Possibility ties into the second Potentially justifiable criticism of Bitcoin and that's that regulations Could slow Bitcoin adoption the authors Argue that regulation is bullish not Bearish that's because it sends a signal That Bitcoin is significant enough to Warrant regulation but they also Acknowledge that there are circumstances Where this regulation could become Excessive they seem to imply that Signature Bank and silvergate Bank are Two examples of this they were both Pressured by Regulators to shut down now It's crazy that Fidelity is implying This in a report and this relates to Something that the authors would never Imply much less admit and that's that Its powerful asset managers and mega Banks which influence much of the Financial regulation in the United States SEC chairman Gary Gensler has Admitted in hearings that these are the Public comments they listen to if you've Been keeping up with our coverage of Crypto regulations you'll know that There appears to be a battle for Influence between the asset managers and

The mega Banks when it comes to crypto Regulations the asset managers want to Make money but the mega Banks don't want Competition now we could be mistaken but When you view crypto regulations through This lens particularly in the US then The inconsistencies from Regulators like The SEC start to make sense now it's too Soon to say which of these interests Will win the war of influence but recent Events suggest the asset managers are Currently winning if this is the case Then you can bet that we will start to See more reasonable crypto regulations Introduced as the years go by that's Just because these asset managers are Likely to make a lot of money on crypto And you can bet that they're going to Use this money to influence even more Regulators it's a bit messed up but hey It'll be bullish for Bitcoin and for Crypto in the end and this relates to The third rational criticism of Bitcoin And that's that people could start to Lose interest interest now what's insane Is that the authors believe it's Possible that this could happen because Of Central Bank digital currencies or Cbdcs this is insane because they Couldn't be more different whereas BTC Was designed for Financial Freedom cbdcs Are designed for total Financial control If you've watched any of our many videos About cbdcs you'll know that central

Banks have explicitly stated that they Intend to do things like limit how much You can save and how you can spend your Money it's hard to Fathom how people Would start to prefer cbdcs over BTC Given these qualities if anything the Introduction of cbdcs would further Incentivize them to get their money out Of the traditional Financial system and Into assets like BTC and gold it's Possible that we're seeing the early Stages of that now to be fair the Authors seem to assume that the cbdc in Question would not have these qualities And they imagine a scenario wherein People don't care at all about things Like Financial Freedom and funnily Enough they seem to lump those who don't Care about crypto decentralization into The same category here here what's even More Illuminating is the fact that Bitcoin's adoption continues to grow Something that the authors put on full Display specifically the number of Bitcoin wallets holding fewer than 10 BTC has exploded over the last decade or So indicating not only more adop option But more wealth distribution but back to The possibility that people could lose Interest in a world where governments And central banks are increasingly Trying to control what we can do and say The idea that Technologies like Cryptocurrency which allow us to

Maintain this self- sovereignty would Fall out of favor seems impossible in Our opinion the only way this would Happen is if governments and central Banks succeed in censoring true Information about Bitcoin and crypto and Replace it with their false propaganda Some would say that this is exactly what We're seeing today but well let's not go There now the fourth criticism of Bitcoin is one that we agree with and That's that there are unknown unknowns In plain English there could be a Problem that nobody could have Anticipated conversely things like a bug In bitcoin's code are known unknowns Meaning we know they could happen just Not when or how what's spooky is that The authors include the reappearance of Satoshi Nakamoto as one of the known Unknowns this is spooky because coinbase Also noted the return of Satoshi as a Potential risk to The Exchange in one of Its SEC filings it's believed that Satoshi holds 1 million BTC imagine if He or they Sold anyhow spookiness aside the fact of The matter is that there's no shortage Of unknown unknowns when it comes to Bitcoin this is because of something we Mentioned earlier we're still early in Crypto's adoption cycle objectively Speaking there is a lot we don't know Including how to properly measure btc's

Value the authors also note something That we would have forgotten and that's To remind everyone that they need to be Comfortable with knowing that there are Unknown unknowns moreover investors Should take the time to ensure that Their portfolios are protected against Such Black Swan events if possible now All of this brings us to the big Question and that's why the mainstream Media's tone on crypto is about to Change at first glance it seems that This is completely unrelated to what we Just discussed upon closer inspection However you'll realize that asset Managers like Black Rock can influence These Outlets similarly to The Regulators it seems that for a long time It was the Mega Banks who had the upper Hand with the media as time goes on However it seems that the asset managers Are more in control of the narrative at Least when it comes to crypto if this is Indeed true then we could see less fud The caveat is that these asset managers Also have enemies in the crypto industry Particularly exchanges and stable coin Issuers that refuse to be controlled and Are based outside of the United States Not surprisingly most of the recent Crypto to FUD in the mainstream media Has focused on these entities this Further underscores the importance of Educating the average person about

Crypto as amazing as it is that the Mainstream media could soon start to Support the industry this support will Likely go to the entities aligned with The asset managers and their allies the Others will continue to be opposed over Time this favoritism could turn the Crypto industry into yet another arm of The existing Financial system something That many crypto regulations explicitly Seek to do it seems that the only Solution to this existential problem is To ensure that the average person is Aware of what's really going on and you Can rest assured that this is something We will continue to Do okay that's all for today's video so If you found it informative be sure to Smash that like button to let us know if You want to stay informed subscribe to The channel and ping that notification Bell and if you want to help inform Others be sure to share this video with Them remember that the coin Bureau deals Page has trading fee discounts of up to 60% and up to $40,000 of bonuses on the Best crypto exchanges it's also got the Biggest discounts on the best hardware Wallets too the link will be down in the Description thank you all so much for Watching and I will see you in the next One