BIGGEST BITCOIN MISCONCEPTIONS | Barack Obama, J. Dimon & Winklevoss

Oh good morning good morning morning Merry
Christmas it’s almost New Year today I thought we
would talk about the biggest misconceptions when it comes to Bitcoin
do you think Bitcoin is a fraud yes the biggest problem I see with Bitcoin why I
would never buy it is that they could steal them from your like their hack
into your phone or something I hope I know people that have lost all their
money like that so full disclosure I have invested a little bit in Bitcoin I
have stored it on the external hard drive so it should be completely safe
for hacker attacks so don’t even try I feel like this is really important to
put out there in the beginning of this video seeing us there’s two camps as the
people who say Bitcoin is a conspiracy theory why is Bitcoin a fraud here’s the
reason governments they like to control the currency they controlled through a
central bank they also like to know who has it wait until someone gets hurt wait
until it’s used for illicit purposes which is somewhat useful there’s
purposes they close it down you both made the point when you were on the
morning show now people could put their money where their mouths are right
because you’ve got people like Jamie Dimon calling Bitcoin a fraud so if you
think it’s a fraud go short it absolutely yeah we’ve been working
really hard to give Jamie Dimon opportunity to short Bitcoin and anybody
who says that you know it’s a fraud or a bubble you can go now put your money
where your mouth is and that against a Bitcoin we think of Bitcoin as gold and
I think if you look at gold some people point to an intrinsic value of gold but
that really doesn’t explain the value of gold it might explain 10-15 percent of
the actual value of gold gold has value because we all agree that it has value
and we’ll all accept gold and as a collective acceptance and and value that
way Bitcoin in addition to being increasingly accepted around the world
and more people coming to the system by the day has the minor mining Network
which is one of the largest computer networks in the world and it’s backed by
cryptography a lot of people would look at the US dollar or government backed
currencies and say a government in counterparty risk the average lifespan
of a currency is roughly 27 years look no further than
the Zimbabwe dollar they have I think a trillion dollar bill or Venezuela the
the history of most currencies is really terrible and I must admit I’m probably
in that camp I really do believe that this has a lot of positive and very very
transparent features that I feel the current economic system has been lacking
since it really started all that being said this will be my top five
misconceptions when it comes to Bitcoin or crypto in general let’s get into it
and yes if you new to the concept this is what I call a block you mentary if
you’re new to the channel then subscribe it’s extremely difficult to make these
right if my parents watch this video they’re probably going to give me a hard
time about that so blog you mentary the concept is pretty simple we talked about
in important topic throughout my day and yeah it does get a little bit confusing
sometimes to do feel free to ask any questions you want in the comment down
below first of all before I Drive anywhere I
really love to look into the lens and have that yeah I’m not able to do that
while I’m driving and I do have to go to a meeting in
Hanning today so feel free to hate me for looking this way when I’m talking
but I have to do that it’s required by law I’m sorry the first thing I want to
talk about today is the fact that everyone is saying big going to bobble
bitcoins a bubble the size and scale of this initial yes rally we’ve seen in
Bitcoin stepping away from yesterday versus other stock market rallies is
what put it that in perspective I mean in terms of stock market there’s
just no example of any stock market of any breadth doing anything remotely like
this if you begin to look into commodities which are more like what
people perceive Bitcoin this sir as being it’s still pretty much off the
charts a gold or silver apart from when you bring in tulip bulbs which is done a
lot of analysis on which are also commodities of a kind yes if you look at
the tulip mania in in Holland in the 1600s there were a number of things that
were very similar tulips were new to Europe at the time there were such
things as tulip derivatives you could get certificates for taking
control of juice they changed the regulations and yes you saw the final a
few months of the tulip craze you did see a rise that was even greater than
what we’ve seen in the last year or so in Bitcoin keep in mind I’m not an
expert on this but everything that I have been able to find that I feel like
is legitimately transparent points towards is not actually being a bubble
the issue is it can become a bubble if it all fails the system itself is not
perfect so if that is the case let me bear with it let me explain this
basically what Kryptos and blockchain technology allows is for a decentralized
economic system where we don’t need banks or governments actually very scary
I know and the question we now have to ask is if technologically it is possible
to make an impenetrable the device or system where the encryption is so strong
that there’s no key there’s no door at all then how do we apprehend the child
pornographer how do we disrupt the terrorist plot what mechanisms do we
have available to even do simple things like tax enforcement because if in fact
you can’t crack that at all government can’t get in then everybody’s walking
around with a Swiss bank what’s really really really great about
this the entire system can be transparent and we can see everything
that’s going on at any time meaning no one can defraud in taxes we can see what
assets every person have at all times which I see a tremendous value in now
keep in mind I do have Bitcoin I do have skin in the game
I am also not an expert so don’t take everything I say as a hundred percent
undoubted truth I really do encourage you to check up on everything I say
because I do try and make this as transparent conversation as possible see
the people who are against this the people who say that kryptos in general
are a bubble are people who most of the time are either bank CEOs or very very
rich individuals who honestly stand to lose their entire purchasing power if
this system is put into place and they don’t have any of it converted into
Bitcoin in time let’s just go with Bitcoin I mean we could talk about the
theory more like coin and if you’re a more like I might actually be better
examples because the theorem has the smart contracts which could run entire
governments and render those literally useless or like coin where we know the
owner and the owner just sold all of his own shares in the light point meaning he
no longer have any financial incentive to actually make this become a thing but
he’s still working on it because he sees the value this could create for equality
and for general standard of living throughout the world see if you’re a
person living in this world you put your trust or your purchasing power
in these middlemen who let’s just be a little bit frank keep messing up in the
sense that we have boom bust cycles we have crisis then we have booms and then
we have a new crisis that’s actually not because they come that’s because that’s
how the economic system works that’s how our entire society works and that comes
down to a lot of different things some economists say it’s because well as an
individual you would never deduct yourself in pay so if your pay
consistently grows throughout your life and it can never go the other way then
so does the items you purchase with your wealth have to always inflate a little
bit in prices and that does it make some sort of sense the issue with that is
that is not really what’s going on see what’s going on is that the middlemen or
well the Federal Reserve’s really the people that can inflate the fiat
currencies have the power to steal your purchasing power let’s take an example I
feel like I need to explain this if there’s only a hundred bills in
circulation a hundred bills in total in this example let’s say you have the
hundred bills that means you can buy anything in the world that you have all
of the purchasing power in the world if the bank then decides to print another
hundred they have effectively cut your purchasing power in half you can now
only buy half as much for the hundred dollars then you could previously that
is the dangerous part that is why people see such an immense value in cryptos
because Spit coin Bitcoin because bitcoin cannot be inflated they are say
cap they said limit – I believe it is 21 million bitcoins
and they can never be mined a second one and this kind of leads me into my second
misconception the first one being is it a bubble where my answer really is it is
a bubble until it actually takes over the financial system if you see the
interest in that and most people will like as soon as the next bust cycle
happens everyone is going to jump on crypto because Kryptos will not lose
their value there is no middleman there is no government that can inflate that
value take Venezuela for instance – well I saw a sixteen hundred percent
inflation rate this year that is insane you have you could have worked for 50
years put all your purchasing power all your wealth into this Venezuelan
currency and then within 48 hours boom all of it is gone and you can go down
and spend millions and buy what a loaf of bread no one can keep up with that
and it destroys lives so as soon as people understand this distinction no
one is gonna want to use the fiat currencies anymore the average lifespan
of a currency is roughly 27 years and this is a very dangerous thing you need
to keep that in mind because the banks and the people who are making money on
the current economic system or the people who have money the current
economic system are not interested in this happening so they kind of have to
debunk it or make it sound like their tulip fever in the 1600s that oh it’s
gonna be a bust it’s a bubble it’s no it’s never gonna work out with me more
or less deeds match tulips but that’s the one example you can come up with
them any significant and of course we know how that the tulip bulb which was
with a catastrophic fall of course now if we try and work out some of the
possible reasons that could justify this huge run-up in bitcoin Yun that you kind
of point to in the article is of course the unprecedented printing of money that
we have had that many thought would either lead to a spike in inflation or
gold prices clearly inflation hasn’t spiked is that a possibility that that
could explain this and it’s just that this is the currency or commodity that
is reacting to that huge wave of money there’s certainly something to that yes
although I’m still not clear why you wouldn’t just make it gold which has
worked very well when have you’ve been worried about
the basement of paper currencies in the past and gold of course for the last few
years has done nothing special at all I think where it does fit in and I’ve been
getting an awful lot of feedback about what I’ve been writing obviously where
it does fit in is it fits with the mood of radical distrust in central banks and
I can’t blame people for feeling distrustful after the last 10 years and
in government’s more broadly there’s this very exciting possibility that this
fits in with the notion of a world without governments and if you are in a
stage where you really don’t trust democracy let alone central banks
there’s something exciting about Bitcoin that it was misconception number one
misconception number two is that it’s a bad thing even if it is a bubble because
it really is when you think about any system any store of value in this world
it’s it’s effectively a bubble housing is a bubble the internet was a bubble it
is still a bubble everything that has value has to be a bubble it has to be
inflated because demand is what drives it supply and demand is put together in
this world of scarcity I think everyone knows what I mean
they’re simply going to be a connection between how much we actually have and
how much we’re willing to pay if it’s easy to get no one’s gonna put on a pail
up for it when we talk about this bubble as being a bad thing it is actually
because in a Fiat system where you can get into these boom bust cycles people
lose everything they have when it goes bust misconception number three is that
miners can take advantage of the system there is a thing called bad miners
miners can actually attempt to take over the system but doing that is by design
almost impossible because that person or that community of bad miners needs to
take on the rest of the world and there are so many they need to consistently
beat out the rest of the world who are good miners and the entire system the
entire reason why the equations keep getting harder and harder is because it
needs to cost a certain amount of electricity to run the algorithms to
keep making the incentives to be bad smaller see you get paid in Bitcoin
meaning your incentive to destroy Bitcoin is diminished you get paid a
fixed rate – cannot change the rate they get paid you kind of decide the rate
when you make the transaction this does also once again diminish the incentive
for the miners to actually be bad because they cannot control the prices
that is the biggest misconception I see in newspapers here in Denmark right now
everyone is talking about how oh Satoshi Nakamoto the inventor of Bitcoin
or well crypto in general really he created a lecture and we don’t really
know who it is it’s an acronym it could be a group of people it could be a
person we don’t really know and to be quite frank I don’t really care because
the whole argument that we don’t know who it is so here’s goes he’s just gonna
get super rich from this I mean he was the inventor I don’t mind him getting
rich I kind of feel like he deserves to get rich since he invented the system
just like every other system ever if you invent something new you deserve to get
credit for it and live off of the monetary gains you should get from that
when we then talk about these bad miners that argument really also goes out the
window and when it comes to people the biggest misconception I’ve actually
probably this should actually really have been number one but you get one out
but this is just a conversation okay so now we’ve debunked the bad miners we’ve
debunked the whole bubble mentality and we’ve debunked the whole tulip fever oh
it’s gonna bust thing not saying go short because I know Jim Chanos lives up
there yeah yeah Bitcoin can tell hundred thousand dollars a Bitcoin before it
goes down so it’s not a advice and what you do the next thing I want to talk
about is the fact that Bitcoin can be used to do illegal stuff if you actually
look at the graphs Bitcoin is not number one when it comes to buying guns or
drugs or anything because most of the people who actually use Bitcoin to
finance their illegal activities make sure that there’s actual proof in the
blockchain that they have done something illegal at this time
there’s a timestamp and there’s a transaction number and there’s an amount
these three things will be in the blockchain forever this is why
blockchain technologies are way way way better at actually catching criminals
once they use crypto currencies to finance it if they had just used cash
there would be no way of tracking it if we didn’t know the individual number on
all of the bills abused encrypt so if you know something bad has happened you
can go back in the blockchain and check so doing something illegal in Kryptos
it’s like putting up a sign where you committed the crime saying the person
with this responding number got this at this time to do this at this point and
yes you can’t really see why they got it but trust me accountants will not have
any trouble putting those things together so doing illegal stuff with
cryptocurrencies or Bitcoin in general is really stupid that’s also the dumbest
misconception I would probably be a little bit harsh and say the next thing
I really feel just boils my blood whenever someone says it is that Bitcoin
itself will win no matter what because of all of the things I just said that is
simply not the case see yes it is true that I believe that a cryptocurrency
will take over the economic system at some point simply because of all the
benefits I can transfer money to everywhere in the world with no wait
time and almost no fees compared to having to wait about 14 days and
almost 10% in exchange rates and transfer fees and bank transfer fees and
there’s just immense amount of wasted efforts going into the existing system
when it comes to exchanges and transfers and the entire middleman business really
is obsolete today because of this crypto because of the possibilities the crypto
really offers so I do see a cryptocurrency take over at some point
but that it is going to be Bitcoin simply because it’s the most famous one
it’s just not the case we don’t know what crypto is gonna take over
it could be aetherium it could be like coin it could be dogecoin for whatever
manner thing it could be any coin because making a cryptocurrency is
incredibly easy I have actually created my own I can output it I’ll put it here
I call it the our coin I created this in probably half a day it does not take
that long this of course is missing the whole mining bit like I need to actually
have the computing power to run all of these algorithms but and the algorithms
keep getting harder and harder but this is essentially all the blockchain needs
to have to function so they really can’t there’s no killing the concept even if
they outlaw Bitcoin or cryptos in general they’re still really no stopping
it because it’s a decentralized system you can’t it’s like the internet you
can’t turn off the internet like that and even an EMP wouldn’t stop Kryptos
because you can actually make transfers on a piece of paper you don’t need the
internet or electricity really you just need it would take a lot more time to
run the algorithms but you would still be able to do it so we don’t know that
bitcoin is so going to win a lot of people are assuming that it’s Bitcoin or
nothing bitcoin is actually not in my opinion
the most attractive one right now yes now I’m talking Danish as well I have
this entire set up it’s been working wonders so well in fact that I’ve been
rambling for 35 minutes and now it has no more battery I am outside where I’m
gonna have the meeting now it’s in this building right here
I really wish this was all that has gone wrong because I also tried to fly my
drone which was impossible because apparently the gimbal got damaged so
this is the only footage I was able to get I don’t know what I’ve done to
deserve this but I don’t think I can blame the banks ah to be continued I

26 thoughts on “BIGGEST BITCOIN MISCONCEPTIONS | Barack Obama, J. Dimon & Winklevoss

  1. Personally I agree with Obama's views on cryptography, it is troubling to keep systems behind completely unhackable walls but in my opinion that is why blockchain technology is completely transparent! Let me know what you think! 😀 – and thank you so much for watching!!

  2. I agree it will never go away but because it's so easily created it can lead to doubt in it's perceived value and could possibly lead to the end of crypto currencies. Is it possible to build a program that seems to run like a crypto currency but it actually be a scam in some way? Idk a whole lot about it but it seems like all that needs to happen is for doubt to be instilled some way with the idea of crypto currencies and they will become another dead currency. Of course I support a reality were currencies are no longer relevant so I'm bias in that I have no faith in any monetary system. Like the video and the format.

  3. Congrats on your excellent channel Jonas! Subscribed a few days ago.
    Top marks for content, style and execution.
    It was fun to hitch a ride in your car through Danish countryside.
    Hope you continue in this manner.
    I Intend to check with you often.
    Greetings and wishes for your continued success in the year 2018 from Edmonton, Canada.

  4. It would be great if you can also make a video and discuss about other Cryptocurrencies like Ripple which are not minned. Do they defeat the purpose or is it still a good use?

  5. I like what you are doing but a bit too much nothing . Try editing a bit more of the empty stuff and try not to say long sentences , keep statements brief and to the point

  6. misconception: teeneager that are still trying to understand the world can tell us how the world works.
    we can choose the fee for miners ah? BS! you'll get your trnsaction stuck forever

  7. Because we don't know which currency will prevail, I suggest investing a little amount in many of them. (Like 20 or something). If one of them blows up it will repay the 20 others easily

  8. …Bitcoin has forked 3 times so far,…. how many more,……… ??????????

    …and yes the banks are all corrupt beyond imagination.

  9. Just recently found you and have been watching some of your recent videos and now after this video here, you are already one of my Favorite YouTube channels. Notifications turned on for every future video of yours, great content and conversation (:

  10. I thinks it's quite possible that there will be no single cryptocurrency dominating the market. As long as transfers between different coins remain quick and cheap, we may end up with a whole bunch of them, and the funds will be pretty evenly distributed among a number of coins. It's also safer to keep one's eggs in many baskets, especially when technology makes it convenient.

  11. Hey, Jonas. I agree that in a very long term perspective (50-100+ years) BTC might not be the most important crypto. But right now, and as for the next 10-30 years I think it will be. The reason are these:

    BTC is soon reaching 10 years of reliability.

    – 1st mover advantage
    – Most known
    – Fastest growing (in the means of devs and reputation)
    – Most secure way to store your wealth (based on hashing power and market cap value over time)
    – Deflationary, lowest circulating supply
    – Most developers, most brainpower
    – Tech building upon an existing infrastructure which will make most other alt coins obsolete – like Lightning Network, SegWit, Roostock, Testnets, Atomic Swaps etc. (Fiat was a tech built around other value assets like property, real estate, gold etc.)

    – Scalability (if LN and SegWit will fail), then you might see BTC only be used for really high priced assets, and not really as often by ordinary people who might need to turn to other cryptos.
    – Needs more ease of use and user friendlyness
    – Needs to get even more developers and brain power
    – Needs people to realize its portential and tech without getting distracted by FUD and scam coins
    – Needs people to understand inflation more, and how the money printing is ruining lives of ordinary people

    Bitcoin is proving that it can withstand time and attacks and still remain on top (and still grow), which makes it one of the best stores of value there is to day. Therefor you can argue that it gets even safer the longer it remains in command, even though prices go higher.

    If people will find a way to store wealth, they will go for the safest. Security is also a big driving force when it comes to adoption as well, even though some other coins might be "faster, cheaper fees etc".

    Would you store your wealth in a secure, but hard to use vault for a long time, knowing its safe and still there when you open it again(even paying a yearly fee to keep it there)? Or would you put your wealth in a wallet which is easy to use, you can carry it around and easily access your wealth at all times, but you can get robbed and loose your wealth?

  12. Hey Jonas, great channel, just subbed! Just one little nittpicky thing; you should work on your sound levels, the volume isnt balanced out I think; the beginning is quite loud compared to the part where you start talking for example.

  13. Jamie D is the fraud. Always has been. He called it a fraud and then bought after it crashed after the bogus China news. There will be fraud games all the way past unimaginable numbers. The internet was not understood for YEARS when if first came out. We are seeing the same ignorant talk with cryptos now. As for the bubble, Greenspan called the stock market bubble FOUR YEARS before the the peak of the internet run. This run is NOTHING to what will be here in 2020.

  14. Dear Jonas, I honestly do believe you deserve a much wider audience. I hope your channel grows fast and you don't give up till that happens. Best of luck!

  15. Please help me understand this: You say there is a finite number of bitcoin, so inflation isn't a thing. But what if after the next crash of Bitcoin, there is an overwhelming trend to mine and invest in some other currency like Etherium. Isn't that inflating the Bitcoin currency? If the marked just decides that public trust in Bitcoin took to many hits an you can make more money speculating with a new, easy to make currency? There even is a big incentive for those who are making money in this market to let one currency die and hype a new one.
    What am I getting wrong?

  16. Bitcoins are “Gold”????
    The writing on the edge of the Bitcoin art says 999 COPPER!!!!

    Look at the coin artwork the upside down 999 becomes 666.

    It is gives TROY as a clue.
    Remember the TROJAN HORSE. People admired the Trojan Horse and they invited it in and it destroyed them!

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