Do you agree with the statement, "It's responsible to save money"? If so, you disagree with central bankers, who purposefully design policies to discourage saving.

This is not a conspiracy theory. It's not even a secret. The Federal Reserve warns against deflation because it "creates incentives to save and postpone spending because prices will be lower and purchasing power greater in the future."

Opposing lower prices, savings, and higher purchasing power sounds nonsensical, yet central bankers have their reasons. They believe saving negatively impacts economic growth, so they engineer constant inflation via monetary policy.

Deflation is natural. Think about it: Shouldn't prices go down as we develop better technology? Innovation lowers prices, which in turn allows for healthy growth and capital accumulation.

On the flip side, higher prices keep us trapped in a never-ending rat race.

Fortunately, we can free ourselves from this trap instead of waiting for something to change. Bitcoin is deflationary money that you can use to get out without asking anyone for permission.

There will come a day when central bankers will need to acknowledge that saving in bitcoin is the new standard measure of prosperity.

NEWS

↔️ Twitter building peer-to-peer payments

Twitter is working on a payment feature that will let you send and receive money using the app. According to Financial Times, bitcoin and other digital assets are being considered as candidate technologies.

📣 Love it or hate it, politicians can't stop talking about it

In the U.S., politicians introduced three bitcoin bills this week, two state and one federal.

U.S. Senator Ted Cruz introduced the federal bill, which, if passed, would allow restaurants and vending machines in Congress to accept bitcoin and other digital assets as forms of payment. In New York, the proposed state bill would make bitcoin available for payments to state agencies. The most exciting bill, proposed in Arizona, would make bitcoin legal tender.

Of course, the discourse around bitcoin wasn't all positive this week. Canadian Prime Minister Justin Trudeau gave a speech mocking those attempting to overcome crippling inflation by buying bitcoin - inflation created from incessant spending by government leaders like himself. The internet had a lot to say, with some pointing out bitcoin's performance against the Canadian dollar since 2016. It's also not surprising rhetoric from a PM who froze the bank accounts of those who protested his policies and were, fortunately, able to use bitcoin as an alternative currency.

The takeaway? Bitcoin puts politicians in a catch-22. If they ignore it, it grows on its own, but if they talk about it, they spread awareness and probably accelerate adoption further.

👀 Layoffs are beginning to surface

Tech layoffs continue as Amazon, Google, Salesforce, and Microsoft cut headcounts considerably. In addition to "big tech," Coinbase, Silvergate Capital, Blockchain.com, ConsenSys, Genesis, and other "crypto" companies have reduced headcounts this year. Technology firms are usually more sensitive to interest rate hikes because they rely heavily on debt, and the layoffs signal significant labor market turmoil to come.

BITCOIN ADOPTION CONTINUES

Traditional finance behemoths BlackRock, JP Morgan, BNY Mellon, and Goldman Sachs announced plans to develop digital asset strategies.

Bitcoin's hash rate has reached a new all time high after the fastest 30-day increase ever. The most powerful computer network in human history continues to get stronger.

Bitcoin's premium in Nigeria is 60% higher than its spot price. Bitcoin is in extremely high demand there after the government imposed a limit on daily cash withdrawals to try to force adoption of its new CBDC.

Point-of-sale technology provider Clover is integrating the Bitcoin Lightning Network. This will bring Lightning to millions of merchants.

Mastercard is launching a bitcoin rewards card in Brazil, in partnership with Binance.

HOW BITCOIN WORKS

Learn one key idea about bitcoin each week. This week: Bitcoin is honest.

Former economist and regime apologist Paul Krugman took to Twitter last week to let everyone know inflation is not the problem they think it is.

The Nobel laureate and New York Times columnist said people are missing “the big deceleration of in the 2nd half of 2022,” and inflation actually looks in retrospect… wait for it… “transitory.”

His justification? Well, if you just remove food, energy and shelter,then inflation doesn’t look all that bad. Try telling Americans to remove food, energy and shelter from their monthly budgets and let us know how that goes.

But let’s try to stay measured in our assessment here. It's no surprise that the rate of inflation has slowed down as a result of raising interest rates.

However, Krugman exposes his true colors as a regime apologist when he tries to convince the public that the increased prices they see every day – and have been seeing for two years now – is all just part of a misunderstanding. (He also just happens to benefit from the inequities of the fiat system.)

Fiat money can be manipulated by central authorities who have the power and personal incentive to allocate capital in ways that benefit them at the expense of regular people. When the manipulation leads to economic crises, fiat proponents like Krugman do their best to obfuscate, misdirect, and gaslight.

In contrast, bitcoin’s transparency and dependability make it a more honest system. No single entity can control it, and nobody has to defend it with intellectual contortions and lies.

In a bitcoin economy, resources naturally flow to those who prove they can efficiently allocate capital and offer valuable goods and services.

Ready to get started with bitcoin? Coinbits is the best option. It's fast, safe, and free to create your account.

COIN CHECK

How will bitcoin miners get paid once all bitcoin has been mined?

1. Donations

2. Transaction fees

3. Interest payments

4. They won't

Check your answer at the end of the page.

FROM THE MEME POOL

BITCOIN ROUNDUP PODCAST

If you love our newsletter, you’ll love our podcast, too.

ANSWER

2. Transaction fees

   Once all 21 million bitcoins have been mined, miners will earn revenue from transaction fees. When someone makes a payment using bitcoin, they include a miner fee. Transactions with higher fees tend to be processed faster as miners compete for them.

Was this email forwarded to you? Sign up here.