The times they are a’changing. But regardless of how much change we’ve witnessed through the years, many still find it difficult to envision the next transformational shift.

Whether it’s the evolution of the internet, smartphones, or the advent of streaming services, all of these and more have completely revolutionized our world into one we wouldn’t recognize two or three decades ago. We’ve certainly evolved.

One useful insight from this evolution is the powerful compounding effects of new technology. People from across of the world are now connecting with each other daily, tapping into resources and knowledge never previously accessed.

This has opened a world of new possibilities. Any willing contributor can now offer services previously provided by a few gatekeepers. There is no longer one way to approach a problem. The marketplace of ideas that is the internet is constantly experimenting with new solutions.

Enter bitcoin. In our previous world, there was only one way to approach money. And one source from which it was provided. But similar to the fragmentation of other systems, the old method is now under question. Is there a better way from a better source? The world is looking for the answer.

News

Saylor sounds off on unregistered securities (all other cryptocurrencies)

Michael Saylor, whose company Microstrategy is the largest public holder of BTC, argued this week that the majority of cryptocurrencies are unregistered securities and should be required to register with the SEC. Saylor noted that in contrast to most cryptocurrencies, bitcoin has no management, no employees, and a finite supply. He went further, stating that while cryptos are largely untrustworthy and trade without full disclosure, they are collateralized with bitcoin, bringing the asset down when they fail. Saylor claimed bitcoin adoption at the institutional level is being prevented by the "slime that gets onto the asset class from all the unregistered securities."

Big Four firm Deloitte to onboard businesses to bitcoin

The accounting and consulting giant has partnered with NYDIG to assist its institutional clients in adopting bitcoin. “The future of financial services will center around the use of digital assets,” said Deloitte’s digital asset lead, Richard Rosenthal. Deloitte, one of the Big Four accounting firms, is a major player in the global financial scene, with reportedly 90% of Fortune 500 companies as clients.

Fed Chair: Dollar’s international role changing

In a speech this week, Federal Reserve Chair Jerome Powell sent a message about the dollar's perceived future as the dominant global reserve currency. Powell stated, “Rapid changes are taking place in the global monetary system that may affect the international role of the dollar.”

In response to this trend, he said the Federal Reserve is examining the merits of creating a central bank digital currency (CBDC), citing that other countries already have or are developing CBDCs. He also referenced a Fed white paper that argues a CBDC could help maintain the dollar’s international standing.

There has been a lot of discussion regarding the dollar’s diminishing role as the world reserve currency, and it appears the Fed is noticing this fragmentation.

Bank of International Settlements feels the heat, publishes paper on “future of the monetary system”

The Bank of International Settlements (BIS), owned by various central banks, produced a 41 page report detailing what it believes to be the future of the monetary system. The paper argues a few different points, centered mainly around “crypto’s unsuitability” and central banks being the bedrock of our financial system. Some choice quotes:

• “The monetary system with the central bank at its centre has served society well”

• “The crypto universe is unsuitable as the basis for a monetary system”

• ‘Digital money is better built on top of Central Bank Digital Currencies than crypto’

See Coinbits’ official Twitter for a more in-depth (and hilarious) look at the paper. The entire thing reads like an antiquated institution desperately trying to persuade others that it is still relevant and serves the public interest.

BITCOIN ADOPTION CONTINUES

Hublot offers limited edition watches for bitcoin

The popular Swiss watchmaker allows customers to purchase 200 limited edition watches using bitcoin and other digital assets.

South Korea to delay bitcoin taxes for citizens

The country originally delayed taxes until 2023, but has decided to offer more favorable legislation to its citizens and is now pushing back any potential taxes on bitcoin gains until 2025.

Earn bitcoin while listening to your favorite podcast

Fountain, a podcast platform, now allows its users to earn bitcoin while listening to their favorite podcasts. The CEO Oscar Merry said, “Every minute that you spend consuming content, creating content, or viewing ads, increases the value of the platform you’re using.” The company is looking to recognize this by rewarding both listeners and podcasters with bitcoin.

Citibank establishing bitcoin custody platform

The global financial services giant has partnered with a digital asset custody firm in Switzerland to build its digital asset custody platform. The bank’s Global Head of Securities Services stated, “We are witnessing the rapid digitization of both traditional investment assets and native digital assets.”

Third largest Russian Oil Co now mining bitcoin

Recently sanctioned companies Gazpromneft, a state-owned natural gas giant, and Bitriver, a bitcoin mining company, have announced a partnership to build mining facilities powered by the oil giant’s energy. Gazprom is the 10th largest oil producer in the world and owns the gas monopoly in Russia.

Lightning payments Co IBEX adds Miami businesses

IBEX specializes in onboarding banks and businesses to the lightning network, allowing them to accept bitcoin payments online and via POS systems. The company signed on 85 new clients in Miami this week.

HOW BITCOIN WORKS

Learn one key idea about bitcoin each week.

This week: Bitcoin is ownership

There is a quiet, reassuring feature of bitcoin that brings solace to holders who understand the uniquely powerful nature of the network amid the market meltdown.

Unlike other asset classes, bitcoin is not tied to the existing system. Yes, we tend to price bitcoin in USD or a local currency to gauge the current value society places on it.

However, like any other currency that has existed far longer than bitcoin: one bitcoin equals one bitcoin.

When you realize the money you hold is superior to all others, you can start to denominate your wealth in that money, knowing its likely trajectory over a longer period of time.

Bitcoin is a threat to the existing financial system because bitcoin lives outside the current financial system. It just doesn’t seem this way when you denominate its value in fiat.

When you hold traditional assets, they are tied to the legacy system. Prices have a tendency to fluctuate based on the monetary policy of this system, as opposed to the actual value. A good example is the substantial housing appreciation Americans have witnessed over the past two years. The homes didn’t change - no updates or additions were made - yet their values ballooned. Many are now predicting a subsequent crash. In the simplest terms possible: we turned the money printer on, then we turned it off.

If all of this seems rather arbitrary and futile, that's because it is.

Bitcoin was designed to live outside this system of boom and bust cycles that affect everyone in the system, not just the decision-makers. In bitcoin, we have a predictable, unchanging monetary policy, a completely transparent ledger, and a finite unit of account.

We have permission-less access and control of our money through a smartphone or simple hardware device. Bitcoin is an incorruptible monetary network that frees us from an existing system that too often serves a few at the expense of the many.

At Coinbits, we believe good money eventually drowns out the bad, so however long this bear market lasts, seek comfort in knowing your total bitcoin remains unchanged. If you’re like us, you’re currently getting more good money for less.

If you happen to be a Coinbits user, we encourage you to withdraw your bitcoin from our platform and into your own custody. For more information on how to do this, please see: How to take custody of your bitcoin.

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

COIN CHECK

What is the difference between a hot wallet and a cold wallet?

1. A hot wallet is more secure and connected to the internet

2. A hot wallet is less secure and not connected to the internet

3. A cold wallet is less secure but not connected to the internet

4. A cold wallet is more secure and not connected to the internet

Check your answer at the end of the page.

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ANSWER

4. A cold wallet is more secure and not connected to the internet

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