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Bitcoin

The original memecoin, Bitcoin is a hedge against money printing and inflation.

Money: Store of Value

Investment Thesis

It's not so much that Bitcoin's value will rise, as the value of fiat currencies will fall.

  • Scarcity: Bitcoin has a capped supply of 21 million coins, making it deflationary and potentially similar to gold as a store of value.
  • Security: The Bitcoin network is decentralized and uses cryptography, making it resistant to censorship and fraud.
  • Global Accessibility: Anyone with an internet connection can hold and transact with Bitcoin, bypassing traditional financial systems.
  • Potential Returns: Bitcoin's history suggests high volatility but also significant potential for growth.
  • Low Correlation: Bitcoin's price movements may not be directly tied to stocks or bonds, offering portfolio diversification.
  • Institutional Adoption: Growing interest from major institutions could increase demand and drive up the price.
  • Utility: Store of value.

Context

Questions

At what point does Bitcoin's role shift definitively from speculative asset to reserve asset — and what macro event most likely triggers that recognition?

  • How does Bitcoin's fixed supply schedule interact with rising mining costs over time — and does the fee market develop fast enough to sustain security?
  • Which Bitcoin Layer 2 approach — Lightning, Taproot Assets, or BitVM — is most likely to make Bitcoin a programmable settlement layer without changing its base properties?
  • At what institutional ownership percentage does Bitcoin become "too big to fail" from a regulatory perspective — and is that a protection or a trap?