Scarcity is lack
When there is no longer lack,
You're postcapital.
Food, shelter, and drink:
All that we necessitate.
What else do we want?
Freedom of movement.
Freedom from wage-slavery.
Freedom of conscience.
A perfect system,
The Internet lacks nothing
But it's just info.
How can we apply
The lessons of Internet
To our capital?
Equity is fair.
But with crytoequity,
Where is ownership?
A transcendental,
Meta-economic thought:
"What is currency?"
Currency measures
Fairness, or the appearance
Of fair transaction.
Cryptoequities:
The appearance of value
Determines value.
A fair transaction
Transfers, transcendentally,
Equity for cash.
Disrupt cash value
Destroy faith in the system
New systems emerge.
A novel system
Is already rising up.
We are pioneers.
What's the difference?
Since a credit card can fail,
Bitcoins act like cash.
More security:
One humungous, shared ledger
Of all transactions
Free society
Has, at its core, privacy
You must act in trust.
Don't use latest tech:
Futureproof the encryption
Test it over time.
Distributed trust
No prime agency is key
Permits greater speed
Permanent times stamps:
To maintain security.
Maintain the blockchain.
Deep security.
A blockchain is more hack-proof
Than a government.
Move forward in time
It's difficult predictions.
Move backward, it's not.
Complex to simple:
Causation needs more power
To process hashes.
A chain of hashes:
Each an individual
Movement of Money.
Own your own data
Get paid if it's valuable
End of Big Data.
Banks are post-paper
But still use paper logic:
It's horse and buggy.
Two billion people
Cannot afford bank account.
Stuck with microfees.
Banks aren't transparent.
Instead of using smart cash,
Take days to settle.
There's no incentive
To improve banking product,
Just to add in fees.
Pegged onto a hash,
Sidechains borrow resources
(Computing power).
It's with symmetry,
Freely shared information,
Banks make less profit.
Permissioned blockchains
For existing financiers
Wary of bitcoins.
Finish one, move on
I write this like a blockchain
Haiku to haiku
Increase time required
By appending some zeroes
To the start of hash.
Fully peer-to-peer
Currency evolution.
Trustless protocol.
Form philosophy,
Necessary core beliefs
To help understand.
How Satoshi thought
Subterranean desires
Is interesting.
The banks were bailed-out
Due to stock market crashing
Some change was needed.
Paypal stopped service
For WikiLeaks donations.
Spotlight on bitcoins.
Freeware banking apps
With more portability
Could soon replace banks
Bitcoins computate
To eight decimal places
Rather than hundredths.
Error-free ledger.
Complete, searchable data
In minutes, not days
Company secrets,
Using permissioned access,
Can be protected.
Robotic time stamps
Threaten audit companies
With obsolescence.
Limit government.
The bitcoin enterprise is
Libertarian.
Miners behave with
Rational self-interest
Verifying facts.
One select miner
Adds next block to the block-chain
Every ten minutes.
Only consensus
Keeps the process running well.
No reward for cheats.
Cryptographic hash
Leads to seemingly random
String of bit data.
Debit and credit:
Double-entry accounting
What about a third?
Ledger's third copy
In bits of public blockchain
Thus: triple-entry.
What's core software's aim?
Really advanced bookkeeping.
A perfect ledger.
In this modern age,
We lose efficiency to
Clumsy bookkeeping.
Moral dilemma:
Should we centralize data
Of many clients?
Charge card transactions
Fraud and identity theft
Become possible.
When we pay with cards,
Some intermediaries
Hold our stats in trust.
Trust our financiers
Trust they won't wreck currency
Trust the printing press
We don't need such trust
We keep the complete records.
Cost of lies too great.
Like a lottery,
Find the nonce in ten minutes,
Before new one formed.
If two solutions,
Official one is based on
The next block's value.
Open source software:
One can freely alter it
And look at the code.
Bitcoin programmers
Conservative with changes
To default settings.
Immigrant workers
Can wire their money back home
Without crippling fees.
Peer-to-peer network
No intermediaries
Like handling of cash.
Within the blockchain
We all store the same ledger
One hundred percent.
Unalterable,
Frozen in time, forever,
Once transaction made.
Solved problems such as:
How do computers all sync
Sans master ledger?
By mining bitcoin,
Zombie farm makes more money
Than double spending.
Peer-to-peer network
Appears more resilient
To government raid.
By printing money
Instead of raising taxes
Currencies inflate.
Changing mining ease
Controls bitcoin inflation
By faster hardware.
The longest blockchain
Is automatically
The official one.
Rare to a limit,
We can guess bitcoin supply
At a future date.
It is scarce like gold,
But portable like e-mail.
Measured improvement.
Where are bitcoins stored?
In addresses on blockchain.
Use with private keys.
How to get around
The double-spending problem?
Rehash full ledger.
Satoshi wrote code
Before he wrote white paper
To confirm it worked.
Public key decrypts
To validate transaction.
Private key encrypts.
Transaction request:
Address of payer, payee;
Amount of bitcoins.
A small change to block
Forms completely different
Cryptographic hash.
When trying to mine,
Trial-and-error solution.
Millions of attempts.
Traditionally,
Vendors pull funds from account;
Bitcoins are pushed out.
Push reduces fraud,
Limiting vendor access,
And preventing charge-backs.
Bitcoins in ledger.
Keys authorize transactions
So store keys safely.
Casual users
Interact with their wallets.
Manage cash and keys.
Protecting network,
The more powerful machines
Run the Bitcoin Core.
Miners sync ledger
And validate transactions
With shared protocol.
What do miners gain?
They share computing power
For chance at new coins.
Mining reward speed
Is adjusted in real time
To power input.
Orphaned transactions
May take more than one cycle
To be included.
Proof-of-work trumps trust
The first entry that obtains
Is legitimate.
Miner incentive
When all twenty-one million
Bitcoins have been mined?
The transaction fees
Comes from pennies in all blocks.
Nodes are paid from that.
Credit cards and cheques
Can bounce days or weeks later.
Bits done in an hour.
Microfinancing
Currently pays middlemen
Transfers should be free.
The smallest fraction
One one-hundred millionth
Is one satoshi.
Coins can be coloured.
A satoshi represents
A deed for a car.
When coloured bitcoin
Is transfered, it is timestamped:
Time owner changes.
Program real-world goods.
Such as a temporary
Digital car-key.
Company issues
Programmable smart money
To limit credit.
One key per address
Is only the default mode.
Can do multi-sig.
Two-of-three wallet
Requires two sigs to open.
Can be further scaled.
Over peer-to-peer:
Sell internet connection
With a fingerswipe.
For transparency
Should voting be on block-chain?
What are benefits?
Currency needs to be scarce;
Easily divisible;
One hopes, portable.
Solid currency:
It needs to be durable;
Valued over time.
Bitcoin is all this
Except it's decentralized
And programmable.
A genuine risk,
Fifty-one percent attack,
Could destabilize.
Is bitcoin a threat?
How will governments respond
To mathenomics?
Confirmation time:
Speed versus security
Is a real trade-off.
Like evolution
Being an algorithm,
So too is e-cash.
Test of a theory.
Exchange without force or fraud:
Nozick's self-owners.
With self-ownership,
Nobody has rights to you,
Or to your labour.
Just minimal state --
Protecting from force, fraud, theft --
Remains efficicent.
Success of Bitcoin
Is a point for anarchy:
Proof that it can work.
Everyone has rights
That noone may infringe on.
May? Or rather, can.
State monopoly
Upon the usage of force
Violates our rights
Is in the worst case
A state superior to
Best-case anarchy?
When building a state,
The whole procedure must be
Moral, in good faith.
Against the state's rights:
What one may do to Other
Is what state may do.
State in non-state terms
Fundamentally explains
Government theory.
Even wrong theory
How state could have arisen
Helps explanation.
The state of nature:
Perfect freedom to do all
But harm Other's rights.
The indignity:
To agree to state control
Is to be Measured.
Without punishment:
Injustice on injustice.
How to end a feud?
In state of nature
One may not be strong enough
To protect one's rights.
Association:
Groups of individuals
Can help enforce rights.
This is protection,
Like number of honest nodes
Working together.
In case of dispute,
Third party can be summoned
Even if not State.
Power to enforce,
If third party is not State,
Must be guaranteed.
Two parties may opt
For represention by
Two distinct agents.
In the above case,
If two agencies differ,
Third agent brought in.
The third agency,
Up until now not needed,
Is federal mode.
Of necessity:
From anarchy arises
A minimal state.
A requirement.
Common protective systems
To solve differences.
Scaled economies,
The division of labour,
And market pressures.
All, when combined with
Rational self-interest,
Is minimal state.
From state of nature,
Rational self-interest
Becomes rule of law.
A monopoly
A state has on use of force,
Not a state without.
For example, One:
Outsider group have own laws.
Punish by own rules.
For example, Two:
One may pay for protection
To distinct degrees.
Invisible hand:
Adam Smith's economics.
What's the opposite?
Hidden hand theory,
Controlled from shadows above:
A conspiracy.
A few generals,
Some loyal; some traitorous,
Surround a city.
For siege to succeed
Armies must coodinate
Through foot-messengers.
Loyal generals
Must be able to agree
On plan of attack.
Disloyal leaders
Must not cause loyalists to
Adopt a bad plan.
When a computer
Gets conflicting messages
It's like Generals.
Byzantine problem:
Guarantee same messages
To all generals.
Unanimity:
Byzantine Fault Tolerance:
Loyals all agree.
How to guarantee?
A network in parallel
Forms a proof-of-work.
Every general
Receives hash data from each
And computes the hash.
The majority
Is the rule they all obey:
"Traitor tolerance".
Wisdom of the crowd:
The best plan is made by most.
Traitors can't stop it.
Haikus by Trevor Salyzyn
https://mookesylum.blogspot.com/2017/05/bitcoin-haikus.html