91 sats \ 2 replies \ @ek 6 Jul 2023 \ on: BlackRock ETF is an Attack Vector bitcoin
I don't think they will do a hard fork.
But let's assume they will: I don't think that they will have the majority of nodes or miners on their side. Supporting a BlackRock hard fork would make bitcoin obsolete if BlackRock is in control of the hard fork. So it goes against the interest of all existing bitcoin users with their nodes, against all miners and now, in 2023/2024, even against the interest of all bitcoin companies.
Remember, in 2017, it was mainly plebs defending against a hard fork. Now, there are even companies on our side.
But let's assume their fork wins: What now? They just made their asset essentially useless if they are the ones in control of it. If their intent is to kill bitcoin. Fine. They won. But they lost all their potential upside by bringing bitcoin to the masses.
So imho, I don't think BlackRock will risk a hard fork.
Also, I think only companies who don't know better will use their ETF. There are a lot of them out there probably but when they are ready, they can take custody of their bitcoins.
Appreciate the counter argument. Let's acknowledge that BlackRock has wider interests that could benefit from an "uneconomic" re-definition of Bitcoin (as we know it), and that a significant proportion of global wealth custodians have relationship with BlackRock
And by BlackRock, I really mean, the families that control the trusts that own the myriad of companies that own BlackRock (and ultimately, the other 6 million BTC, the cloud server companies, the power grids, the phone companies, ISPs, and governments).
I also don't really mean BlackRock. I also mean all the BlackRock-type companies that these trusts / banking dynasties indirectly control.
Let's also remember that ALL existing bitcoin users, hodlers, node runners, miners, and bitcoin companies BENEFIT from the "legitimisation" of BTC, at least in terms of fiat price.
We don't even need the hard fork if the fungibility attack wins, and that could be a multi-decade affair.
I do believe this will be the last fight (fungibility, or kyc vs non-kyc) before the hard fork attempt, and then, hyperbitcoinisation. The big question, is which BTC will go hyperbolic. We all want Bitcoin to be free. We are all responsible for making it so.
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Regarding fungibility attack I think it’s a valid concern, however keep in mind that they will be limited to geographical zones and it's laws (USA & friends) in this case.
There is the possibility to move to another sovereign nation where there is no concept of “tainted" sats in it's law. This was not the case historically with gold or fiat for important amounts.
Blackrock trillions of paper money is not that important as it seems, they at most can become a private club holding 1 millon BTC.
The big game will be a global one, where countries see the geopolitical importance of Bitcoin and compete to mine and accumulate reserves of it. I suspect this is already happening at some scale since mining pools are very well balanced between USA vs Rusia/China and hashrate keeps going up.
So to effectively kill bitcoin you will have to form a "world government” and censore the tx's controlling the whole network. Even in this dystopian scenario alternative out-of-system markets will emerge as they always have.
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