{"id":450938,"date":"2022-05-22T08:18:00","date_gmt":"2022-05-22T05:18:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\/"},"modified":"2022-05-22T08:18:00","modified_gmt":"2022-05-22T05:18:00","slug":"bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\/","title":{"rendered":"# Bitcoin stands apart from other crypto, and what that means for US public policy"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a404d8cdb2ea\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a404d8cdb2ea\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\/#%E2%80%9D_Bitcoin_stands_apart_from_other_crypto_and_what_that_means_for_US_public_policy_%E2%80%9C\" >&#8221; Bitcoin stands apart from other crypto, and what that means for US public policy &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\/#Lets_talk_about_Bitcoin\" >Let\u2019s talk about Bitcoin<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\/#Heres_what_that_means_for_public_policy\" >Here\u2019s what that means for public policy<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Bitcoin_stands_apart_from_other_crypto_and_what_that_means_for_US_public_policy_%E2%80%9C\"><\/span>&#8221; Bitcoin stands apart from other crypto, and what that means for US public policy &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-2a0745c6>United States President Joe Biden\u2019s executive order on digital assets has kickstarted an interagency mission to support financial innovation while protecting American consumers and interests. While many industry leaders welcome the constructive tone, some critics hope for a crackdown. We don\u2019t blame them.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/c3ba85dd-0457-4e28-8369-f20056ca9b00.png\"><\/figure>\n<p>Many cryptocurrency projects operate behind thin veils of decentralization. In public, they\u2019re sold on the premise that they distribute power. Behind the curtains, leaders pull the strings. In the recent case of Wonderland, a serial scammer and felon directed a $1 billion treasury.<\/p>\n<p>Many projects secretly pay influencers to shill their tokens. The price pumps. Insiders dump. Naive investors lose money. Sometimes, the shillers are celebrities. And, sometimes, those celebrities leak the surprisingly low cost of their integrity.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Year of sponsorships: Celebrities who embraced crypto in 2021<\/em><\/strong><\/p>\n<p>Hundreds of projects suffer technical vulnerabilities. Seemingly every week, hackers exploit hidden software bugs. The third-largest ever occurred in early February, with $326 million \u2014 gone. And then in late March, another $600 million \u2014 poof.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/06317d86-0510-4735-b2a3-4cd80b041d13.png\"><\/figure>\n<p>Many cryptocurrencies are blatant <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bbc.com\/news\/business-59129466\" data-amp=\"https:\/\/www-bbc-com.cdn.ampproject.org\/c\/s\/www.bbc.com\/news\/business-59129466.amp\">scams<\/a> \u2014 some, proudly pyramid-shaped. Market participants treat these as facts of life, with oft-used terms for exit scams (\u201crug pulls\u201d) and pyramid-shaped projects (\u201c<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2021-11-24\/ten-crypto-or-web-3-0-arguments-to-bluff-your-way-through-thanksgiving\">Ponzis<\/a>\u201d). <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/b08d9919-6168-4836-9c5f-4e25886b62d4.png\"><\/figure>\n<p>To most, cryptocurrencies look the same, like tomatoes pasted in Aisle 9 \u2014 only tasteless, useless, and more numerous. The cynical see the menu of cryptocurrencies as a proxy most-wanted list. Neither group is entirely wrong.<\/p>\n<p>Yet one item on the menu stands apart. It is arguably one of the more important technological advances since the internet, itself. Buy it or not, we don\u2019t care. But we three professors do <a rel=\"nofollow noopener\" target=\"_blank\" href=\"http:\/\/resistance.money\">care<\/a> to bring one simple message: Bitcoin (BTC) is <em>special<\/em>. It deserves study and discussion.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Lets_talk_about_Bitcoin\"><\/span>Let\u2019s talk about Bitcoin<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Bitcoin is genuinely decentralized. Tens of thousands <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/luke.dashjr.org\/programs\/bitcoin\/files\/charts\/historical.html\">run<\/a> nodes all around the world. Operating a node is easy; you could do so within the hour with an internet-connected computer and a few hundred gigabytes of storage. In 2017, these nodes <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.amazon.com\/Blocksize-War-controls-Bitcoins-protocol\/dp\/B08YQMC2WM\">vetoed<\/a> a controversial change to Bitcoin that would have upped the network\u2019s centralization by making it harder for ordinary people to run a node. In doing so, they trumped a majority of Bitcoin miners, exchanges and other powerful legacy players. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/85bedaaf-72f3-427b-b4cb-3ceb7920adce.jpg\"><\/figure>\n<p>Bitcoin\u2019s decentralization makes it fair. No foundation enjoys a trademark or governs its monetary policy. This contrasts not only with more centralized cryptocurrencies but with the Federal Reserve, itself. In the past year, three Federal Reserve officials have <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.usnews.com\/news\/business\/articles\/2022-01-10\/fed-vice-chair-richard-clarida-resigns-amid-trading-scandal\">resigned<\/a> after a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of, let\u2019s say, well-timed trades. Bitcoin has never had any officials resign in disgrace \u2014 it has no such officials. The network automates these jobs away.<\/p>\n<p>Bitcoin\u2019s decentralization also makes it secure. Most money is digital and sits under the thumb of third parties like banks and payment processors. But innocent Russian and Canadian citizens remind us that third parties can freeze and seize those balances, especially when subject to state pressure. Reliance on third parties jeopardizes funds. Bitcoin participants can hold their own private keys and thereby save and send value without third parties. Bitcoin is in a different league than other cryptocurrencies. In the digital age, Bitcoin\u2019s unparalleled level of decentralization makes it <em>the<\/em> safe haven from state and corporate overreach.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>The meaningful shift from Bitcoin maximalism to Bitcoin realism<\/em><\/strong><\/p>\n<p>And unlike most other cryptocurrencies, Bitcoin never had a private token sale to venture capitalists or an initial coin offering to enrich insiders. Bitcoin is the most widely distributed digital asset. In an important sense, it has no insiders \u2014 only early adopters. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/87983c36-bae8-41ec-87f1-fa65045feada.jpg\"><\/figure>\n<p>The main early adopter, Satoshi Nakamoto, mined about a million Bitcoin (5% of the maximum supply). Satoshi\u2019s holdings are fully visible, and Satoshi never spent a single dime. With most other cryptocurrencies, the rich get richer, sometimes in hidden ways, and have more say over the network. Not so with Bitcoin.<\/p>\n<p>Whereas some projects move fast and break things, Bitcoin moves slowly but surely. Bugs are rare. Granted, this conservative <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>roach has tradeoffs. Upgrades are as rare as bugs. And Bitcoin lacks the flexibility of other platforms. But in exchange, countries and corporations feel secure with Bitcoin on their balance sheets.<\/p>\n<p>You may have heard of hacks and stolen Bitcoin. These cases don\u2019t involve weaknesses in Bitcoin, itself. They illustrate instead the pitfalls of insecure key storage or relying on third-party custodians.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Satoshi may have needed an alias, but can we say the same?<\/em><\/strong><\/p>\n<p>Finally, Bitcoin is no scam. It can certainly be <em>used<\/em> for scams \u2014 much like the U.S. dollar, or other digital assets. But the Bitcoin network offers final settlement of its native asset, much like the Federal Reserve System offers final settlement of the U.S. dollar. People do speculate wildly on the Bitcoin price. Such is the way for early stages of innovation. And people worldwide need it even as privileged Westerners speculate.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/3fab7185-9877-4deb-9178-27eab1e422c4.png\"><\/figure>\n<p>Bitcoin\u2019s design involves tradeoffs, to be sure. Its public ledger makes privacy difficult, though not impossible. It requires energy for its security. And its fixed supply engenders price volatility. But for all that, Bitcoin has become something remarkable: a neutral monetary system beyond the control of autocrats. Ideologues will balk as they seek that perfect \u2014 but perfectly elusive \u2014 monetary system. Wise and pragmatic policymakers, by contrast, will instead seek to use Bitcoin to improve the world.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Heres_what_that_means_for_public_policy\"><\/span>Here\u2019s what that means for public policy<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>First, we must not assume that cryptocurrencies share more in common than they, in fact, do. Bitcoin leads them all precisely because no one leads <em>it<\/em>. The policy must begin here from a place of understanding \u2014 not of cryptocurrency, in <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>, but of Bitcoin, in particular. As President Biden\u2019s executive order conveys, digital assets are here to stay. The general category isn\u2019t going anywhere precisely because Bitcoin, itself, isn\u2019t going anywhere. We owe it special attention. Not Bitcoin only, but Bitcoin first.<\/p>\n<p>Second, Bitcoin is credibly neutral since the network remains leaderless. Consequently, the U.S. can use and support Bitcoin without \u201cpicking winners and losers.\u201d Bitcoin has, in fact, already won as a globally neutral monetary network. Nurturing the Bitcoin network, using Bitcoin as a reserve asset, or making payments over Bitcoin would be analogous to deploying gold within the monetary system \u2014 only digital, more portable, more divisible, and easier to audit and verify. <\/p>\n<p>We commend President Biden for recognizing that digital assets deserve attention. We\u2019ll need all hands on deck \u2014 from computer scientists, economists, philosophers, lawyers, political scientists, and more \u2014 to spur innovation and nurture what\u2019s already here.<\/p>\n<p><em>This article was co-authored by <\/em><strong><em>Andrew M. Bailey, Bradley Rettler <\/em><\/strong><em>and<\/em><strong><em> Craig Warmke<\/em><\/strong><em>.<\/em><\/p>\n<p class=\"post-content__disclaimer\"><em>This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<\/em><\/p>\n<p class=\"post-content__disclaimer\"><em>The views, thoughts and opinions expressed here are the authors\u2019 alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.<\/em><\/p>\n<div>\n<div style=\"background: rgb(239, 239, 239); border: 1px solid rgb(204, 204, 204); padding: 10px;\"><strong>Andrew M. Bailey<\/strong>, <strong>Bradley Rettler<\/strong> and <strong>Craig Warmke<\/strong> are fellows with the Bitcoin Policy Institute and the Resistance Money Bitcoin research collective and teach, respectively, at Yale-NUS College, the University of Wyoming and Northern Illinois University. Warmke is also a writer for Atomic.Finance.<\/div>\n<\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-stands-apart-from-other-crypto-and-what-that-means-for-us-public-policy\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Bitcoin stands apart from other crypto, and what that means for US public policy &#8220; United States President Joe Biden\u2019s executive order on digital assets has kickstarted an interagency mission to support financial innovation while protecting American consumers and interests. While many industry leaders welcome the constructive tone, some critics hope for a crackdown&#8230;.<\/p>\n","protected":false},"author":1,"featured_media":450939,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvOTdmNDNkNjItZGRlMi00NDg3LTk5NzctZjlkYjI2NjA1Y2M4LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74858,74894,74863,74868,74355,70934,4965,67874],"class_list":["post-450938","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-regulation","tag-blockchain","tag-cryptocurrencies","tag-defi","tag-adoption","tag-regulation","tag-technology","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/450938","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=450938"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/450938\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/450939"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=450938"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=450938"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=450938"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}