As the doors opened on the second day of BTC Prague, there was a palpable difference in the atmosphere compared to the opening day. It could be the arrival of public Bitcoiners or their unofficial leader, Michael Saylor. Either way, the event was heavy on enthusiasm for the future of Bitcoin. The LondonLink team is here for the whole event, so please get in touch!
Changing the World in Unpredictable Ways
Bitcoin criticisms often centre on its existence just about making the wealthy more wealthy. This criticism simplifies it as another asset that makes you rich—a perspective that overlooks its broader impact. It was quite the opening claim from Riccardo Giorgio Frega (aka Rikki), an excitable Italian libertarian Bitcoin activist.
Rikki argues that Bitcoin is not only an asset for wealth accumulation but a transformative protocol with global significance. Across Africa and South America, communities increasingly accept and use Bitcoin as a hedge against inflation. In Turkey, where the Turkish Lira is experiencing high inflation (69% this month), citizens quickly convert their wages to other Fiat and Bitcoin to preserve value. In South Africa, children learn about Bitcoin and the Lightning Network, and communities use Bitcoin as both a store of value and a medium of exchange. Rikki claims that “Bitcoin is a lifeboat for billions of people”.
21 Rules of Bitcoin
Although it would be selling Rikki’s presentation short to say he was just the warm-up guy, he did a great job of firing up the packed arena for the event’s star attraction. Michael Saylor, co-founder and CEO of MicroStrategy, is a leading advocate for Bitcoin. Under his leadership, MicroStrategy has heavily invested in Bitcoin, viewing it as a superior store of value. His single-minded vision, not to mention his incredible financial backing of Bitcoin, means he’s become a rock star and thought leader in the Bitcoin space.
His presentation delivered his 21 Rules of Bitcoin. Saylor was at pains to ensure his audience understood they were not THE rules but his version. His rules highlight Bitcoin's transformative impact on economics and humanity. He asserts Bitcoin is ‘perfect money’ and represents a paradigm shift that challenges the conventional understanding of economics and humanity. His rules did get a little repetitive, and certainly not 21 rules-worth, but they were high on meme-friendly images and catchy quotes. Here’s our summary in a more palatable five rules:
- Those who understand Bitcoin buy it. Those who don’t criticise it. Everyone is against Bitcoin before they support it. They don’t understand it because rejecting new and challenging ideas is a natural human reaction.
- You will never fully understand Bitcoin. Bitcoin is not just a protocol; it’s an economic virus. What that will mean for 8 billion people and 300m corporations, we can not yet imagine. Saylor cited the Second World War to explain how traditional wealth assets (Fiat, property, art) can quickly disappear amid disorder. The more confused governments get, the more inefficient cities become, the more chaos there is, and the worse other investments are. Bitcoin outperforms everything else. Bitcoin is the one thing in the universe that you can truly own. Everything you own, you have at the pleasure of someone else, meaning it can be taken away by appropriation, taxation, inflation, entropy and time. This idea redefines the principle of property.
- Everyone gets Bitcoin at the price they deserve. Instead of buying Bitcoin with money you can afford to lose, Saylor urges you to only buy Bitcoin with the money you can’t afford to lose. Don’t invest in taking a risk; invest in avoiding risk. Everyone gets Bitcoin at the price they deserve, meaning that all Bitcoiners regret that they didn’t start sooner and didn’t invest more (for Saylor, his moment was December 2013).
- Support Bitcoin, but don’t be against Fiat. Bernard Arnault is the world's richest man. He has a net worth of $221 billion and controls the massive luxury conglomerate LVMH, but he still prices things in local currency. We still need Fiat to survive, so don’t put all your eggs in one unstable basket.
- Bitcoin is for everyone. Everything you love and hate will be a supporter of Bitcoin one day. Your enemy will buy Bitcoin. The AI that takes your job will run on Bitcoin. You need to learn to think in Bitcoin. Bitcoin has grown more than 50% annually for the last five years. New businesses have a 99.9% mortality rate, so don’t get distracted by other ideas to accumulate wealth. Diversification is selling the winner to back losers. Sell Bitcoin only when you need to.
Saylor’s final message was one of tenderness: “Spread Bitcoin with love.” After delivering a rousing speech filled with apocalyptic warnings of doom, destruction, and the ushering in of a new dawn, Saylor finished on a more generous tone: “Satoshi, forgive them; they know not what they do.” Amen to that.
The Case for Self Custody
Trezor CEO Matěj Žák provided some interesting insights into the need for self-custody. He asked how much bitcoin you own before quickly turning that on its head with: How much do you own Bitcoin? Of the total 21m Bitcoins, 7% is still to be mined, 9% is owned by miners and Satoshi, 10% by governments, 57% by individuals and an incredible 17% has already been lost. As a hardware wallet vendor, it was this lost figure that Žák focused on. Of the 500m crypto users worldwide, only 2% use hardware wallets, resulting in $15 billion evaporating through hacks, scams and bankruptcy—sobering thoughts. In the session, The Only Way to Own Your Money Is 100% Self-Custody, Tony (no surname) witnessed first-hand the destruction of Lebanon’s citizen’s life savings, leaving millions of people in ruins — a horror movie Tony believes will happen time and again. An influential proponent of owning your wealth, his consulting business helps people to protect themselves. Tony advises choosing open-source air-gapped hardware (i.e. not physically connected to a computer), running a node, stamping your seed phrase into steel or titanium, and dispersing any vital information.
Bitcoin as a Tool of Freedom
Another ‘star turn’, Stella Assange, a justice and free speech advocate and wife of Julian Assange, highlighted Bitcoin's role in sustaining WikiLeaks after global financial institutions blocked donations following its publication of US documents. On the 13th anniversary of WikiLeaks first accepting donations in Bitcoin, she emphasises Bitcoin's importance for economic freedom, allowing transactions without government interference. Despite logistical challenges, Bitcoin enabled WikiLeaks to continue operations. It is a vital tool for individuals in countries like Belarus, India, and Afghanistan, where banking systems are controlled or restricted. Bitcoin supports free speech, property rights, and access to capital markets, serving as a crucial asset for NGOs and individuals.
Censorship Resistance
The conclusion of day two featured an interesting session around the theme of privacy and censorship. Nostr bills itself as a simple, open protocol that enables global, decentralised, and censorship-resistant social media. To one of the panellists, confessed dissident journalist Efrat Fenigson, it seemed the perfect solution to many of her communications challenges. A frequent social media user but a vocal opposer of government actions, Efrat fears the overreaching arm of the state interfering with her voice by removing content they don’t like. However, despite the service's proclamations of ease, supported by other Nostr fan-boys on the panel, Efrat argued that it was too early for non-technical people to consider using. Onboarding is complex, and client services running Nostr differ in the quality of their user experience. Nostr is a little way from crossing the chasm.
Day Two, done!
Enthusiasm was undoubtedly more evident today, and the event thrived as a result. Mr Saylor and Mrs Assange's star attractions helped, but the quality of sessions was once again outstanding. Bring on day three!
Look on the blog and our social channels (LinkedIn, X) for live updates from BTC Prague 2024.
