Wednesday, October 19, 2011

Very Good Sentences

Their common saying, "Oh, that's politics," always pointed to something that in any other sphere of action they would call shabby and disreputable. But they never asked themselves why it was that in this one sphere of action alone they took shabby and disreputable conduct as a matter of course. It was all the more strange because these same people still somehow assumed that politics existed for the promotion of the highest social purposes. They assumed that the State's primary purpose was to promote through appropriate institutions the general welfare of its members.

That's from Albert Jay Nock's essay Anarchist's Progress, originally published in the American Mercury, 1927.

Another juicy part:

The State did not originate in any form of social agreement, or with any disinterested view of promoting order and justice. Far otherwise. The State originated in conquest and confiscation, as a device for maintaining the stratification of society permanently into two classes — an owning and exploiting class, relatively small, and a propertyless dependent class. Such measures of order and justice as it established were incidental and ancillary to this purpose; it was not interested in any that did not serve this purpose; and it resisted the establishment of any that were contrary to it. No State known to history originated in any other manner, or for any other purpose than to enable the continuous economic exploitation of one class by another.

Monday, August 29, 2011

What is Crypto Anarchy?

Some of us believe various forms of strong cryptography will cause the power of the state to decline, perhaps even collapse fairly abruptly. We believe the expansion into cyberspace, with secure communications, digital money, anonymity and pseudonymity, and other crypto-mediated interactions, will profoundly change the nature of economies and social interactions.

- THE CYPHERNOMICON, by Timothy C. May V:0.666; Q:2.13.1

Sunday, June 26, 2011

Debit cards poised to get much more expensive

According to this LA times article (HT: qualia8):

The bottom line is that banks stand to lose more than $10 billion a year in merchant fees and more than $6 billion in overdraft fees. They'll be looking to make it up somewhere — and it's likely to be from the mainstream debit card users, not just the sloppy ones.

More incentive to switch to a lower-friction medium of exchange.

Saturday, June 25, 2011

The Future

The Extent of the Bank Run on Mt. Gox

Update -- 2011/06/26 13:24pst: I still can't get to my money, but it looks like they still have at least ~26000BTC left.


It's that large, recurring transaction at the top with the slightly downwards slope. Mt.Gox can presumably pay it's debts until that gets to zero (at least).

I don't have my money yet, but I'm not worried. For now.

Friday, June 24, 2011

Bitcoins are Free!

The Global Bitcoin Stock Exchange (GLBSE) is Live!

It can be found at (But I get a certificate warining)

See the stock prices here:

A breakdown of some the stocks:


Ubitex makes it easy for you to meet someone in person, and do the transaction face-to-face. And since you pay in cash, face-to-face, fraud is nearly eliminated.


SkepsiDyne Integrated Node is a mining company that is publicly listed on under the ticker SIN. As of June 19, we've sold 1,547 shares, and sold the BTC raised for over $9,000. We currently have 9 rigs producing ~8.1 Ghash/sec.

Some more stats for SIN


As far as I can tell it's another mining company?


Yet another mining company

5) GLBSE:CM400

CentiMine: Anonymous mini-mining contracts


Another mining company

Thursday, June 23, 2011

Assorted Links

1) Meshkit looks super interesting

2) The flashcrash has convinced me it's time for lastpass

3) RantRadio looks interesting

4) LulzSec strikes again!

5) Bitcoin and Agorism

Gavin Andresen reads MarginalRevolution

Awesome. is my favorite blog. Tyler Cowen's blog (and book!) has (very evidently) been a huge influence in how I approach blogging.

Sunday, June 19, 2011

June 19th 2011: The Bitcoin Flashcrash

In case you missed it:

Mt. Gox Account Compromised. Huge Sell-off.

UPDATE: MTGox Database compromised. That password is no longer secure. Change them!

From their blog:

Huge Bitcoin sell off due to a compromised account - rollback

The bitcoin will be back to around 17.5$/BTC after we rollback all trades that have happened after the huge Bitcoin sale that happened on June 20th near 3:00am (JST).

Service should be back by June 20th 10:00am (JST, 01:00am GMT) with all the trades reversed and accounts available.

The Canadian exchange cavirtex did not collapse, and AFAIK does not need a rollback.

Friday, June 17, 2011

Very Good Rhymes

See some of us are looted with mail and suited as well
But still blind like you're fluent in Braille

-Chali 2na

Thursday, June 16, 2011

Bitcoin: What would Milton Friedman Say?

From wikipedia (HT)

Friedman believed that if the money supply was to be centrally controlled (as by the Federal Reserve) that the preferable way to do it would be with a mechanical system that would keep the quantity of money increasing at a steady rate.

Note he advocates a steady rate, if the money supply was to be centrally controlled. I wonder what he'd think of Bitcoin's deflationary nature?

However, instead of government involvement at all, he was open to a "real," non-government, gold standard where money is produced by the private market: "A real gold standard is thoroughly consistent with [classical] liberal principles and I, for one, am entirely in favor of measures promoting its development."

It sounds like he's for private banking backed by gold, but..

He did however add this caveat, "Let me emphasize that this note is not a plea for a return to a gold standard.... I regard a return to a gold standard as neither desirable nor feasible—with the one exception that it might become feasible if the doomsday predictions of hyperinflation under our present system should prove correct.

Inflation like this MIT estimate? An elaboration:

A real honest-to-God gold standard is not feasible because there is essentially no government in the world that is willing to surrender control over its domestic monetary policy

So he was for a steady rate of monetary growth, if centrally controlled. He was for gold, but didn't know how to get there as no government would surrender control.

Now there's the potential to take it back, weather they surrender it or not.

I'm left with more questions than answers.

Ghost Cities

What's wrong with this picture?

No, it's not CG. It's one of many Chinese ghost cities (lots of pics!):.

China plans to build 20 cities a year for the next 20 years. The unacknowledged problem is finding buyers for those hundreds of millions of new homes.

"China consumes more steel, iron ore and cement per capita than any industrial nation in history. It's all going to railways that will never make money, roads that no one drives on and cities that no one lives in."
"It's like walking into a forest of skyscrapers, but they're all empty," he said of Chenggong.

Very Good Sentences

I think Bitcoin and cryptocurrency stands to challenge and has the potential to topple the very notion of unlawful trade, just like the printing press challenged and toppled the notion of unlawful speech.

That's from Rick Falkvinge's (@Falkvinge) piece "Bitcoin’s Four Drivers: Part One – Unlawful Trade"

Tuesday, June 14, 2011

Very Good Sentences

In fact, Bitcoin takes the denationalisation of money a step further than Hayek did. Where Hayek’s system requires government to remove legal tender laws and Rothbard’s requires governments to return to the gold standard, cryptocurrencies like Bitcoin have no such political prerequisites. There is no bank to shut down, no specie to seize (the downfall of the ill-fated Liberty Dollar) – nothing at all for governments to aim at, except individual users. And as the war on internet piracy should demonstrate, such a campaign cannot be other than costly and ineffective.

That's C. Harwick's (@thrica) article 'Bitcoin and the Denationalisation of Money'.

Tomorrow (June 15th) should be a big day for Bitcoin

Tomorrow Gavin Andreson (@gavinandresen , Bitcoin technical lead) will give a presentation on Bicoin to the CIA. He'll then join Bruce Wagner (@brucewagner , host of the Bitcoin Show) on onlyonetv for a de-breifing.

Combine that with the bump that's surely on the way from the Economist article and it should make for an interesting day!

Some videos to prime you for the action:

1) Bruce Wagner joins Stefan Molyneux on Freedomain Radio

2) CIA's venture capital arm, In-Q-Tel evaluates Bitcoin

Monday, June 13, 2011

Sunday, June 12, 2011

Bitcoin coverage roundup: June 12th

1) Looks like bitcoin survived it's first major correction as an old-timer cashed out. This is a good thing. It makes the market stronger, and lets us pick up bitcoins for a deal. To those yelling 'bubble', lets maintain perspective: this correction only undid 4-days worth of growth.

2) More Bitcoin/Silk-road scaremongering. DEA has yet to say anything definitive

3) IMF is hacked. Maybe someone should tell them about bitcoin.

4) Ripple / RainDrop looks really cool (hat tip: bitcoin sun). Need to learn more.