Description

The Bullish Case for Bitcoin, first published as a long-form article, represents an intellectual tour de force delivered with elegance and prescience by a polymath well-versed in mathematics, computer science, economics, philosophy, politics, and engineering. After March of 2020, it was evident to me that the world needed new money based on technology. However, in February 2018, when Boyapati first published his paper, this insight required much greater perspicacity, courage, and conviction.

In a clear and concise manner, Boyapati presents the theory of money, the anatomy of Bitcoin, the reasons it is superior to the gold and fiat standards that came before it, and the promise that it offers to human civilization. He describes path dependence and the trajectory of a newly monetizing asset in terms the layman can understand, and he addresses the concerns that most commonly arise as newcomers struggle to comprehend the essence and significance of this first digital monetary network. I was immediately captivated by “The Bullish Case for Bitcoin” when I first read it and made it part of the recommended reading for all the officers and directors of my firm as we educated ourselves on Bitcoin and considered the logical path forward. In this book, Boyapati updates and significantly expands on the ideas presented in his original article.

Table of Contents

• PROMETHEUS 1
• THE GORDIAN KNOT 3
• THE BREAKTHROUGH 8
• 1.GENESIS AND THE ORIGINS OF MONEY 11
  • GENESIS 11
  • THE ORIGINS OF MONEY 13
• 2.THE ATTRIBUTES OF A GOOD STORE OF VALUE 19
  • DURABILITY 22
  • PORTABILITY 23
  • FUNGIBILITY 23
  • VERIFIABILITY 24
  • DIVISIBILITY 25
  • SCARCITY 25
  • ESTABLISHED HISTORY 26
  • CENSORSHIP RESISTANCE 28
• 3.THE EVOLUTION OF MONEY 31
  • PATH DEPENDENCE 35
• 4.THE SHAPE OF MONETIZATION 41
  • HYPE CYCLES 41
  • GARTNER COHORTS 44
  • THE EFFECT OF THE HALVING 50
  • THE ENTRANCE OF NATION-STATES 52
  • THE TRANSITION TO A MEDIUM OF EXCHANGE 55
• 5.A NEW MONETARY BASE 59
  • COMMON MISCONCEPTIONS 59
  • IS BITCOIN A BUBBLE? 59
  • IS BITCOIN TOO VOLATILE TO BE A STORE OF VALUE? 60
  • IS BITCOIN TOO EXPENSIVE TO INVEST IN? 60
  • ARE TRANSACTION FEES TOO HIGH? 62
  • DOES BITCOIN CONSUME TOO MUCH ELECTRICITY? 64
  • WILL BITCOIN BE OVERTAKEN BY A COMPETING CRYPTOCURRENCY? 69
  • ARE FORKS A THREAT TO BITCOIN? 71
  • IS BITCOIN REALLY SCARCE? 73
  • REAL RISKS 73
  • PROTOCOL RISK 74
  • THE RISK OF STATE ATTACK 74
  • THE RISK OF MINER CENTRALIZATION 79
  • CUSTODIAL RISK 84
  • THE RISK OF FEDERAL RESERVE POLICY 85
  • THE RISK OF REHYPOTHECATION 87
  • THE RISK OF IMPERFECT FUNGIBILITY 91
• CONCLUSION 92
• EPILOGUE 97
• THE GREAT DEBATE 97
• THE IMMUTABILITY OF PROTOCOLS 100
• THE SCHISM 102
• DENOUEMENT 104