Bitcoin and Blockchain

Tuesday, June 18th, 2019

Cryptocurrencies are a different sort of financial technology from bank deposits, yet they are being shoehorned into the same category for regulatory purposes.

Saturday, June 15th, 2019

Facebook's Libra is easily and probably rightly criticized by crypto purists as a halfway house that makes too many concessions to legacy systems and plays too nicely with the existing regulatory system. All true. But that’s not where the story ends.

Thursday, May 16th, 2019

Volatility is to be expected for new media of exchange. But one should also be able to trace a lot of that volatility to news.

Saturday, May 11th, 2019

Because so many lack the patience to understand, and perhaps because so few can explain it coherently, there is a strange lust in the land to debunk the whole thing. Every single time the market drops, people get busy writing obituaries for crypto. I’ve been seeing these appear since the market price was $14.

Tuesday, May 7th, 2019

You should be able to take advantage of smart contracts in many ways, and in many situations, if you just understand smart contracts are a way of managing contingencies.

Thursday, March 21st, 2019

Financial privacy and autonomy are important. But cash and cryptocurrencies are not the only means to those ends.

Monday, March 18th, 2019

It is not hard to find commentary on the internet indicating that Bitcoin is bound to fail. But there is no reason to think that cryptocurrencies will disappear.

Saturday, February 16th, 2019

Using an encrypted digital ledger – one that substitutes hashes for trust – eliminates vast numbers of layers and time. Time and trust equal counterparty risk. Automating this with blockchain drops the costs to a small fraction while increasing certainty.

Saturday, February 16th, 2019

Financial intermediaries that might not stand a chance against blockchain technology were it allowed to develop in a vacuum instead might be strengthened by it.

Wednesday, February 13th, 2019

Ten years have passed since Bitcoin was introduced, and it still isn't used much in online commerce. Will the Lightning Network get it back on track?


Wednesday, February 6th, 2019

MMT is an academically-garbed attempt to overcome the unwelcome fact that governments are as bound by economic limits as firms and individuals are. Yet liberty always triumphs.

Thursday, January 31st, 2019

In a recent NBER working paper, Barry Eichengreen argues “there is no straight line from commodity money to fiat money and from there to crypto.”

Friday, January 18th, 2019

With perfect hindsight, we construct narratives about how technology changes the world. The internet flattened the world. Cars replaced horses. But what we miss, the often-catastrophic messiness during those transitions, is so much more interesting.

Thursday, January 17th, 2019

Bitcoin and other cryptocurrencies have a bad reputation. But they can be used to avoid high inflation and the effects of pernicious capital controls.

Friday, January 11th, 2019

Technology rarely does what we hope or predict it will do. In a year of falling exchange rates and failed ICOs, Facebook’s co-option of blockchain technology might be the best news for the industry of 2018.

Tuesday, January 8th, 2019

The blockchain technology is essential when trust is sufficiently weak, monitoring is sufficiently costly, privacy is sufficiently important, or security is of sufficient concern.

Tuesday, January 1st, 2019

Designing a game economy is more art than science, and testifies to the Hayekian notion that economics demonstrates how little we know about what we imagine we can design.

Thursday, December 6th, 2018

Regulatory uncertainty is one of the major risks facing the blockchain industry as it matures. Ohio’s courting of the industry throughout 2018 may have value beyond a handful of overblown headlines.

Wednesday, December 5th, 2018

F.A. Hayek’s proposed market for private monies resembles the market for cryptocurrencies that has emerged over the last decade.

Thursday, November 29th, 2018

The Riksbank—Sweden’s central bank—intends to issue a digital currency.