Bitcoin and Blockchain

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.

Friday, October 26th, 2018

One of the beautiful aspects of Bitcoin is that the creator is still unknown.

Monday, October 15th, 2018

Under ideal conditions, stablecoins would come to exist due to pure market demand rather than as a reflection of the regulatory climate that has limited access to conventional banking services.

Monday, October 8th, 2018

Regulation means both Gemini and Paxos must comply with NYDFS anti-money-laundering (AML) rules as well as efforts to counter the financing of terrorists (CFT).

Friday, September 28th, 2018

What this is about is what is called provenance, which is the definitive establishment and documentation of who has owned what and where it has been. This is the foundation contribution of blockchain, to prove provenance better than any other technology in history.

Thursday, September 27th, 2018

Disruptive technologies are rarely superior to incumbents in every single product or service the latter provides. And incumbents are rarely passive enough not to adapt and adopt in response to technological change.

Thursday, September 20th, 2018

Price volatility is a big problem in the crypto world. But stable coins like Tether, Sagacoin, and Basis have their own issues.

Tuesday, September 11th, 2018

"While we sit around wondering why blockchain and other technologies aren’t turning the world upside down before our very eyes, it’s instructive to remember that epoch-defining inventions of the past that we now reduce to a sentence or two actually took ages to unfold." ~ Max Gulker

Friday, September 7th, 2018

A number one fallacy in the history of economics is the labor theory of value. The idea here is that things and actions are made valuable by how much work we put into making them. Sounds intuitively right. It’s completely wrong. Things have value because you and I value them, regardless of labor inputs.

Thursday, September 6th, 2018

This isn’t a ponzi scheme, conspiratorial black box, or “animal spirits” run amok. This, my friends, in all its messy and occasionally terrifying glory, is a market.

Thursday, September 6th, 2018

A fixed money supply is not a good monetary rule. Efforts to move toward more elastic supplies should be welcomed.

Tuesday, September 4th, 2018

Financial privacy does not get much attention from central bankers. But questions about privacy are becoming increasingly important.

Monday, September 3rd, 2018

Bitcoin and crypto in general are especially susceptible to shady operations. People assume two things about this sector: 1) it is too hard for normal people to understand, and 2) if you are not in, you are missing out. This is a perfect opportunity for the con man.

Tuesday, August 21st, 2018

A new NBER working paper shows how cryptocurrencies have no exposure to most common stock market risks but do have their own exposure.