Since its inception over a decade ago, Bitcoin has made ripples in the financial world. Its proponents have commended it for its ability to transform the way we conduct commerce and store wealth. But what is it about Bitcoin that makes it so powerful? The answer resides in its potential to function as a monetary superconductor.
When the temperature in a superconducting network is low enough, there is no friction. This means you can move items with ease and speed, with no energy loss. Bitcoin works in a similar way, providing a frictionless means of moving economic energy on a global scale.
The ability of Bitcoin to provide economic energy to eight billion people on a $50 gadget with integrity and without friction is at its core. This is made feasible via its Lightning Network, which allows trillions of dollars of electricity to be distributed among billions of mobile devices.
The Lightning Network works on a frictionless scale, with transactions taking place at the speed of light, regardless of magnitude or frequency. This contrasts sharply with traditional financial networks, where the velocity of money can be slow and the cost of moving big sums of money can be prohibitively expensive.
Moving a billion dollars of transactions over the Visa network, for example, can cost up to $25 million in friction costs. Moving the same amount on the Bitcoin network, on the other hand, costs only 68 cents, while it costs nothing on the Lightning Network.
The power of Bitcoin to behave as a superconductor extends beyond transactions. It provides a revolutionary method for long-term economic energy storage. It is feasible to keep a billion dollars of economic energy in a battery for a hundred years without it fading with Bitcoin. This is an amazing accomplishment because no other credit, currency, asset, or property instrument has this level of storing capability.
Bitcoin's superconductor-like qualities also provide a means to empower billions of individuals around the world. At a low cost, the Lightning Network can deliver economic energy to billions of people billions of times every hour. This is made feasible by the decentralisation and democratisation of finance represented by Bitcoin.
Finally, Bitcoin is a game-changing transaction and monetary network with superconductor-like capabilities. It is unrivaled in its ability to provide economic energy to billions of people on a worldwide scale without friction or energy loss. Bitcoin has the potential to alter the way we conduct transactions and hold wealth, and its impact on the world of finance is only getting started.
Source:
Crypto Speaks, 8 May 2023, "I'm 100% Sure This Will Happen With Bitcoin - Michael Saylor Bitcoin Interview",