What is Bitcoin?

I spent two years and a couple thousand hours studying Bitcoin. Bitcoiners call this “doing the work.” It’s a deep dive into understanding the history of money, central banking, social breakdowns caused by failing economies, and much, much more.

About a year ago I started openly talking about Bitcoin, with my customers, colleagues, family and friends. To my surprise, not only is it still wildly misunderstood, many people have made up their minds, for and against — as almost everything in our polarized society is judged now — without really taking the time to understand it.

So for my customers, friends, and family, this is my very brief answer to the question, “What is Bitcoin?”

(487 words, about a 2 minute read)

BITCOIN IS MONEY.

Bitcoin is, at its core, money—the hardest money in human history. It solves every traditional issue with currency: it cannot be counterfeited, inflated, or confiscated. It’s perfectly portable and offers unparalleled privacy.

These qualities make Bitcoin an ideal medium of exchange, a reliable store of value, and a universal unit of account—all simultaneously.

By design, Bitcoin is immutable. No person or entity can tamper with, hack, or alter it. Its total supply is permanently capped at 21 million coins, making it immune to inflation and economic manipulation.

Now, close your eyes and take a moment to visualize Bitcoin.

Perhaps it looks like a coin, existing alone in the dark, or whatever cyberspace looks like. This, or anything like it, is a good start.

Next, let’s expand your vision.

BITCOIN IS A NETWORK.

For Bitcoin to function as perfect money, it must also be a network. Throughout history, centralized monetary systems have repeatedly failed due to abuse of trust. Bitcoin eliminates this problem by operating on a trustless, decentralized network.

Bitcoin transactions occur directly between parties, often within seconds, with irreversible settlement. Each transaction is recorded on a transparent, universal ledger that accounts for every Bitcoin movement since its inception.

This network embodies self-sovereignty, privacy, and transparency. At a micro level, it bypasses intermediaries like banks. At a macro level, its fixed supply of 21 million units ensures scarcity and stability, with each Bitcoin divisible into 100 million satoshis for precise global usage.

Bitcoin’s immutability guarantees its scarcity is permanent, making it not only the best form of money but also the most dependable property on Earth.

Now, envision Bitcoin again. This time as a global network—a web of connections linking every human with a smartphone or computer to a decentralized, immutable system that will only ever contain as much as 21 million coins and no more.

Imagine an impervious network spanning the globe, tunneling through cyberspace, where your savings is perfectly secure, private, and untouchable.

There is only one final question: How is this possible?

BITCOIN IS ENERGY.

At its core, Bitcoin represents energy. Its creation follows a fixed schedule, immune to tampering. Each new Bitcoin is minted through computational energy, while the network itself is strengthened by the energy required to secure it.

Bitcoin also harnesses economic energy—the productive efforts of human innovation and trade. Even when coins are lost, their energy remains within the network, supporting its overall strength. Bitcoin’s energy is a reflection of human ingenuity and effort, not speculative games.

This contrasts sharply with traditional markets, where speculation often drives volatility. Bitcoin, by contrast, thrives on real innovation and continuous improvement—what the Japanese call kaizen. This cycle of progress drives technological advancement, lowers production costs, and creates abundance accessible to all.

Over time, advancement and innovation decreases the cost of goods. This virtuous cycle repeats indefinitely, powered by the ingenuity and effort of people.

BITCOIN IS WEALTH.

Bitcoin’s fixed supply of 21 million coins aligns with the fundamental truth that human energy drives economies.

A thriving economy? 21 million coins.

A stagnant economy? Still 21 million coins.

For the first time in history, we have a way to capture and store human energy in a form that is incorruptible, universal, and perpetual.

This innovation is called Bitcoin.

Never before has a technology enabled anyone to preserve the fruits of their labor across time and space, potentially forever. Never before has it been possible to exit systems designed to erode the value of your work, efforts, and time—and instead, opt into a network where what you create can endure indefinitely, benefiting you and future generations.

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