Is This Crypto A Sleeping Giant

I’m going to make this as simple as possible, for one I’m still learning it myself and have spent numerous hours learning about the Bitcoin blockchain and how it works. Today alone I’ve had long conversations with people on Twitter, most have absolutely no idea what they are talking about but try to sound educated on the subject. One gentleman in particular was incredibly helpful and has a world of knowledge, that person is Kurt Wuckert Jr the chief Bitcoin historian at Coin Geek.

Kurt’s explanation was not only simple and straightforward but it made the most sense out of all those who responded on Twitter today. Even in its simplicity many people didn’t understand what he was talking about yet they chimed in on the conversation with information that was not even close to what Kurt was writing about.

With that said I still have questions and remain suspicious of the explanation, this is not to say I don’t believe Kurt but rather it is my nature to research as deep as possible. It is also in my nature to believe numbers, to believe math over people. I hope if he reads this he is not offended, I don’t believe he will be, hopefully it gains me some respect from Kurt. As I told him on Twitter, I’m not on a side I hope all 3 Bitcoin prosper, I know my portfolio would really benefit!

Now let’s get to the nuts and bolts of this thing. The first image you’ll see was created by Kurt and is of the Bitcoin network.

You can see how it was designed. Bitcoin network with all the listening nodes along with the full nodes and different miners.

Paraphrasing, the explanation is that in the full nodes are honest nodes and those honest nodes will reject any changes in the Bitcoin protocol. The nodes handle the transactions and the miners verify and confirm the block which takes 10 minutes. For their work the miners are compensated.

I get that completely but who’s watching the developers? Who’s watching those that developed the protocol? Who’s watching the developers of the software that run the honest nodes? Who’s watching the people that deploy this software? Remember as Ernie Lindsey wrote “numbers don’t lie, people do.”

Lets take a look at some numbers and graphics.

Here’s Bitcoin (BTC) the one that’s priced over $40,000 these days. The nodes, the honest nodes, 98.45% are run by one company. That’s close enough to call 100% for me. Does that look decentralized or centralized to you?

Lets move on.

The above is Bitcoin SV (BSV), a fork of Bitcoin Cash which was a fork of Bitcoin. The SV stands for Satoshi Vision. The nodes, the honest nodes, 100% are run by one company. Does that look decentralized or centralized to you?

Moving on.

The above is Bitcoin Cash (BCH) a fork of Bitcoin. The nodes, the honest nodes, are run by several different companies and none of them run more than 41.45% of all the nodes. Does that seem decentralized or centralized to you?

I’m not promoting Bitcoin Cash, I’m simply pointing out the numbers, the math and letting you do your own research as well as giving this all some thought.

I’m also going to point out that Wall St and the institutions may be taking notice of BCH. Let’s take a look further.

Here’s the Grayscale Investment trust from the end of the 3rd quarter 2020. BCH assets under management were $38.5 million.

And here’s from the end of Q4, 2020, the BCH assets under management was $83.6 million.

And finally here’s Grayscale Investment trust from 2/12/2021, the assets under management for BCH stood at $145 million.

It’s not all from the appreciation of the BCH price which has seen its price rise from $227 to $576, that’s a 2.54x increase but assets under management saw an increase of 3.78x which shows much of its increase is coming from investors. This increase of interest by investors is not only retail but also institutional money from Wall Street.

Here’s a recent article, and you can find many more just by Googling the information for Grayscale Investment trust institutional investors.

Could Bitcoin Cash (BCH) be a sleeping giant? I don’t know for sure but there seem to be some potential there, seems like they are doing things right. The last question that needs to be asked is: has Bitcoin (BTC) and Bitcoin SV (BSV) lost their way? Probably not. I probably don’t understand it fully yet but what if? What if I do understand it? What if I am correct? Sleeping giant?

Once again I’m just pointing it out, this is NOT investment advice, do your own research and consult your financial advisor.