Original Report : https://read.cash/@F.B./a-deep-dive-into-why-bitcoin-cash-is-about-to-take-the-center-stage-c365a0df
A very good materialistic analysis that tries to explain why BTC, despite the stagnation in development, has become more and more expensive and sought after as a means of exchange, especially in recent years.
Where I think that in the report the economic activity onChain is extremely overstated, especially if you want to say something about the price and market acceptance.
After 2015, the big monetary influencers in politics and their derivatives in the private sector ( banks, insurance companies, investment fonds etc ) bought into the BTC community cheaply and in time before BTC could achieve mass acceptance and they even created direct companies like Blockstream etc which quickly took the lead in the development of BTC due to their huge FIAT capitalization.
This has prevented and permanently changed the development of BTC as a means of payment. BTC has undergone an extreme change from an electronic cash system to an electronic insurance and store of value system.
Especially popular is the comparison with gold, which after all has gone through a very similar path and has completely forfeited its function as a means of payment, yet is still used as a store of value by almost all monopolies of violence and monetary influencers, such as central banks.
It is not for nothing that BTC is promoted as digital gold. These monetary influencers have recognized the great advantage of BTC over gold and are currently rebuilding BTC so that it can and, in my opinion, will replace gold as the ultimate reserve.
But for this, BTC, just like gold, must completely forfeit its function as a means of payment. And just as it happened with gold, by establishing banknotes instead of the real gold as a means of payment, because it was much easier for the state and the monetary influencers to control the banknotes in quantity and composition than the actual gold. What happened then we all know. It was the birth of paper FIAT and today's mostly digital FIAT. This metamorphosis is now happening with BTC as off chain solutions for blockchain scaling are favored and promoted as progress and a great achievement by the monetary influencers.
The first step of this shift happened when BTC forked to use SEGWIT to wash out the signature of the transaction, with the justification to save some space on the blockchain.
With segregated witness and an artificial limit on block size, this shift and move away from the electronic cash system was initiated. With BTC as a security and pure store of value, the Second Layer solutions like Lightning Network was promoted and offered as a solution to replace BTC payments.
Since then, countless developers are working for the monetary influencers to establish different layers on the BTC blockchain in order to create the possibility of then switching from paper/digital-FIAT to Crypto-FIAT.
And this is where the enormous capitalization and value that BTC has for the monetary influencers can be seen and not in its economic activity.
However, when BTC took this first step with SEGWIT, some miners and BTC enthusiasts disagreed with the degradation of the code and did not accept these new changes and stayed with the original BTC concept of the electronic cash system and so the BTC community split just like the BTC blockchain.
ironically, SEGWIT BTC kept the BTC ticker even though the code was changed and the original BTC code became the BCH ticker. This was a huge victory for monetary influencers, without which SEGWIT BTC would never have gained recognition. This shows once again very clearly how effective mass media are, all of which are in the hands of the monetary influencers.
Nevertheless, the monetary influencers had achieved a great success. They had made BTC harmless as electronic cash, at the same time kept the ticker BTC and got rid of the critics through the fork. Now the way was free for institutional money in BTC and the further expansion of BTC to replace gold. Now also open advertising for BTC could be made in the media and BTC is now on everyone's lips.
The monetary Influencers have catapulted the BTC price to all time heights with the help of their large FIAT investments and they are betting that they can save their PAPER/Digital FIAT monopoly with the help of Blockchain technology and the BTC network in Crypto FIAT.
This transition point is supposed to be the so-called Great Reset.
...
