Oddbean new post about login | logout Bitcoin adoption would be helped significantly if people were getting paid in bitcoin to a hot wallet. Doesn't need to be significant amounts either, but enough to fund basic services such as nostr client subscriptions. One way to do that is easy one click sat purchases like Primal has. Maybe Strike? i don't know, I can't access Strike. Whatever the method, sats needs to flow into a "liquid" wallet where it's easy to spend them. And obviously spending HAS to be encouraged. Hodl only is never going to work because we have a ton of bitcoin businesses trying to stay bitcoin only, and discovering that people may not want to part with that bitcoin easily unless it's easy to do so. There has to be a lot of grease in the wheels and it must be easy to move things around if you wish to have bitcoin-only businesses and services sustaining themselves.
Primal uses Strike, so the same really. And yes, with hodl only, then there is no economy and Bitcoin will stay as a store of value.
What is a hot wallet?
Your problem starts right at the beginning... "If people where getting paid in bitcoin" What jobs pay in bitcoin for folks like myself and where can small business owners buy the supplies they need to operate, in bitcoin?
Agreed. I don’t want to exchange my bitcoin for fiat except when essential. However, I absolutely do want to spend my bitcoin in small amounts on things. Bitrefill works great inside the STRIKE app. But the best thing is if we can trade bitcoin amongst ourselves exchanging value. Nostr seems like a great step forward. Maybe a “Fivr” type platform built on Nostr could do good in building the economy?
HODL is the natural order of things, and reflecting where we are in the adoption cycle. First “Gresham’s law”, which means people prefer to “hoard” the good money and spend the debased money. This is because sellers will still accept the debased money. Next come Thiers law, when sellers no longer accept the debased money, demanding only the good money. People will hodl until sellers demand payment only in bitcoin. Hodling serves an important purpose by reducing the circulating supply and thereby driving up the price, making sellers desire it more.