Bitcoin killed its king, and now the affected network will rule in the future.

Today we will share our thoughts on what Bitcoin really means and then eliminate various network interference and impact on Bitcoin in the first policy that will help us predict the future of Bitcoin.

Bitcoin somewhere in history

If you have a metal skill, you can earn money using metal. After iron, there is paper technology, and paper is used to make money. Here's how people do it:We build a store and trade prices with all the equipment available.

You now have the software. We don't use software to track money, we make money with software.Bitcoin was the first company to do this in a decentralized fashion.. It is the construction of money, but the truth of money remains no matter what it is spent on.

Money is the only belief of many.Money is only the sublimation of a future decision.

In the past, people always believed in the money created by the combination of kings / queens and their armies, pharaohs, kings, tsars and rulers. Before WWI, hundreds of local funds operated in the United States, all based on strong men / women with basic role models. The same hierarchy, but on a smaller scale.

For the ball level, the hierarchy with King Alpha above is a stable and understandable model. So when the king gave them money and told them to use it, the people believed. As long as you have this belief, money works. This belief comes from:Centralization of decision-making and politics, 2) the longevity and estimation of hierarchies, 3) the potential of hierarchies to be generally armed and perpetrated by violence, and 4) the tax base of people living in hierarchies.

This Strongman-sponsored legal battle has been in place for 6,000 years.

But this time it was different. Bitcoin does not have a hierarchical network structure, and "power" is at the top rather than a monarchy or some fundamental authority that governs money through established trust.It is a decentralized network architecture..

It is a daunting task for most people to understand Bitcoin and crypto. It is not designed to make supported phone calls over the Internet. There is no hierarchy, and there is someone to trust, which means you trust them.

Bitcoin kills the king and replaces him with a network.

The reasons to believe in Bitcoin differ from the reasons to believe in fiat money, but they are just as strong. We are a decentralized cryptocurrency

1)Dispersion, no one can destroy money,

2)The rules of software coding are hard to change.To increase the estimates,

3) Be everywhereIt will be accepted in many places.,

4)elasticityAs it heals itself, you can avoid trying to destroy it.

In short, to create a trust network effect, hierarchical networks use powerful and decentralized networks using ubiquity.

These two models are network models, and it is important to keep in mind that synergistic and hierarchical networks do not like each other. They Battle Read Neil Ferguson's "Square and Tower" to understand its general history. They don't like each other because they have differences in life and work. You never like another win because different networks have different thought patterns to accomplish. The hierarchy struggles with force and tension, and finally comes out with a gun. Decentralized networks suffer from problems of simplicity and ubiquity.

Therefore, using it for cash and converting it to software-based distributed network currency is essential for financial improvement. Over the past 50 years, this process has been involved in the computerization of banks and businesses. Crypto / DeFi can be ten times this conversion.

We've seen big software like Facebook, Google, and Amazon gain hierarchies with network issues. They only need to be protected from the course of action. For example, China now dominates all cyber-effective threats to its power, businesses and cryptocurrencies. They are doing it and they can still do it. The eternal struggle between layers and networks continues, but this time it is unfair to cooperate due to the internet and blockchain technology.

Cryptocurrency, unlike gold or foil, has changed the attitude of its historical value as it was the first creator of a new global network. It gives you bad energy.Unlike competition rules, it is not limited by region or time. Unlike fiat money, it is programmable and can be corrected quickly according to market needs.More importantly, it is easier to amplify the calling software for a popular "trust" network effect. This gives the old form of financial strength because today the world is more interconnected and shared and faster, faster trusted.

In fact, most people around the world still don't believe in Bitcoin. For those of us who are into crypto and know that Bitcoin is here, we have a completely different conversation. We are talking about the relative positions of Bitcoin in the new decentralized Pantheon currency rather than Bitcoin still alive or not.

However, to understand the current value and potential of Bitcoin, we need to consider the first principle. We need to look at the network numbers.

The future of Bitcoin is based on the future of network problems.Understanding and monitoring the status of these network issues will give you the opportunity to make good pre-existing Bitcoin bets for years to come.

We will take a look.

Think of Bitcoin as a business

The Bitcoin protocol and decentralized software work without employees, but, as usual with businesses, the products have customers, a business ecosystem, business products running on the platform. Ballots have commercial value. The product is a currency, above alllower the costs. Its value is twice that of a commodity because we can buy and sell coins like any other commodity. Like other network marketing factors involved, its market value makes it one of the most profitable businesses in the world.

From 1994 to the present, network problems represent over 70% of the market value generated by the technology industry.

Bitcoin key protection

Why is Bitcoin still available and the coin's value increasing? There are only four protections in the digital age that Bitcoin can use.Network interference, branding, extensions and integrations. Of course, the network effect is the most important of these.

Bitcoin must use a combination of these protective devices to show its position in the global market for value and exchange ecosystems and protect its position over time. There are many different competitors.

1. US dollars, renminbi and other fiat currencies denominated in other countries

2. Other digital advantages such as Ethereum, Solana and Cardano

3. Kub

Here is a diagram of the protection Bitcoin made after the trusted network was hacked. You can see different kinds of nfx and categories (created by color), with the strongest connection effects in the middle of the map. The other three defensive behaviors are illustrated to the right. Another example of how the network works can be found in the Network Rendering Manual. First published, then Facebook survey data and Uber survey data.

Not all network effects are created equal, but understanding nuances is essential for creating network effects in your device. Many types of nfx are stronger or weaker than others and work differently.

Where Competitors Go Against Bitcoin

Now that we've mapped out Bitcoin's various protection mechanisms and their value, starting from the first principle, we'll consider the relative quality of the Bitcoin network effect and where Bitcoin is under attack.

I can only cite a few examples of all network interfaces, others can be used.

Good performance of Bitcoin and the competition

Likewise, in the first policy, it is recommended to extend the advantages of competitive network protocol and see their performance in the market. Better parents can help us see the future.

Bitcoin and Ethereum will eventually become similar to Facebook and LinkedIn. Is the deal between the two competing network companies similar, but different enough to survive? Or Bitcoin will end up impacting the network like Cragslist, but the product will not succeed, so it's slow but steady, so 100 other companies are going to build on it? Or buy Bitcoin, like Myspace and Friendster, fix network problems early on, but there will be more competition from the next competitor (Facebook), with new competitors finally destroying the original?

A detailed discussion of these currencies helps to understand why Bitcoin is expected to be used more as a market in terms of value and less than the average exchange rate. However, regularly check how the products are improving to improve your estimates.

External effects of the Bitcoin network effect

In addition to our strengths, the disruption of the Bitcoin network and the unique quality of the product may affect its success or failure in competition with other alternatives.

1. Counterfeit trade.We don't know how many exchanges were "real" on the Bitcoin blockchain, how many created a coin market, or how many were "tampered with" or manipulated to look like the real thing. As we saw in 2017, a significant part of the functionality of the Bitcoin blockchain can be affected. The market may be very good, but it is believed that around 95% of the packaging industry was stolen from the exchanges, at least in 2017. If this situation continues and suggests that equity is negative returns, this could have a major impact on Bitcoin's value and network reliability.

2. Response from Bitcoin DAO.An important step in keeping up with any regulatory oversight by Bitcoin or the Decentralized Autonomous Organization (DAO) is how quickly it adapts to necessary exchanges. It remains to be seen how soon, or whether the Bitcoin management community, responds to these challenges. Companies affected by the network such as Bitcoin, such as MySpace and Friendster, can also change if there are vulnerabilities and strong competitors.

3. Government intervention.Major fiat currencies such as the US dollar and yuan have been hit hardest by the rise of cryptocurrencies. They are leaders. These two governments, the victors of the previous government, may decide that it is best to prevent Bitcoin from operating in their respective countries.

Let's talk more about how government intervention can be achieved.

Respond to government intervention

It is too late for the government to ban Bitcoin. Because network numbers protect it. Although the US and Chinese governments ban Bitcoin, owners of fiat # 3-159 do not ban it because it is better to know the exchange rates. We look to 2021 with a little test in El Salvador linking their currency to Bitcoin. So while the restrictions imposed by the United States and China slow down Bitcoin's impact on the network, the network will continue to grow.

Can the US and China ban the public from using Bitcoin? Of course they can. Bitcoin maximalists are surprised that the U.S. government can't stop Americans from using Bitcoin, but it can. It doesn't matter that Bitcoin is legal tender.

A book on torture. The government can run the same script as the 2000 Kazaa shared music service. They told the FBI or the Federal Trade Commission of CNN and Fox to knock on people's doors with flashing red and blue lights on the streets and guns in hand after passing a regulation on the illegal use of Bitcoin . Please say that. 15 to 30 civilians were arrested as media cameras rolled. Everyone will hear the news.

You don't want to be frustrated if you can't get the right pitch, so invest in a good capo. Although restricted advertising contracts are technically impossible to sustain, over 95% of the work will evaporate. “The horror will make the star the same! The horror of this battle.-Star Wars Episode IV. This is the classic storyline.

Yes, the United States and China can ban Bitcoin, but the rest of the world won't stand in line and Bitcoin will continue to grow. Eventually, the new culture will become a force to be reckoned with, and the United States and China will re-engage with the world to accept Bitcoin and other cryptocurrencies. It may take 15 years, but gravity will prevail.

Understanding Bitcoin's 7 Network Effects

In order to predict the future of Bitcoin and anticipate, you should be able to identify some of the network implications that are already in place. You also need to understand how these network interfaces support each other. Because it's 225.

1: Faith network effect

This is the heart of Bitcoin nfx. The trust network effect is the best combination of gold, bitcoin, and trust.

The more faith a believer has, the more people will believe. Bitcoin is valuable because we believe it is valuable.

look or Why is this necessary? You cannot eat or sleep on it. It's beautiful, but a lot of beautiful things. There are a few commercial uses, but not many. This is useful because people believe that gold is valuable after thinking that salt is valuable. It has retained its value for over 5,000 years.The past has given us confidence, and everyone will have confidence in the future. This belief will increase over time.

Faith nfx is like sand. A little sand broke in the wind. But with enough sand it becomes hard rock.

Ditto for Bitcoin.A lot of people believe that it is beneficial, more important for everyone.We can now see that the same “layer of sand” exists in Bitcoin. The more prices drop and come back, the more people think it's worth it. Then, as more and more people become interested in nfx trusts as they spread the "sand" of Ethereum and the existing "sand" of thousands of other cryptocurrencies (all of which are Bitcoin-denominated placebos for trading), Bitcoin Sand is increasingly stable. What is water and no evidence has turned into something akin to rock.

Homo sapiens is a group of animals. We want to be “part of the team” and we want others to recognize that. Otherwise, our primitive minds risk our lives to guide us. Sharing a religion is an important part of building faith in a community. When people believe in something, others are more likely to follow and believe it. So don't believe what your peers think has a huge impact on a relationship, and don't believe what your peers think can have a bigger impact. This is because people follow a shared mindset and are able to resist conflicting information. This is why people are reluctant to trust money, and this is why Bitcoin supremacists are so proud.

How Bitcoin Trust Network Affects Startup

In 2009, out of curiosity, some people including miners, traders and developers wanted to join the Bitcoin network. Like John Baptist or him, a small group of researchers taught others how to follow and publish Satoshi Nakamoto's attractive and financially favorable ideas for the owner or I Bitcoin. Many people believe that Bitcoin is more valuable, more profitable, and this belief will be realized by itself.

The impact of the trusted network occurs when the idea of ​​a new distribution of income, so that the network can develop without competition. It is "the perfect idea".

Ethereum appears to be doing the same trick, and Cardano and Solana are about to reach a turning point in their faith online. What should be its size and the basis of the Christian network to establish a stand-alone Level 1 agreement? It's hard to measure. But of course, we know that the starting point for this point will be higher and higher as competition from Bitcoin, Ethereum, and other companies intensifies.

Trust network interference is also the primary network interference that drives the Bitcoin network, so tracking Bitcoin's trust is very important in predicting the future of Bitcoin.

2: Network effect protocol

Network interference occurs when a standard count code is printed and all nodes can be connected to the network using the protocol. Typical examples are Ethernet and fax. Bitcoin is a new example. The prototype can be a company, a group of companies, or a group, and in the case of Bitcoin, they are the first shadow that it itself does not recognize. Satoshi Nakamoto is a great actor.

The more nodes that are connected to the process, the more powerful the affected network. If the Terms are changed or not changed, the changes to the Terms will be changed or reduced to extend the longevity of the Agreement.

For example, the Bitcoin protocol requires proof of functionality. Unfortunately, this process is slow, expensive and dangerous for the environment. Competitors like Solana, Cardano and Ethereum now use less secure but better proof of stake than Bitcoin in terms of speed, cost and impact. If Bitcoin cannot be removed from the proof of operation, it can be fatal. Or it could make Bitcoin's place in the ecosystem more secure. Time will prove everything. However, it is important to note that characteristics such as proof of operation and fairness credibility affect the strength of the network effect of the Bitcoin protocol.

3: Network operation affected (both parties)

It is Bitcoin's second most powerful network effect.

If you have a BTC wallet, you can send and receive bitcoin from other buyers / sellers. In the case of Bitcoin, this creates two types of nfx trading: 1) forecast or "value fixing" trading and 2) payment trading. The more nodes in the network, the better the buy, sell and own.

Therefore, the more exchanges, countries, banks, home offices, and BTC holders, the better for all BTC holders.

I think we can agree that there is no big wage market. It is only used to reduce costs.

As the number of buyers / sellers increases, the market value of the market increases for each person as each user adds the ability or user to convert Bitcoin to cash without affecting the value of Bitcoin capacity.

However, even the network impact of the market on market prices has weakened for two reasons. First, multiple process 1 contracts can generate income. The effects of the fluid are isotopic and the effects on the network would slow down after some relief. Second, this type of business can be easily opened with multiple tenants. This means that you can hold multiple profits depending on the value of the store. If you look at Coinbase, it supports over 80 tokens, most of which can be used as a store of value. As a result, buyers and sellers of BTC are unrelated to this currency and will soon switch to another currency.

4: Platform network effect (both sides)

The most common example of nfx platforms is Microsoft's or Apple's iOS operating system, where developers send users design rewards and add value to the platform.

Satoshi Nakamoto's Free Bitcoin 2008 App has created a new platform for developers to build business applications (dApps) on the Bitcoin platform. Since 2008, thousands of developers have developed software and traded on the Bitcoin platform. Bitcoin is a spiritual and technological device of its predecessors.

However, we do recognize that Bitcoin is version 1.0 of the blockchain and has some drawbacks., this makes it difficult for developers to create and get out of doors for competitive networks. At the end of 2020, Bitcoin had 400 active developers per month and Ethereum had 2,300 active developers. Manufacturers are precious and rare. The more the project is built on the platform, the stronger the network affects.

5: Data network effects

As network data collection accumulates, it is designed as the cost of each user data increases.affected network information.

Bitcoin (and blockchain) has a new understanding of data network interference. Most Internet users allow data to be saved in a root database. However, in the case of Bitcoin, the data is sent back to a decentralized database / ledger.

A blockchain is a database with special objects. Create two network information interfaces. First of all,This creates an enduring history of network relationships, making it difficult for competitors to repeat those stories.. second,The longer the blockchain, the more network thefts required, increased security and increased value for all participants.

social network effect

Networks are nodes and connections. The rugged phone makes it easy to see the wires connecting the phone to the real phone.

There is an invisible connection between humans, our bodies are knots, and our words and actions are intertwined. It's the first network, if you will.

The same effect as the digital network,These nfx relationships can help more users to use it, more users to establish the value of your product. People appreciate each other by making them think or think differently.This gives you the time and confidence to use the product. Supporting your choices and continuing to use your products is mental but just as rewarding.

6: Tribal network effects

The benefits of grouping arise from the way people create characters around their group.

We consider the nfx group to be the first species in history, as Homo sapiens became an animal species that struggled to survive. We are all descendants of some of the greatest creators because their makers lived and reproduced. Those who are not able to create or join a corpse. As a result, our brain connects with the group.

Team members add value to our lives by giving us a sense of emotion and self and helping us to build relationships.

The main structure of the nfx group is internal and external, so you know who to help and who to be honest with. External groups are often "the enemy".

So, it is not surprising that seeing the real group grow around Bitcoin, seems to be a belief based on belief in communication. Some Bitcoin supremacists believe that Bitcoin will be the only digital tool we will need in the future. Not only do they believe in the good of Bitcoin, but they believe there is no other bad omen for Bitcoin, so they shouldn't be supporting their crypto brethren. Therefore, those who do not believe everything in Bitcoin will not help their group, they are enemies, enemies and a force to attack.

Members of the Bitcoin Maximization Tribe network explore the goal of establishing the value of their group in the following:

Add value to other groups.

Defend your team's reputation on competitive contracts.

growth team

Knowledge and awareness of protecting these networks differs from other types of network interference. In these network problems, nodes take on several costs and cause network problems without much thought.

7: Network interference

“Trials” occur when a relationship enters a relationship that makes people feel like they don't want to be left out.

Usually there is a band network effect when people start very early when the first networks start to converge.

Regarding Bitcoin,These early sponsors were involved from the start and benefited financially and emotionally. They have the money to encourage more people to attend. Indeed, it will increase the value of Bitcoin.This technique, despite its low use, continues to this day. All over the world, people who haven't bought BTC are seeing BTC appreciation and reading about Bitcoin millionaires and saying, “Should I join? I don't want to be excluded! ? ”Depending on how much they can afford, yes they actually enjoy it and aren't falling behind.

Since Bitcoin has the largest cryptocurrency format in the world and the largest market cap, this effect is stronger compared to smaller types of cryptocurrency.

Eventually this nfx will disappear. Because everyone has heard of Bitcoin and decided to buy it or not to include it.

the other two are defensive

In addition to network interference, there are three other protections. There are two bitcoins.

1. Integrate

The complete mixture is achieved by mixing the product directly into the consumer or other ecosystem participants, so that it does not move or change by the competitors without having more time and effort. Integration directly increases conversion costs.

While Bitcoin is listed on Coinbase, CoinMarketCap, Binance, and other websites, it had a huge impact on pre-registration, but more importantly because of the names of the exchanges. Think about the number of people who were # 1 in Google search. Consider the benefits of the product, the business benefits, and the impact it has on the business model.

This way of inserting itself into the exchanges will contribute to the impact on the network market. Since the number of people who own and use Bitcoin is huge, the cost of removing or not collecting Bitcoin on these exchanges and websites can be very high.

Additionally, websites like CoinMarketCap compare all other cryptocurrencies to the US dollar and Bitcoin. This means that Bitcoin is included in the current count and price, which has a significant impact on the name Bitcoin.

Other ways to achieve integration are:If more merchants start accepting Bitcoin as a payment method in the future(eg Tesla, PayPal) orAs many governments (El Salvador) accept Bitcoin, Bitcoin will be included in both products and services.. At the same time, the cost of its destruction or conversion to another will be very high.

2. Home

Famous names come at a cost in mental health.Most people are risk averse and like to avoid unfamiliar names, so they rarely switch to the unfamiliar or less common type. Psychologically, they like to use it for things.

There is an old adage: "You will not be fired for buying IBM or Bitcoin".

Since most people are new to crypto, Bitcoin offers the best for introducing people to the network as the most recommended cryptocurrency. Additionally, Bitcoin is often confused with all cryptocurrency sites.

The value of this level of psychiatry varies with the number of people stuck in the network and makes it more important than research.

negative scale effect

Keep in mind that a Bitcoin developer can have negative downsides which are not good for Bitcoin and hurt Bitcoin.

As the network grew, the cost to miners of researching the history of the industry increased and became slower. (a)more and more offers, and (2)More and more minors are competing to confirm the deal.

In this case,If the price of Bitcoin drops too much and the price continues to fluctuate, the miners will refuse to support the network and the network's profits will disappear.

In the Internet age, software companies have little or no responsibility for development.If dao can change to the Undeviate this effect, the amount of bitcoin can increase.

Therefore

Trust is a key strength of the Bitcoin network.Bitcoin created the crypto ecosystem and global memory, and is now a part of it. We hope that after reading this article you will see that there are many processes that create real value in Bitcoin. By being able to think in terms of first principles, we should now be able to better predict the future of Bitcoin and other cryptocurrencies.

The encryption technology is there. The reconstruction of the funds is complete. Bitcoin will continue to be an important part of this story. Thank you Satoshi Nakamoto and your understanding of network issues.