Essays

Bitcoin is a Startup

"Bitcoin is far too difficult to safely buy, sell, spend, and store. We need to build easy to use, robust infrastructure before Bitcoin can be widely adopted. The best venture capitalists and angel investors leverage their experience and network to help their portfolio companies succeed. If you’re an accredited investor looking to invest in Bitcoin companies or an entrepreneur looking to start a Bitcoin company, AngelList and BitAngels are two ways to get connected to the right people. Numerous angels, VCs, and accelerator programs have also expressed interest in funding Bitcoin companies. Now go forth and build." Continue reading →

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Deciding on Living in Medellin, Colombia: The Good & Bad

"I would say that I have now become semi-nomadic. I travel very differently than others in that I rent a furnished apartment anytime I move overseas. Since I day trade in the stock market and run other businesses online a reliable Internet connection is a necessity. To boast my credentials I will inform you that I have lived in 12 countries spanning five continents. All unique countries in their own right but nothing compares to living in the city of eternal spring. It has been noted in countless lists as one of the best places to live including the official Wandering Trader best places to live in South America list. The most important list of all right?" Continue reading →

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The Source of Systemic Crisis: Risk and Moral Hazard

"No government agency ever projects deep, long-lasting recessions, because such a period of stagnation would upend all the rosy projections that the status quo is eternally sustainable and stable. Where does all this lead us? To this: Programs that backstop banks and social insurance systems like Medicare are not like fire or life insurance because they are effectively open-ended in terms of costs and in exposure to risk. A system which pools risk without distributing it to the participants and eliminates the causal connection between risk and consequence introduces moral hazard on a grand scale." Continue reading →

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If You Have Nothing to Hide, Be Very Worried

"Surveillance of health made the eugenics movement possible in 30 states. In North Carolina alone, 7,600 individuals were sterilized from 1929-74. Government ID papers have made checkpoints more productive and less costly. Saying that some government activities have to be more costly is the same as saying they should be constrained. There is a second reason why private information must stay private. It is simply that you may well be breaking criminal laws without knowing it. Many people are not convicted felons only because the government does not know which paper crimes they have committed." Continue reading →

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The Only Legal Way to Escape US Taxes Besides Death and Renunciation

"The US government can effectively enforce its citizenship-based taxation policies thanks to its massive economic, political, and military weight and the fact that it does not recognize any limit to its jurisdiction. American expats are therefore in the uniquely unfavorable position of having arguably the worst tax policies and a government that can effectively enforce them. It is no wonder, then, why a record number of Americans gave up their citizenship last quarter to escape these onerous requirements. There is, however, another way besides death and renunciation to legally escape US income taxes, thanks to the Caribbean island of Puerto Rico." Continue reading →

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School Has Become Too Hostile to Boys

"As school begins in the coming weeks, parents of boys should ask themselves a question: Is my son really welcome? A flurry of incidents last spring suggests that the answer is no. In all these cases, school officials found the children to be in violation of the school’s zero-tolerance policies for firearms, which is clearly a ludicrous application of the rule. But common sense isn’t the only thing at stake here. In the name of zero tolerance, our schools are becoming hostile environments for young boys. As our schools become more risk averse, the gender gap favoring girls is threatening to become a chasm." Continue reading →

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Bill Bonner: The world’s fattest army

"Yes, dear reader, times have changed. But humans have not. Give them the opportunity, and they will turn into zombies. The late Colonel John Boyd of the US Air Force, observed that, 'It is not true the Pentagon has no strategy. It has a strategy, and once you understand what that strategy is, everything the Pentagon does makes sense. The strategy is, don’t interrupt the money flow, add to it.' Boyd was a strategist. He observed that wars were won by lean and agile fighters, who were able to improvise and innovate quickly as needs and opportunities arose. Bureaucracy does not support such warriors; it tries to get rid of them." Continue reading →

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Peter Schiff: The GDP Distractor

"Over eons, small creeks can carve large canyons through solid rock. The same phenomenon may be at work in our economy. A minor, but persistent under bias in the inflation gauge used in the Gross Domestic Product (GDP) may have created a wildly distorted picture of our economic health." Continue reading →

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This is the way they’ll ‘nationalize’ gold

"What they’re really trying to do is send a clear message– if you use Bitcoin, there will be consequences. This isn’t even really about Bitcoin. The big picture issue is that governments are scared to death of currency alternatives catching fire. With so much debt and monetary stress in the global economy, it’s becoming increasingly clear by the day that the current fiat experiment is in serious trouble. The only reason it still works is because (a) people continue to have confidence in the system, and (b) there really is no mainstream alternative to holding paper currency. This last fact is paramount." Continue reading →

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This is the way they’ll ‘nationalize’ gold

"What they’re really trying to do is send a clear message– if you use Bitcoin, there will be consequences. This isn’t even really about Bitcoin. The big picture issue is that governments are scared to death of currency alternatives catching fire. With so much debt and monetary stress in the global economy, it’s becoming increasingly clear by the day that the current fiat experiment is in serious trouble. The only reason it still works is because (a) people continue to have confidence in the system, and (b) there really is no mainstream alternative to holding paper currency. This last fact is paramount." Continue reading →

Continue ReadingThis is the way they’ll ‘nationalize’ gold