Bitcoin activist Samson Mow talks about where he sees Bitcoin going in the future, how fiat currency hurts us, and how Bitcoin can transform the world’s financial system. This blog discusses some of the key points.
Table of Contents
- 💰 Introduction to Bitcoin's Potential
- 🔍 The Mystery of Satoshi Nakamoto
- 🏖️ Wealth Accumulation: The Yacht and Mansion Debate
- 🌐 Widespread Bitcoin Adoption: Challenges and Solutions
- 📈 The Impact of Bitcoin ETFs on Wealth Distribution
- 🏖️ Retirement and Bitcoin: How Much is Enough?
- 🌟 A Day in the Life of Samson Mow
- 🌍 Shifting Global Powers and Bitcoin's Role
- 🔒 What Happens When Bitcoin is Fully Mined?
- 📉 Future Bitcoin Price Predictions
💰 Introduction to Bitcoin's Potential
Bitcoin is a radical reinvention of money, with a limited, decentralised supply mechanism that differs from the fiat currencies that most of us use daily. Because of its distinctiveness, the failure of fiat systems around the world means that Bitcoin may end up replacing them.
Ultimately, this is what makes Bitcoin strong: its decentralised nature means that it cannot be tampered with by any controlling force. You have your money. It is there, on the ledger, and you can trust it. It can’t be inflated.
🌍 Samson Mow's Journey into Bitcoin
Photo courtesy Samson MowSamson Mow has been around Bitcoin since 2011, when a lot of the story about Bitcoin was that it was bad news. He said he read an article about mining in 2013 and was like: ‘Sweet Jesus, what the hell is this?’
He discovered that the network was highly decentralised after he had first failed to mine Bitcoin on his laptop and had, in a subsequent attempt, joined a pool of miners. This led him to join BTC China in 2014 and become its COO. Mow’s trajectory embodies the increasing legitimacy of Bitcoin as an investment and its growing influence on the global economy.
📊 Understanding Tokenomics: Bitcoin vs. Game Tokens
Tokenomics – the economic model of tokens – is a powerful way to think about both types, but Bitcoin and game tokens also diverge in important ways. Whereas most game-tokens are controlled by their developers, Bitcoin is a decentralised protocol, physically encoded in a set of mathematical rules.
This distinction is important: gaming economies can suffer from inflation if the developer decides to artificially alter the supply, whereas Bitcoin’s issuance is capped at the level of 21 million coins. Since its supply is fixed, Bitcoin is a more dependable store of value than game tokens.
💸 The Fragility of Fiat Currency
At its essence, however, fiat money is inherently unstable. Governments can print at will, and the hyper-inflation that inevitably results will devalue the currency. History has witnessed the collapse of currencies in a matter of days or weeks, when they suddenly went from having been functional to being all but worthless. It is quite reasonable to wonder if all such fiat systems will last.
Whereas paper money is subject to the vagaries of politics, and fiat currencies to the wildly unpredictable behaviour of central banks, bitcoin is resistant to every one of these malaises. And because the supply of the digital currency is finite, it provides a hedge against things such as inflation. It is the ultimate safe haven for any individual who wishes to safeguard their wealth for the long term.
🔬 Quantum Computing: A Threat to Bitcoin?
Bitcoin’s security has had special attention paid to it due to emerging quantum computers that are now expected to usurp Bitcoin’s security. Currently, it’s theoretical that a quantum computer could break any form of existing encryption, but the technology is at its most novice stages.
And even if quantum computing comes, it could still be a challenge to defeat the currently mined Bitcoin network. Bitcoin has scaled its decentralised miners to such a degree that, for a time, this sheer magnitude alone could be a deterrent.
🚀 The Concept of Hyperbitcoinization
A world where there is hyperbitcoinization would be one where bitcoin has become the currency of choice for almost everybody, everywhere, replacing fiat currencies and fundamentally reshaping global finance.
In the wake of Bitcoin adoption as legal tender in countries such as El Salvador, this is moving closer to becoming a reality. Momentum begets momentum, and there is a very real possibility that the desire for an escape route from failed fiat systems could cause us to very quickly transition into a Bitcoin-standard economy.
🏛️ Persuading Governments to Accept Bitcoin
Persuading governments to accept Bitcoin is another challenge. Many regard decentralisation as an attack on their fiscal sovereignty but the story is changing. As governments begin to see the economic advantages of Bitcoin, attitudes are shifting.
Dealing with governments must be a ‘long game’, playing up the benefits of Bitcoin to them (eg better productivity, better taxes, and so on, even the old throwaway ‘financial sovereignty’). But once a few leaders see the value, the game will play itself out in their favour over time.
🤝 The Intricate Relationship Between Governments and Bitcoin
This relationship will remain complicated. Some governments are fighting a losing battle with Bitcoin, but others are increasingly seeing the digital currency’s potential as a reserve asset. Such thinking would help Bitcoin transcend the fringes of society.
Finally, incentives are key. Governments need money, and Bitcoin can bring in new revenue through mining and transaction fees. When the incentives align, it would seem possible for governments to embrace Bitcoin in a way that could improve their economies.
🇹🇼 Bitcoin Ownership in Taiwan: A Discussion
in Taiwan there has even been talk of who owns Bitcoin China’s Samson Mow proposes that Taiwan amass an appropriate store of Bitcoin. It is appropriate, he claims, to have a store of Bitcoin equal to 1g of gold for every citizen, so let’s say 83,000 Bitcoin is appropriate.
This strategy dovetails with the view that Bitcoin isn’t just a ‘digital gold’ investment, but a strategic asset that could bolster the relative economic strength of Taiwan in a world that’s turning against it. Piling up a reserve of Bitcoin would give it some critical information advantage.
💡 How Much Bitcoin Should You Own?
How many Bitcoins one should own is in the eye of the beholder. It depends on who you are, what you are doing, and where you are. But, at the same time, owning at least one Bitcoin, if you can, could prove a good strategy.
Given its capped limit and growing scarcity, some fraction of wealth across the globe might need to be concentrated in the hands of those who manage to get their mitts on a meaningful share of it – those lucky first bitcoiners could find themselves sitting in an altogether unique predicament as Bitcoin catches on to make newly created money once more a very real incentive.
📈 The Million Dollar Bitcoin Prediction
Samson Mow shows himself to be a perfectly natural heir to this tradition when he quite cheerfully makes the seemingly preposterous prediction that Bitcoin will be worth $1 million this time next year; he bases his forecast on the observation that Bitcoin has performed in an exponential manner, on a timescale of only a few years.
The remaining potential for Bitcoin to appreciate comes from its usefulness as a protection against inflation and as a store of value. To the extent that more individuals and institutions come to see these properties, the demand for Bitcoin can raise its price dizzyingly.
🔍 The Mystery of Satoshi Nakamoto
Who is Satoshi Nakamoto? This is arguably the biggest mystery in cryptocurrency, and there are countless theories about who the pseudonymous inventor of Bitcoin really is. But the fact is we have no idea. Satoshi has taken some truly exceptional measures to evade detection.
Others think that just a handful could possibly know who Satoshi is – or was. But Samson isn’t so sure. ‘[Satoshi’s] operational security was practically impenetrable.’ He points to the use of untraceable payments and his stealthy IP address, his email conserved so as not to leak anything, and even the choice to work as a pseudonym in the first place. ‘If you came in from the outside looking for him, it would be almost impossible to trace back today. And that’s part of the mystique of Bitcoin: its past is as interesting as its future.’
🧐 The Implications of Revealing Satoshi's Identity
Assuming a good guy claiming the identity, would this mean the end of Bitcoin as we know it? ‘Who knows,’ adds Samson. ‘It might be they can’t prove it. What would it look like: some fat guy saying that he is the name? What proof does he have? Does he have access to those keys? Does he sign a message with those keys?’ Nothing is certain yet. The mystery has not been solved.
🏖️ Wealth Accumulation: The Yacht and Mansion Debate
The higher the value of the currency, the more people model the likely real-world uses. That can involve abstract concepts such as governance, but also practically, what fancy Bitcoin-owners would spend their money on: yachts or mansions? ‘It’s easy to get distracted,’ says Samson. ‘It’s very easy for rich people to say yes to shiny balls.
He concludes that such expensive possessions often end up causing more expenditure and work in maintaining them than they are worth. Hence, the best way around this distraction is to simply rent, and focus on the ultimate goal: using Bitcoin to enhance your personal financial freedom and eventual impact on society.
🚫 The Future: Owning vs. Renting
Samson suggests that this idea – that you’ll own nothing and just rent everything – is fundamentally wrong, that people will still want to own things. ‘It’s partly to do with this misconception that Bitcoin is going to weaken property rights,’ he says. ‘It’s actually going to reinforce them.’ That’s because Bitcoin directly confirms the idea of ownership – something that has been undermined by financialisation, where in order to make a buck, we rent and trade things rather than own them.
In countries where fiat money can be printed at will, or seized altogether, Bitcoin is a form of money that puts private property and individual sovereignty back at the fore. With more and more people using Bitcoin, there will be a renaissance of property rights. You will be able to say with more justification than with the US dollar: ‘this is mine’.
🌐 Widespread Bitcoin Adoption: Challenges and Solutions
If achieving widespread adoption for Bitcoin is daunting, it might be hardest of all in regions of the world where most people don’t have smartphones or internet access. For this reason, Samson’s team is working on Aqua, a wallet that makes it straightforward to use Bitcoin.
Aqua acts as an intermediary for those who are new to cryptocurrency or have had little experience with Bitcoin — to the point where users can send and receive Bitcoin without any knowledge of the technology. Phillip says he wants to lower the barriers, and reduce the complexity, so that Bitcoin can be used by anyone and everyone.
📲 Bridging the Gap with Technology
Think about a wallet for your grandma – a wallet that anyone can use, because the user interface is so polished that even users with zero technical skills can learn it in minutes. Aqua will make use of QR codes and Lightning addresses so that paying someone will be as easy as scanning one.
Finally, of course, the goal is to bring Bitcoin to the people – if tech is easy, then people will use it, and maybe, just maybe, we’ll have a new generation of people using Bitcoin who see different possibilities to finance.
📈 The Impact of Bitcoin ETFs on Wealth Distribution
The introduction of Bitcoin spot ETFs is greeted by the community with mixed feelings as this is a further step towards mainstream acknowledgement of Bitcoin, but also as it concentrates the Bitcoin market into fewer hands than before and could affect decentralisation.
‘With the proof-of-work [model] that Bitcoin has,’ Samson explains, ‘you can’t just accrue wealth and immediately that turns into control of the network. But with proof-of-stake systems nothing’s really stopping you from having more influence if you hold more.’ And if DeFi is the future, the delyanisation is over very soon – at which point it might be mimicking the old system more accurately than many of us have dreamed of.
💸 The Dichotomy of Wealth in Bitcoin
Everyone crashing around with six figures of Bitcoin; it is shifting the pyramid towards another class of wealth.’ More inclusive means more resilient The possibility of Bitcoin becoming just another powerful corporation worries some. Samson countered that ‘just’ owning Bitcoin didn’t change the fact ‘that it is a protocol where nobody owns the protocol; holding money does not give you say over how it operates or governs’.
This last characteristic, which some of the other cryptocurrencies lack, prevents Bitcoin from becoming overly concentrated in the hands of one or a few dominant miners. This diversity is what keeps the network’s operation decentralised. Of course, we should still ask who retains the most Bitcoin. But the more useful question is: who are participating in the network in order to best serve its users?
🏖️ Retirement and Bitcoin: How Much is Enough?
If you’re considering your retirement plan, he suggests, the question should probably not be: how much Bitcoin do I need to own?’ Samson instead emphasises the importance of finding ways to generate a sustainable income stream. ‘Have some value to provide to the people around you, and allocate some of your earnings toward purchasing Bitcoin over time.
In this regard at least, the objective for many should be to acquire at least one Bitcoin, provided this is feasible, because of Bitcoin’s scarcity and – more significantly – its potential for value appreciation. The point is to remain ahead of the curve, creating more value, rather than sitting passively as the Bitcoin price rises.
💪 Building Wealth Through Value Creation
Rathour offers a better alternative to the mantra of getting rich from Bitcoin: make an effort to become a better person by working hard, being an entrepreneur and adding value to the world, and you will be able to both improve your financial situation and provide the capital to invest in Bitcoin. In this manner, you cultivate a resilient financial portfolio and a richer life.
🌟 A Day in the Life of Samson Mow
Samson Mow splits his week between his two great passions: Bitcoin and gaming. Every day he works on one or the other, by day he’s the CEO of a gaming company developing Infinite Fleet, his Bitcoin venture, BitMP, which is developing a system for Bitcoin miners and merchants to set prices. It’s a unique blend of interests, the gaming world and Bitcoin. He’s poetic on why: ‘I love creating sci-fi game universes, and by Bitcoin I love to create sci-fi game universes that are economically efficient,” he says.
Whether it’s figuring out new promotional techniques for his gaming company, or trying to persuade financial institutions and media types to accept and work with Bitcoin, he can advance the cause of his beloved technology in two distinct domains: under the banner of technological innovation or financial sovereignty. Because Bitcoin is a chameleon and it will be prostituted to whatever purpose its users fancy.
🕒 Balancing Multiple Passions
It’s about making good use of my time, because both of these things [gaming and Bitcoin] demand a lot,” says Samson, who divides his time between the two and maintains a keen focus on which tasks he needs to perform, and when, to remain within sight of his goals.
What’s clear is Samson’s story demonstrates that Bitcoin has the potential to get involved with almost any industry, providing fertile ground for innovation and the natural expression of this creativity. In all of his endeavours, whether trying to bring Bitcoin to members’ clubs, or evangelising in the gaming world, what comes across as most striking is his passion for it.
🌍 Shifting Global Powers and Bitcoin's Role
The global economic landscape is changing, and Bitcoin stands to drive much of this transformation. Growing nations that were previously thought economically lost causes are showing signs of coming to life and recognising the value of Bitcoin as a growth and investment engine. ‘A lot of Latin American countries are very hungry for outside investment,’ Samson notes.
As these countries monetise those resources – particularly energy – through mining, they are diversifying their economies and becoming foundational parts of the global Bitcoin ecosystem.
⚡ The Energy and Bitcoin Connection
Countries, such as the Philippines and Indonesia, that have plenty of geothermal energy left unexploited can set up farms that can be a source of Bitcoin that can be exported to the rest of the world – changing economic realities for the better. In the future, if we do this process on a large scale, we might even see a world in which Bitcoin mining reshapes global power equations.
The more people understand Bitcoin’s technical possibilities, the more potential these countries have to reshape their economic futures. It’s not going to happen overnight. But seeds being planted today could grow into radical changes tomorrow.
🔒 What Happens When Bitcoin is Fully Mined?
With only 21 million Bitcoins ever to be mined, and with many in circulation now, the question often comes up: what can we expect when all of them have been dug out of the ground? ‘Eventually, when we mine all 21 million, the source of revenue for the miners will change. There’ll no longer be a block reward, so the miners will have to receive revenue from transaction fees. And that’s when you’ll see a whole different level of the supply chain integrate with Bitcoin mining operations, where the energy comes into the picture again.’
Mining will most likely become completely synonymous with energy production. Companies will not only produce energy, but also use it to mine Bitcoins on a scale that is self-sustaining and balances energy production with the Bitcoin network’s demand for energy security and operation once the 21-million limit is reached.
⚡ Energy Abundance and Bitcoin Mining
Whether this energy technology (nuclear in particular) comes to fruition remains to be seen, but if it does, the potential for energy abundance is set to make Bitcoin mining an incredibly attractive side venture for energy companies and energy investors alike. In fact, it will go even further than that. The increased profitability will draw more people into Bitcoin mining, thus further intertwining energy and Bitcoin technology, and making the Bitcoin network more robust and efficient while increasing the efficiency of energy production.
As the world moves firmly into a low-carbon paradigm, the energy-Bitcoin relationship will grow only more crucial to the way many of us perceive energy and digital money.
📉 Future Bitcoin Price Predictions
Looking forward, Samson has a daring prediction about where Bitcoin’s price trajectory will take us: at a very conservative growth rate of 60 per cent a year, by 2033 Bitcoin will be worth three million dollars a coin. This is based on the past course of events of this ‘greatest store of value in human history’, and the current economic context: ‘The time is now ripened,’ he says, ‘for the ascent of Bitcoin.’
If hyperinflation grips the countries with high levels of debt – a scenario that’s not implausible, given the financial instability bubbling up in markets around the world – Bitcoin’s value could surge further, as a hedge against inflation. ‘I wouldn’t be surprised if we got to a Bitcoin that’s $1 million in the next few years,’ said Samson.
🚀 The Road to a Million Dollar Bitcoin
Sonorous, in this room of alt-nerds, Samson suggests that if more folks (and institutions) take Bitcoin seriously, a huge price spike could come any day. ‘The overall financial system is a huge mess, and more people are looking into Bitcoin, so it definitely could happen.’
Bitcoin has a future, but it’s the most exciting and radical financial innovation in a generation. The more people use it, the better. Bitcoin’s promise is to create wealth.
