Friday, March 25, 2022

Trust is needed to run the world, and crypto can make trusting easier

I want to pass on a few clips from a recent screed by Mark Manson in his usual explitive-rich style. I regret that he doesn't make clear the central point that it is the blockchain concept underlying various cryptocurrencies that is responsible for generating trustworthy transactions, without requiring the intervention of third parties like banks, inspectors, and regulators to certify trustworthiness. Here are my clips and pastings:
The problem is that trust-building institutions are human. And humans are, uh, not really trustworthy....there are millions of people in the world whose entire jobs are to verify trustworthiness. Insurance companies, banks, legal firms, universities, regulatory agencies, and government programs have massive office buildings full of nothing but people doing this trustworthy verification thing, all day every day... because we have not other better way to do it...and the process is corruptible because it is human.
The way Uber automated away taxi drivers, crypto will automate away millions of these trust can shake your fist and make please about job security and income inequality or whatever, but at the end of the day...we will all love it and use it for the same reason we love and use Uber...because it makes our lives a hundred times easier...dealing with human-led institution to constantly verify trust is a never-ending nightmare...submissionsw of hundreds of pages of paperwork...All it takes is one pissed off guy at the DMV to literally prevent you from being able to legally drive. All it takes is one asshoel banker on a power trip to fuck up your ability to buy a home.
That is why I believe crypto is inevitable...but messy...crypto is market-testing hundreds of different types of governance models, security protocols, capitalization allocations, wealth redistribution, brand-building. What happend in 100 years in the real world happens in a couple months in the crypto world...eventually, it will catch up. The governance systems will be better, faster, more reliable, more secure, and censorship-proof. But part of that market-testing is subjecting itself to hundreds of hacks, ponzis, rug pulls, saboteurs, scam artists, rip-offs, and dum dog coins. order to automate and upgrade trust-verifying institutions, you must rebuild and/or replace those institutions. And those institutions are unlikely to go quietly.

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