The Evolution of Trust: From Gods to Bitcoin
This year, BTC's rise has not only outperformed traditional bastions of stability like gold and treasuries but also put banks, those once-unquestionable giants, in the shade.
In the annals of human history, our faith and trust have shifted dramatically, evolving with the epochs we've traversed. Remember when our ancestors first placed their trust in gods? Gold, with its ethereal shimmer, became their offering. Its indestructibility, malleability, and rare nature made it the emblem of divine qualities. Not just an embodiment of the divine, gold was also an expression of our human veneration of the celestial. Even our terrestrial symbols of power, like emperors or kings, found their currencies in metals like gold, silver or copper.
Fast forward, and trust shifted to the constructs of the state, manifesting in the tangible paper that spelled out the laws of our social contract. The era of fiat money was upon us. As borders expanded and global connectivity grew, our trust transcended geographies. It was no longer just about nations; global banking institutions became the new custodians of our faith. But alas, they too seem to wobble now, with indicators like the KBW Index plummeting by a staggering 25% year to date.Moreover, venerable establishments, such as Credit Suisse, have now receded into the pages of history.
Bitcoin (Black), Gold (Orange), Treasuries ETF TLTĀ (Blue), KBW bank Index (Yellow).
Enter the digital age, where communities are no longer bound by blood or soil but by the intricate sequences of an algorithm. A paradigm where trust moves from deities to monarchs, from monarchs to states, from states to banks and now, from banks to the nebulous realms of the digital universe. Bitcoin exemplifies this tectonic shift. Here, we place our trust not in an institution or an individual but in an anonymous entity, an algorithmic manifesto that is beyond the traditional edifices of power.
Trust is no longer simply given; it's digitally earned.
#Bitcoin #DigitalTrust #EvolutionOfFaith #FinancialTrends
Guillermo Valencia A
October 26th 2023
Brazil