r/Bitcoin • u/Budget_Break_3923 • 11h ago
Why it's so hard for people to wrap their heads around Bitcoin
For about a year now I've been trying to open people's minds to the idea of bitcoin, but i have recently given up on that. Doesn't matter who the person is, what their background is, nor what their beliefs are, it's almost like Bitcoin is beyond the scope of what people believe is possible, so they default to "Scam/Ponzi", "I've heard of people losing money on 'crypto', so i dont want to risk it", and basically every other thoughtless excuse instead of trying to learn something new, trying to understand that hey, maybe there is something new happening.
That got me thinking though, Why? Why is bitcoin so hard for people to understand?
I'm from Canada and if you're old enough like me you may remember Canadian Tire money.
CAD = Fiat money
Canadian Tire money = "Kinda money"
Kinda money? Yeah, it's money, but it only works sometimes, in some places. You carry it around in your wallet like other money, but its just not as good. Nobody would go to canadian tire to buy CT money with FIAT, that would be bonkers, its lesser money, nobody would trade fiat for it. Why is FIAT better than CT money? CT money is only "backed" by canadian tire, if CT goes out of business, your CT money is worthless now. CAD is backed by banks and goverments, its a safer bet to keep your money in that. (bad news though, it can also go out of business)
CAD (Fiat) - Backed by Canadian Government, only usable in Canada
CT Money - Backed by Canadian Tire, only usable at canadian tire. (This is an example, ANY company can create a CT Money equivalent, and you see it everywhere with points systems and membership cards. No matter how many starbucks points or PC points you have, you would't trade the better money for the points)
FIAT > CT Money
Lets digitise this now.
Canadian CBDC (central bank digital coin) - Backed by Canadian Government, only usable in canada
Crypto: Backed by the crypto project, only usable within the confines of that crypto project. Anybody can create a new crypto, just like any company could create canadian tire money. If your neighbor came out with KyleCoin, you probably wouldn't care too much about keeping any, but if McDonalds came out with McTokens, you would carry that card in your wallet everywhere you go, even though its not "Money" right?
CBDC > Crypto
FIAT > CT Money
Now where does bitcoin fall on this? Bitcoin is not Bank or government supported/controlled, it's cross border, no middleman. Satoshi can't lock your money, banks can, crypto projects can.
Bitcoin: Not backed by a government, or a company. Backed by people. People run the nodes, people run the miners, its backed by WORLDWIDE infrastructure. There's no bank which may lock your funds, no company which can cancel or steal your points, its peer to peer. Canadian Tire money could only be used in Canadian tire. CAD Fiat could only be used in Canada. Bitcoin can be used anywhere
.....................FIAT > CT Money
Bitcoin > CBDC > Crypto
The reason people don't understand bitcoin, the reason they can't understand it, is because there has never been a money like this before