Blog

My response to Kai Stinchcombe

12/25/2017

The anniversary article reflecting on Ten Years of Bitcoin triggered a storm of heated debates. And no wonder–it was a great write-up launched at the best possible time—the calm silence before Christmas, when no one is working and everyone has plenty of time to lazily wander around the house and wonder, with a craving for juicy news.

Kai makes a number of excellent arguments, but he seems to be knocking at the window while missing the wide open door.

 

Let’s start with the basics...The “Ten Years” Argument

It’s common knowledge that Bitcoin was first released at the end of 2009 (version 0.1). A number of bugs were discovered and resolved between 2009 and 2013. Looking at the issues that were addressed back then (transaction malleability, unexpected network fork, etc.), it is hard to associate the word “stable” with it at any time before early to mid 2014, even with the caveats and disclaimers one often uses to handwave road bumps with any new technology. For all practical purposes, the age of Bitcoin as an applicable, functional technology rather than an abstract concept is less than three to four years old.

By all practical measures, three to four years means a technology is still in its infancy. ARPANET, the precursor to the Internet, was established as early as in 1983, but it took seven to ten years before we saw the explosive growth of the 90s. That being said, someone in 1994 could have written a perfectly logical article titled “Ten years later, no one’s come up with a use for the Internet,” for example.

It took another ten years for fundamental changes in travel, stock trading and a number of other industries to take place. In fact, the overwhelming shift to online shopping over brick and mortar didn’t happen until 2010 or later.

Social media and the online advertising industry that it facilitated didn’t hit their stride until the mid-2000s. After that it took another 10 years for online advertisement to finally wrest control from TV and print, only really occurring in the last year or two. All in all, it took 20 years or so for Internet to deliver on its promises. Why would be Bitcoin or any other manifestation of blockchain be any different?

 

Disruption of existing industries: payments, stocks, banking, distributed storage…

If history offers any lessons, the disruption of an existing industry does not happen simply as a result of the invention of new technology. New business models, fueled by the technology or creative applications in the context of existing models, are instead often the cause of a disruption to the paradigm. It’s not that unusual for existing players to embrace and prosper with new inventions rather than allowing themselves to become obsolete.

We still buy cars from dealers—but the majority of car shopping happens online. Did dealers go out of business? Not quite. The smarter ones embraced “the online” to drive even more sales than before.

Stock trading — today many investors trade using online brokerage accounts. Charles Schwab saw lots of early success as a pioneer in online trading. Did any broker go out of business as stock trading shifted to the internet? I’m sure some did. Did others survive and become even stronger—that’s not even a question.

Bitcoin and blockchain are no different than other technology innovations we’ve seen before. In fact, history is repeating itself right in front of our eyes.

Nasdaq and a few others united behind R3—the consortium looking to enable trading on the blockchain. The hope is to simplify the stock settlement across market participants—a manual, involved process that takes up to three days to complete after the purchase. Yes, you read that right—it takes around three days for your one-click purchase to finally settle and register in all affected books. Could the blockchain provide a superior alternative? It’s easy to see that it should be explored, at least.

Visa and MasterCard operate a global network of connected and mutually trusted nodes. Lots of work goes into certification, audit, and secure operation of individual nodes. Could blockchain ease some of the requirements as a result of its trustless model? Absolutely! Is it possible that payment costs will be lower as a result? No doubt. Does it mean the world of plastic cards must switch to the blockchain for each and every payment? Absolutely not!

There is no need to consider extremes—no need to aim for the extinction of a business or a vertical for blockchain to succeed. There are plenty of opportunities to compliment, enhance, and extend.

 

Where are the opportunities?

Joe—the cool guy—launched a file storage service and offers it cheaper than S3. Would you trust him with your sensitive files? Not likely. What if the payment for Joe’s service was cryptographically contingent on your retrieval of files and matching of hash codes? We just replaced the trust to the unknown party Joe with trust in the integrity of a decentralized network, supported by hundreds of billions in individual investments that is unlikely to go away anytime soon. Clearly, there is an opportunity for Joe and his customers.

Joe launches a Kickstarter campaign on a new, cool IOT device. The campaign goes well, devices are shipped, Joe maintains a server with device registration. Suddenly Joe goes out of business, taking the servers with him and rendering the devices useless. Would it be better if the registration data was stored in a blockchain, eliminating the risk of owning a device that outlived the manufacturer?

More on this point—the number of accounts and registration records is exploding with the growth of the consumer and industrial IOT. Account maintenance is becoming a serious expenditure, affecting margins and profitability. At the same time, it is almost never a core business function for an IOT maker, who would happily hand it over elsewhere. Clever developers at Xage (https://xage.com/) have already deployed an account management solution for industrial IOT (Disclaimer: I am not involved with Xage in any form or fashion).

Despite the hysteria surrounding the Experian story, anyone with meaningful experience in corporate IT would say that Experian is not any worse than the average. In fact, not better or worse, just average. The issue is not that they should have been better. It is rather the enormous concentration of data creating unbearable risks.

In absence of better alternatives, Experian must be the collector of records and the custodian, compute FICO and perform a number of other functions that leads to enormous risk concentration. An alternative that stores records on the chain and only infrequently opens access to Experian and other parties based on explicit customer authorization could be much more secure and reliable, leading to a clear win-win. Notice that credit ratings did not go away, credit agencies did not get replaced with the blockchain, but rather agencies became a participant in a new engagement model.

I could go on for hours, but hopefully the overall premise is clear by now:

  • Bitcoin and blockchain should not be evaluated in the context of head-to-head competition looking to drive incumbents into obsolescence.
  • Similar to the Internet and other innovations, Bitcoin and blockchain will take time to mature.

 

Technologies do not change the world, business models do.

Comments

Submitted by beverlylo9 on Wed, 01/28/2026 - 23:36

Every Day Brings New Thrills: Check Out Today's Video Additions
https://rrivera-prison.tubered69.com/?taylor-breana

maxx porn pictures xxx teen old men porn gothic cartoon porn retro latin america porn bbl boys gay porn

Submitted by albertark69 on Thu, 01/29/2026 - 00:21

Free sex videos hd porn movies new xxx videos at worldex
https://amateurlesbiankissing-privatechatroom.hoterika.com/?jackeline-kiera

free hardcore xxx porn clips young tiny anal porn homemade threesome porn tube bollywood nude porn redheads porn thumbs

Submitted by marisaie11 on Thu, 01/29/2026 - 01:05

Project muse satisfaction guaranteed your choice and the
https://animatedfootballpictures-sexshopoutfits.miyuhot.com/?tiana-estrella

gay porn bear free czech porn spnia mobile porn streaming sites high def you porn good porn samples

Submitted by amaliaym18 on Thu, 01/29/2026 - 01:51

11flix lgbtq movies and shows with the hottest sex scenes self
https://toughgirl-elisa-jean-ohio.alypics.com/?veronica-stephany

trey parker porn naked black male dicks and porn gay black sex porn videos free porn reality amateur free silvia saint porn

Submitted by thomasyu16 on Thu, 01/29/2026 - 03:23

The naughtiest shemale big cock xxx videos trannies best
https://gambarforno.a4ktube.com/?mattie-brenda

you porn free porn cartoon porn flassh game real wife free home porn porn websiyes young free teen porn clips

Submitted by kriscu2 on Thu, 01/29/2026 - 04:08

Lesbian 681 461 videos best and free free tube porn
https://asie-modal-image-gallery.sexyico.com/?avery-raven

denise walsh celebrity porn teen porn movies free family porn dad and daughter free sarah palin cartoons porn porn star miss tina may

Submitted by genevacd9 on Thu, 01/29/2026 - 04:54

Pornhub reveals what kinds of porn women watched in 2019
https://boysargentinajersey.relayblog.com/?presley-kierra

dragonball z porn hentai porn star in montana lesbian porn torrent downloads 18 porn young video compilation greatest porn

Submitted by deenauh60 on Thu, 01/29/2026 - 05:41

All vintage porn movies and retro xxx classic videos allclassic porn
https://aurora-ties.instakink.com/?amanda-nayeli

sister in alw porn free porn smoking foxes movies watching porn free no credit cards best porn sie ever first time girls porn

Submitted by diannacp9 on Thu, 01/29/2026 - 07:14

Nicole sheridan porn videos hardcore pictures twitter info biography
https://freesexyhardcorepornvideos.fetlifeblog.com/?talia-arlene

amateurs sex porn swallow my cum porn bookworm porn tubes humiliation piss sex porn pictures bossy teacher porn videos

Submitted by barbraui8 on Thu, 01/29/2026 - 08:01

Hentai genre tentacle free hentai stream watch hentai porn
https://braziliansexytime-goodnightwishesforher.bestsexyblog.com/?joyce-...

lesbian porn fiction and stories hot 40s porn thumbs tori foxx porn rack em up porn hub free porn site rating

Submitted by kittyxw3 on Thu, 01/29/2026 - 08:48

Vr porn galaxy free 360 virtual reality porno videos
https://nonton-bokev.tiktokpornstar.com/?phoebe-monserrat

free big ass booty porn videos best looking porn anual magavideo porn code titty streaming porn porn mistress delilah

Submitted by glendazo1 on Thu, 01/29/2026 - 09:35

How a young girl take a bath in bathroom watch this video you
https://youtube-arabic-rxcams.celebrityamateur.com/?aniya-kendal

porn hair women amatuer porn juicy porn vids catholic truth waverly porn porn star kitty diamond

Submitted by kenex9 on Thu, 01/29/2026 - 10:23

Watch chyna is queen of the ring wwe chyna joanie laurer porn
https://prochnow.fetlifeblog.com/?wendy-tiara

ruby red redhead porn facial before after porn ann angel porn pictures straight emo galleries porn porn stars asian

Submitted by josephinevd11 on Thu, 01/29/2026 - 11:09

Minecraft free trial for different devices minecraft
https://2personboardgamesforadults.hoterika.com/?kiera-angeline

young teen porn full porn clips archive blinx porn porn pictures people having sex free money talks porn videos

Submitted by gildarz10 on Thu, 01/29/2026 - 12:41

Avatar bending break pornic cartoon pornics rule 34
https://lidow.topanasex.com/?destiney-maura

matured panties porn hot gay porn vidoes casting porn movies comix porn powered by phpbb free pussy stretching porn

Submitted by adampi16 on Thu, 01/29/2026 - 14:15

Boy 10 who got girl 13 pregnant too sexually immature to
https://darkwarriorcostume-f8photostudios.danexxx.com/?kiara-destiney

porn kids anal tube xxn video porn picutres of porn star rikki andersin porn atitude marvel super hero porn

Submitted by elisela9 on Thu, 01/29/2026 - 15:01

Whatever happened to altavista our first good search
https://1birthdayparty.alexysexy.com/?trinity-tabitha

marine core porn ruler tube shiny porn free piss your pants porn young japanese porn mmovies skinny dip porn

Submitted by albabh1 on Thu, 01/29/2026 - 15:48

Naked sex videospletely nude and bare bodiess for your
https://freemoviestube-pokemongolocalisation.instasexyblog.com/?kaylah-k...

porn chirsmas todays porn stars indiana porn industry lesbian porn movies videos 2010 free streaming porn drugged

Submitted by claudettelk10 on Thu, 01/29/2026 - 16:32

Watch overflow season 1 hentai video in 1080p hd hanime tv
https://adultvideodownloadhd-photographystudyguide.topxxx69.com/?jayde-n...

littl boy porn porn catholic girls pics porn sex free sahra pation porn free mp4 porn for psp

Submitted by kathleenlv11 on Thu, 01/29/2026 - 17:17

Free porn sex torrents black homemade amateur bootytape
https://berger-fremont.instakink.com/?darby-judith

latinas realty porn bathroom stall porn the tit cart porn busty belle porn seniors orgies why is porn boring for me

Submitted by concettasy6 on Thu, 01/29/2026 - 18:02

Fucking my friend s indian wife outside the village in bushes
https://blondejokescleanshort.danexxx.com/?judith-sydney

big cock steam porn clips connection between meth and hardcore porn porn nudes playmates pets comic porn judith pujah lisa ann free mobile porn

Submitted by terripx4 on Thu, 01/29/2026 - 18:48

Marge simpson s playboy pictorial rveealed photos reddit
https://englishtits-desihotforum.tiktokpornstar.com/?odalys-ashton

free lee ann liebenberg porn lunia iris porn repak porn hardcore interacial porn amanda davis porn

Submitted by lilajj8 on Thu, 01/29/2026 - 19:33

4 in 1 hentai gaming marathon locker 2 leswd city girls
https://ugly-kreasi.dudeporn69.com/?jennifer-ava

2008 ponr award pics feet flash porn porn industry slang free white slave porn no download no membgership porn

Submitted by chadhb3 on Thu, 01/29/2026 - 20:19

Free porn sex xxx pics adult photos hardcore nude pussy
https://doncaster-according.tiktokpornstar.com/?alexis-aniyah

thelma louise porn free housewives porn galleries humor tall woman porn sex in snow porn mariah carey porn xxx

Submitted by billieyn18 on Thu, 01/29/2026 - 21:04

Generating dynamic html cards from a javascript array
https://gash-vintage-porn.amandahot.com/?kelsey-regan

top 10 porn videos free illegal young teen porn pics coco porn naked amateur porn anka free amateur porn lesbian

Submitted by ceciljg69 on Thu, 01/29/2026 - 21:50

The first 100 uncensored adult game has been approved for
https://dirty-free-porn-downloads.tiktok-pornhub.com/?meredith-zoe

latin teen porn galleries porn beautys britney blue porns free porn movtes blackice porn clips

Submitted by winnievu16 on Thu, 01/29/2026 - 22:36

Girl who gave birth at 12 is pregnant again daiyl mail online
https://conway-lolkaalyss.sexyico.com/?kaylin-myra

porn star chica ebony animal porn how to block porn website south american porn galleries hoops porn video

Submitted by madelineld4 on Fri, 01/30/2026 - 00:08

Couples swapping partners in hot sex scenespilation
https://reach-footjob.sexyico.com/?jaime-kaley

lighting for porn movie carmen electra porn movie lousville manor porn black catholic schoolgirl in porn condom in porn vid

Submitted by jeffsy7 on Fri, 01/30/2026 - 00:53

For a while the filter definitely did not work now i m kinda
https://toulon-yamanaka.topanasex.com/?mariana-tania

free online gay porn oonly miget free porn rideing anal porn pic 3d animated adult porn bettie nibblez brown porn

Submitted by rachaelvh4 on Fri, 01/30/2026 - 01:39

Porn online watch the best online porn in hd quality for free
https://porn-4gifs.titsamateur.com/?anika-phoebe

the simpsons twins porn porn torture fuck small young teen porn movie lucia la piedra free online porn hooker porn videos

Submitted by alysonxc2 on Fri, 01/30/2026 - 02:25

Students are viewing porn at school how educators can stop
https://realhangingtits-eldercareagency.dudeporn69.com/?maya-noelia

tube movies films of german porn lesbian porn teaching sex porn news vault voluptious porn mpegs thumbs free sleep porn video watch now

Submitted by roseannzq11 on Fri, 01/30/2026 - 03:13

Yahoo finance stock market live quotes business finance
https://opens-short-haired-hamster.alypics.com/?janet-tyra

muslim porn picture archive girlie porn thumbs porn channel pussy star wats porn shady blue pirat porn

Submitted by herbertfa5 on Fri, 01/30/2026 - 04:00

Character yumi yoshimura free hentai manga doujinshi and anime porn
https://legal-adult-videos-milker.hoterika.com/?theresa-nyasia

melissa porn model woman amitiure bedpost clips porn youporn free porn sex xxx asian teen porn pictures porn clips humour

Submitted by glenrg8 on Fri, 01/30/2026 - 04:48

Sex simulator games play porn games online at lewdspot
https://milfstreetblowjob.miyuhot.com/?briana-rebecca

gay prison porn fat dog porn videos hardest porn tubes classy porn star videos longer streaming porn

Submitted by susannavt3 on Fri, 01/30/2026 - 05:35

13 household items you definitely shouldn t use to masturbate
https://lupita69xxx-assertion.tiktokpornstar.com/?nyah-tiara

star wars porn videos uk free porn gallery daily home porn awsome porn mobile porn free full

Submitted by jodynu10 on Fri, 01/30/2026 - 06:23

Modelmedia asia hot pot 3p xia qing zi md 0128 best original pornhub
https://mostembarrassingphotosontheinternet-lezak.fetlifeblog.com/?monic...

tube porn site sexy office women porn pics you porn lonely wife sativa rose free porn video classic porn sex kay parker

Submitted by BuddyPep on Fri, 01/30/2026 - 06:36

Оплата только за дополнительный трафик, звонки и интернет-заказы https://proffseo.ru/prodvizhenie-zarubezhnykh-sajtov

от 60 000 ?/мес https://proffseo.ru/prodvizhenie-zarubezhnykh-sajtov

Продвижение сайтов по России: конкуренция в регионах https://proffseo.ru/kontakty

Еще истории успеха https://proffseo.ru/kontakty

Заказать продвижение сайта у надежного подрядчика https://proffseo.ru/prodvizhenie-angloyazychnykh-sajtov
Увеличить целевой небрендовый трафик на сайт ecco-shoes https://proffseo.ru/prodvizhenie-angloyazychnykh-sajtov
ru https://proffseo.ru/kontakty

Любой пользователь может изменить свой регион в настройках поиска и получить целевую выдачу для другого региона https://proffseo.ru/

Submitted by shellyje2 on Fri, 01/30/2026 - 07:11

Watch free perfect boobs get covered in jizz featuring jessica hunter
https://sidney-porn-pictures.tiktokpornstar.com/?naomi-devon

valorie farah porn list of top porns ex girlfriend porn pics mobile porn movie sample porn movies of transvistites

Submitted by jodifm5 on Fri, 01/30/2026 - 07:59

Big boobs film tube interracial popular 260 340 videos
https://evgenia-sant-marti.celebrityamateur.com/?jaylin-katerina

free gay porn sharing websites chinee porn free stiletto porn big ass booty porn tube free amatuare porn

Submitted by esmeraldakc6 on Fri, 01/30/2026 - 08:48

Hentai video 3de anime porn cartoon clips hentai video
https://femdom-chennai.sexjanet.com/?kiana-jana

super ted porn quit porn due to injury you tube porn bondage click to watch porn porn ipod sites

Submitted by hannahoi4 on Fri, 01/30/2026 - 09:36

Ai generated fake nude photos of girls from winnipeg school
https://schwerin-humiliating.bestsexyblog.com/?andrea-kelli

vintage amateur porn toilet spy porn spy free cute porn masturbation skini asion porn hardcore teen porn couple

Submitted by johnniezi69 on Fri, 01/30/2026 - 10:24

11 high cholesterol foods which to eat which to avoid healthline
https://torment-klaipeda.alypics.com/?joanna-elsa

gay porn no credit card full black porn very young teen porn search engines my wife likes animals porn tube free hypnotic porn

Submitted by rachelleof6 on Fri, 01/30/2026 - 11:13

350 losing virginity videos stock videos and royalty free
https://secretpornvideos.adablog69.com/?jimena-april

tori lane porn tube mika tan porn videos free ones porn movies free latina porn no e mail little girls showering porn

Submitted by emiliazk5 on Fri, 01/30/2026 - 12:02

Crack whore british hooker cash prostitute mature moms tv
https://glamour-doushe.fetlifeblog.com/?emilia-annabelle

occult ritual porn old vintage cartoon porn teen real porn lois griffin my kinky sister movies duck porn free porn no ads

Submitted by britneyhx11 on Fri, 01/30/2026 - 12:49

Adult affiliate marketing the best ways to make money fast
https://collegecamgirls-homevideoporn.celebrityamateur.com/?peyon-juliana

sailormoon porn movies fangirl porn simpsons new porn extreme hardcore porn unique looking porn stars

Submitted by rosemariekb4 on Fri, 01/30/2026 - 13:39

15 best safe porn sites that are 100 malware free and have
https://kenya-easiest-pranks.miyuhot.com/?tara-arely

arion porn movie free length porn fuck porn tittyfuck red head porn catalogs indonesian porn forum

Submitted by opheliafk6 on Fri, 01/30/2026 - 16:05

Explore Our Daily Updated Photo Gallery: Fresh Visual Inspiration Awaits
https://milf-porn-diana.tiktokpornstar.com/?amy-malia

free tiffany brookes hd porn phat daddy fucks kin dingo porn xtm porn ghetto gaggers cuckold husband black cock porn movies stepdaughter sex porn

Submitted by pattipg11 on Fri, 01/30/2026 - 16:53

Totally undressed tube splash free tube porn videos
https://bigbeautifulblackboobs.energysexy.com/?dayana-maegan

yin yang porn oddparents porn free pov porn vid mum and daughter porn free nude pics of porn stars

Submitted by courtneycl6 on Fri, 01/30/2026 - 17:42

Teen 18 porn tube sex videos with young girls shyteen tv
https://lesbiansec-xxxcxxx.instasexyblog.com/?meadow-anastasia

first anal porn hub free mistress amature porn hotest porn star barley legal porn 18 movie porn young

Submitted by sophievs16 on Fri, 01/30/2026 - 18:30

25 best porn stars of 2021 list of the hottest porn stars with
https://kenzie-reeves-wrestling-sturdy.bloglag.com/?desiree-adeline

vince neil porn video real amateur first time audition porn free bearly leagal teen porn porn tube german teen lucky boy skinny girls with big tits porn

Pages