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 doraox69 on Tue, 03/31/2026 - 06:14

Man with world s biggest penis stuns with explicit pic
https://androidsexypromdresseslonginbackshortinfront-firstanalteens.tikt...

swingers vidieo porn cosplay cat girl porn download porn moves female masterbation video technique asian porn selana gomez porn

Submitted by corauv6 on Tue, 03/31/2026 - 11:20

Here are all of the bizarre rules yu must follow when you re ranker
https://oksana-im-antonia.miyuhot.com/?allyssa-reilly

free hispanic mature women porn xuxu the porn star natali blond porn vids jasmine porn movies free porn manga sites

Submitted by traviszg18 on Tue, 03/31/2026 - 13:21

Nicole sheridan porn videos hardcore pictures twitter info biography
https://bbw-blackisbetter.instasexyblog.com/?allyssa-alysa

horse porn vids free legal gay teen porn fallout 3 porn uvm girls porn keisha dominguez porn torrent

Submitted by virgilog8 on Tue, 03/31/2026 - 14:17

Exotic asian bdsm tube movies torture bound sadomasochism asian
https://sexonpics-bollywoodlmagescom.sexjanet.com/?maia-katerina

porn star naterlie heck free long free porn trailers wild crazy free porn clips shannon m ginnery porn free lesbian hunter porn

Submitted by henriettatg2 on Wed, 04/01/2026 - 13:07

Vatican approves blessings for same sex couples in landmark ruling
https://disimpan-bizzare.miyuhot.com/?ava-marlene

huge tits in porn shawn hunter porn porn forum kid free porn videos of lisa ann older ladies porn com

Submitted by deannald16 on Wed, 04/01/2026 - 16:12

Sexy mature porn videos older women sex movies tube
https://addeltmove.relayblog.com/?jamie-alisa

naked pictures free porn gallery crazydog porn jenifer aniston lookalike porn payal rohatgi porn galleries thumbs porn comics cartoons

Submitted by dominiquesg18 on Wed, 04/01/2026 - 21:11

Xxx porn torrent sites free full porn movie samples the porn
https://annamay-pics.sexjanet.com/?mayra-micaela

make cash online through porn wind club porn panda xxx porn pictures utube freejapanese teen porn porn capital of the world

Submitted by camilleee11 on Wed, 04/01/2026 - 23:42

Internet archive digital library of free borrowable books
https://holds-video-album-foto.sexjanet.com/?dakota-tamara

teenage mpegs porn free anime porn without credit cards audtions for porn video sister caught watching porn porn sites that work in uae

Submitted by stanleygq1 on Thu, 04/02/2026 - 00:53

Entrancement porn videos best entrancement free xxx movies
https://cristal-emmaahot.celebrityamateur.com/?dasia-kaia

young porn videe free video porn xxx mayberry porn site all anime porn who acts in porn movies

Submitted by antoniojz1 on Thu, 04/02/2026 - 02:04

Granny fiesta free granny sex movies and mature granny
https://orgasmdenialcompilation-banglagirlfunnyphoto.allproblog.com/?mia...

asian submissive porn porn hetei 3gp porn videos for mobile stella delcroix porn female peeing porn

Submitted by leaho1 on Thu, 04/02/2026 - 04:22

Watch asian interracial bbc asian japanese porn spankbang
https://besthollywoodcomedymovies2016-blackgaysex.instakink.com/?anaya-d...

porn star janie mulier real homemade amteur porn wife porn show me the ring online porn gamer free porn forced nonconsent

Submitted by candicebh9 on Thu, 04/02/2026 - 11:50

Us senator ben cardin angry over senate sex tape linked to
https://informationen-fine-chicks.allproblog.com/?alena-cora

logan mccree gay porn star free porn sleeping girls katsuni porn star lex anal gay porn sex site dump porn mom

Submitted by denanb2 on Thu, 04/02/2026 - 15:57

Blowjobit the best blowjob videos the most epic blowjobs
https://sputters-rosenheim.topxxx69.com/?katarina-marcella

top 50 soft porn movies solo sheer porn rey mysterio porn eel sex porn porn without computer viruses

Submitted by Manuelmew on Thu, 04/02/2026 - 21:01

В ее основе лежит технология компьютерного сканирования и трехмерного моделирования препарируемой зоны https://socdental.ru/stomatologiya-dlya-beremennyh/
Система автоматизирует все фазы производства протеза, дает высокий косметический эффект и экономит время пациента https://socdental.ru/implantatsiya-zubov/konsultatsiya-hirurga-implantol...

Центр Стоматологии Бутово
Посетители нашей стоматологической клиники всегда получают:

Проблемы с зубами и ротовой полостью это серьезное препятствие для нормальной жизни любого человека https://socdental.ru/protezirovanie/zubov-semnoe/akrilovye-protezy/
Даже небольшие пятна на эмали зуба со временем могут перерасти в серьезную зубную боль https://socdental.ru/protezirovanie/koronki-na-zuby/metallokeramicheskie/
Своевременный визит в нашу клинику к стоматологу поможет Вам предотвратить неприятные моменты с Вашими зубами https://socdental.ru/protezirovanie/koronki-na-zuby/ustanovka/

Наш стоматологический комплекс дает гарантию на все манипуляции https://socdental.ru/protezirovanie/konsultatsiya-stomatologa-ortopeda/
Гарантии устанавливаются на каждую работу индивидуально https://socdental.ru/protezirovanie/viniry-na-zuby/kompozitnye/
Пациенту также выдаются рекомендации по уходу за зубами и график профилактических посещений и гигиенической чистки (и то, и другое выполняется раз в полгода).

Submitted by oliviaya11 on Fri, 04/03/2026 - 12:51

Granny 157 872 videos best and free free tube porn videos
https://non-virus-porn.tiktok-pornhub.com/?yolanda-alexus

real pass porn ass lickers porn avi amateur anal masturbation porn male teacher sex porn archive porn thumbs

Submitted by melisaya10 on Fri, 04/03/2026 - 15:02

Download latest free mobile porn xxx sex videos and porno
https://latexbound-sexmoodquotes.celebrityamateur.com/?melody-mallory

free fuckk porn anna konda naturalborndom porn porn gallery of games old west saloon girl porn gay women porn tube

Submitted by adelinekw10 on Fri, 04/03/2026 - 16:01

Best Nude Playmates & Centerfolds, Beautiful galleries daily updates
https://bisexualmomporn.topanasex.com/?natasha-jaylene

nasty teen porn videos free porn facial young teen girls cumming porn dirty mobile porn jenny bot porn

Submitted by glendavo60 on Fri, 04/03/2026 - 16:50

Smallville actress allison mack strips off for saucy shower scenes
https://enfj.danexxx.com/?eliana-yasmine

menstration porn tubes porn city los angeles cartoon jetson vs simpson porn perveted porn extreme europe porn tube gay hardcore

Submitted by glennabn7 on Fri, 04/03/2026 - 17:44

Sossubs pocket monsters pokemon indigo league eps 01
https://familyportritphotographydeals.danexxx.com/?breana-dania

dirty talk porn videos action porn games free hentai porn soft core porn kitty katsu porn numbers

Submitted by pansysn4 on Fri, 04/03/2026 - 18:40

How to become a male or female pornstar 2023 redbled
https://littlegirls.topanasex.com/?destiney-aspen

short cute little british pornj star hood porn videos college teens porn pros turk melrose gay porn free porn picturse

Submitted by sergiovi8 on Fri, 04/03/2026 - 20:27

Dazn japan live sports streaming watch sports online
https://newbornphotographytorontoreviews-gayandlesbianreview.celebrityam...

british porn dogging we abuse sluts porn aborigine porn small men porn noweigen teen porn

Submitted by tabithazy69 on Fri, 04/03/2026 - 22:32

Latino gay porn with beautiful latin jocks xgaytube tv
https://alyssaallure-picturesofthingsinmexico.a4ktube.com/?tayler-allison

ebony pornn websites porn habbit wife babes porn girlfriend porn or nude or sex amateur porn redneck

Submitted by elsiebe4 on Fri, 04/03/2026 - 23:40

Nude model ha young eun bares all with her first book
https://panoramicgolfpictures.topanasex.com/?bridget-jaclyn

vivid porn star sleeping porn asian quality latina porn linda lovelace dog porn free japan porn hubs

Submitted by dawnss18 on Sat, 04/04/2026 - 00:45

Porn categories and best free porn tubes thefantazy
https://rayne-dani-daniels.danexxx.com/?tia-reanna

indian porn share free laura lion xxx porn videos nubiles porn home porn video clips lesbian loius griffin porn vidoes

Submitted by tamivv60 on Sat, 04/04/2026 - 01:52

Thousands of teen photos ending up on porn sites rt
https://gold-porun.topxxx69.com/?raven-jazlyn

deleted youtube porn teen big tit porn wales porn anjalina jolie porn pov blowjob tube porn

Submitted by adelinews16 on Sat, 04/04/2026 - 02:57

Hey everybody watch this monkey jerk off in front of paris
https://originali.adablog69.com/?tatum-molly

ala4 porn site transvestite porn websites big cock amateur porn japan porn lesbo slave animal sex porn

Submitted by franpu5 on Sat, 04/04/2026 - 05:07

Beastiality hentai cartoon porn videos cartoonporn pro
https://dirtygreenjokes-filmxhard.energysexy.com/?ashanti-alanna

nude men humiliated porn small chinese girls porn free porn women video sites yue tube porn free cousin sex porn pictures

Submitted by trinakt9 on Sat, 04/04/2026 - 06:10

Top 18 best porn streaming sites free ultrahd updated
https://wuppertal-saft.energysexy.com/?rianna-breana

granny porn tube video free online porn with out registration sluty aunt wants my dick porn schoolgirl porn galleries info on porn

Submitted by estelamy16 on Sat, 04/04/2026 - 07:12

18 asian porn videos free japanese sex oriental xxx movies
https://androidsexypromdressesrevealinghistory-nikakonovalova.tiktok-por...

rennisance porn hot inidan porn stars james zinkand gay porn video free porn tubes fem dmo you porn nudist beach spycam

Submitted by nolanq60 on Sat, 04/04/2026 - 08:15

Brussels launches legal action against elon musk s x over illegal
https://tagebuch-cologne.alexysexy.com/?alisha-vanessa

quotes about porn homade party porn video mobile piss porn lisa simposn porn tram pararam auntie porn pictures

Submitted by valeriamj60 on Sat, 04/04/2026 - 10:16

Summer hart codi vore porn videos sex movies redtube
https://hdgayamateur-hearttouchingsadlovequotesinhindiwithimages.tubered...

cutting demented sex porn kimber james free porn bride abuse porn self porn tgp best porn movie ever made

Submitted by lessieex16 on Sat, 04/04/2026 - 22:31

Genre female investigator japanese adult video javideo
https://yekaterinburg-cholie.hoterika.com/?natalie-jaqueline

porn stories vod soft porn great legs free lone porn videos teen girls having sex porn steven love porn star

Submitted by judyud10 on Sun, 04/05/2026 - 02:39

Mom 44 604 videos fat mom tube free bbw fat chubby tube porn videos
https://bdsm-perp.bloglag.com/?mina-annabelle

free bbw porn pic free porn greetings rupert murdoch porn magazines you tube david silver porn funny japanese porn cry

Submitted by darcyxz4 on Sun, 04/05/2026 - 06:02

Selena gomez side boob after braless see through dress photos
https://esmeralda-asian-king.bloglag.com/?mjadalyn-erin

wild bachelorette party porn videos dragon ball z 18 porn sexy lingerie soft porn crazy huge tit porn new newyork flav in porn

Submitted by avistt8 on Sun, 04/05/2026 - 09:21

Naked asian pussy girls free japanese eten porn hot chinese
https://funoutdoorgamesforadults.hoterika.com/?katelynn-dalia

lesbian wrestling porn tube french video porn sites free alesha dixon porn mature anal porn movie tubes archie porn comics pdfs

Submitted by franciscoxf6 on Sun, 04/05/2026 - 10:24

Condom slips off as hotwife fucks a stranger and cuckold
https://govard.instakink.com/?amanda-aylin

porn sites on wii free hot gril porn stepmom like to fuck porn passwords for porn sites bikni porn galleries

Submitted by shellyiv5 on Sun, 04/05/2026 - 11:21

Beautiful girl got secretly fucked and filled her pussy with
https://ginny-xxx-disy.tiktok-pornhub.com/?alexys-ellen

is watching porn ok gold porn tube teacher free toon porn self submitted teen porn videos amateuar porn

Submitted by magdalenazl9 on Sun, 04/05/2026 - 12:21

Gay parties lgbt events guide 2023 and 2023 travel gay
https://rick-allison-parker-pa.instakink.com/?dana-abril

persian porn actress melanie adult bsms porn totally fake tits porn shaved asian porn movies strawberry shortcake porn

Submitted by jaynecb4 on Sun, 04/05/2026 - 13:16

Teen boys are falling for a snapchat nude photo scam here s
https://portsmouth-elastigirl.danexxx.com/?janice-josie

walter soares gay muscle porn free porn pics sent email download program play channels porn computer free gagging porn young free gay porn video tube 8

Submitted by alexmk10 on Sun, 04/05/2026 - 14:11

Antton harri hung handsome spanish gay porn star and escort
https://teenaged.instakink.com/?zoie-jaycee

italian porn kathy euro men mature porn best online stream free porn sites free full length porn viedos anal horney anime porn

Submitted by annmariehy18 on Sun, 04/05/2026 - 15:15

Cyber security software and anti malware malwarebytes
https://car-sariva.dudeporn69.com/?erica-danielle

free porn mercyless pre ten porn hot bisexual bareback porn torrents amateur porn models over 40 video griffin family guy porn

Submitted by kenyaqt7 on Sun, 04/05/2026 - 20:16

Porn star sophie anderson stabbed abused and sex trafficked
https://tranny-nurse-porn.celebrityamateur.com/?macey-nichole

scammer porn sites fake porn pics of julia dreyfus free black gay porn sites 200 volt free porn porn clips of lovely lesbians

Submitted by donaldqd5 on Sun, 04/05/2026 - 21:09

Who is owen gray and why are people obsessed with him
https://mulato.instasexyblog.com/?emily-anya

new amateur home porn videos mature squirting free streaming porn porn file finder fake free celebrity porn porn star jayden james

Submitted by leliayp8 on Sun, 04/05/2026 - 22:17

Free asmr audio sex and porn erotic stories sounderotica
https://vintageanalcompilation.celebrityamateur.com/?astriod-unique

veiw my wifes porn hd porn youtube rural kansas porn porn movie private teacher milan prague porn star

Submitted by chasitytd2 on Sun, 04/05/2026 - 23:27

11 sites like omegle best adult chatroulette websites
https://worldsexiestfemale-brazzerspasswordforum.celebrityamateur.com/?j...

porn star mariah bishop inseste porn big tits porn sights look at free porn vidios porn video gay

Submitted by vernakk1 on Mon, 04/06/2026 - 02:40

All about idina menzel and taye diggs son walker nathaniel diggs
https://bodu-wildesfoxie.a4ktube.com/?yessenia-macey

porn stars of texas keezes free porn ethiopian porn sites hairy hole porn clips watch christina young porn

Submitted by billkw8 on Mon, 04/06/2026 - 03:46

Euphoria star angus cloud s cause of death revealed page six
https://largest-breast-porn.tiktok-pornhub.com/?angelina-madalyn

wives and amateur porn free mobile porn star video porn ukraine isabella part 01 porn porn streaming for women

Submitted by hectoref16 on Mon, 04/06/2026 - 07:51

Alix earle reveals details about dad s very public affair with ashley
https://pokemon-hantay.bloglag.com/?kaylee-amanda

bullfignting porn porn savannah gold free homemdae porn tube sites asian porn pornhub my lesbian story porn

Submitted by chadmi6 on Mon, 04/06/2026 - 16:55

Gold hd tube first time 36 084 hd videos gold porn hd tube
https://howtotakeaspanking-newyorkpostmelania.tiktok-pornhub.com/?katlyn...

sinndee jennings porn ftrr dault porn tten gay porn basshunter porn video jet black uk porn

Submitted by kendrayr18 on Tue, 04/07/2026 - 05:44

Sex simulator games play porn games online at lewdspot
https://androidsexybackmiiedition-duct.tubered69.com/?dalia-peyton

drunk collage porn torera porn desirae spencer ducky porn youngteen porn pics sara jay amber in porn shop

Pages