This is a transcribed excerpt of the “Bitcoin Magazine Podcast” hosted by P and Q. In this episode, Dylan LeClair of Bitcoin Pro Magazine discusses the asymmetric bet that is bitcoin.
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Dylan LeClair: I think there might be some short-term asymmetry in the dollar. And the only reason I care is because, the other side of this… the goal for me is to have as many bitcoins as possible. Because I think, in a decade of eroding globalization, the end of a debt supercycle, the reality is that (that) in the long term, people will literally demand – the governments, politicians will follow, central banks will follow – print money into oblivion.
And so I think it’s game over. And for bitcoin, you have a digital, synthetic commodity, a monetary asset that you can send anywhere in the world, that has a marginal cost of production. That literally goes straight up and to the right – with a lot of volatility, but the long-term trend… you can’t even calculate the marginal cost of production because it’s marginal and some people will produce. it with zero input cost…
There is this motivation all over the world to clean up excess energy with Bitcoin mining. And so, essentially, the marginal cost of production – due to bitcoin supply schedules, due to difficulty adjustment – as the hash rate hits the moon and as Moore’s law kicks in and miners get more efficient. More efficient and the hash rate continues to increase, you will see the marginal cost of production of bitcoin programmatically increase as the issuance goes to zero and again, the difficulty continues to increase.
So, I think it’s… the flip side is that we have something that no one understands, that trades like a total risk asset, and if it’s a digital composite commodity that executes monetary policy in a meaningful way trust in a world where central banks have gone mad, gold has been completely taken over by the paper market…
You know, there’s something really big here, and that’s where you can increase your purchasing power by a hundred if the thesis holds true over a period of 10 to 15 years.