This is basically it right here:
[XT Supporters] believe that Bitcoin should be able to handle all the transactions on planet earth, from everyone’s daily coffee purchase, to everyone’s house purchase, to how Google cars should be paid for their services. On the other hand, you have those who believe Bitcoin’s core value is the fact that it is a hedge against fiat currencies, and by extension, governments (in the case they decide to infringe upon your liberties). Bitcoin CANNOT be both. It’s just not possible.
The above is the real argument, everything else is FUD and just craziness.
Exactly. That's the ONLY argument ever presented by anti-big blocks folk. (These are the same folks who claim Bitcoin mining is getting more centralized, which reality also contradicts.) They extrapolate that big blocks increases centralization because it makes it more prohibitive to mine. And thus if Bitcoin scales to the point where it can handle all the world's transactions, it will be too centralized.
Unfortunately for them, there's no fucking evidence to support that. Bitcoin can easily be both. It's like these people just straight up ignore Moore's Law and the history of technological growth. It's quite baffling.
The rest of the arguments they make are economic ones which look good on paper but are starkly and obviously contradicted by reality and data. But the math seems to work on paper and they're so blindly sure they've accounted for all the variables (which reality tells us they haven't) that they just don't see what's right in front of them.
I'm honestly disappointed with how fucking stupid so many smart people can be. It's like they forgot basic economics 101: if nobody can use the currently, then nobody will use it; and if nobody uses it, merchants won't use it; and if users and merchants don't use it, miner's can't sell it, which means the tokens they mine aren't worth anything which means they stop mining, which breaks the whole system. They're actually helping *destroy* Bitcoin in the name of saving it, and they're all too stupid to see it. It's frustrating as fuck.
Not only CAN bitcoin be both a secure store of value and a transactions system for everybody, it MUST BE BOTH in order for it to be one or the other.
The only reason metals are a store of value is because we expect others to believe they are too. Their physical scarcity partly implies that. But with Bitcoin, when anybody can just go make an altcoin, that scarcity only comes from the network effect of USAGE, which incentivizes miners to protect the blockchain.
Bitcoin MUST be a transactional medium in order to be a store of value safe from government meddling. It CANNOT be one without the other.
How the fuck is that not patently fucking obvious?
