Tomorrow’s presidential election in the USA can fundamentally change America and affect the world as a whole. The US will probably survive. But we can put a bold ending dot on the “American dream”. The American dream is dead.

During the economic and ideological confrontation between the USSR and the USA, both countries developed rapidly, and the world existed in a manageable bilateral balance. During that time, mankind has acquired the foundations of all core current technologies: semiconductors, cybernetics, nuclear energy, satellite positioning.

After the collapse of the Soviet Union, the USA became the number one military and industrial power…

Russian Bitcoin, Chinese Bitcoin, American Bitcoin, etc. Eight National Bitcoins Come to Replace the Dollar

2020 is three quarters in. Battered with people, Trafalgar Square is heeding the speech about reptilians. The Germans are storming the Reichstag, chanting “Putin”. What is going on?

The real chaos is always about big money. The dollar has almost ceased to be the world’s major reserve currency. This is not an idle doubt, the matter has moved to a practical level. So, as the sweet spot is never empty, what will replace the USD and how?

A) Five Broadly Discussed but Unlikely Scenarios

A1) There will be no dominant reserve currency or reserve currencies at all.

In a fully computerized economy, they are not…

The New York Times published a powerful piece of text the other day. The main thesis: consumption of digital services is a sign of poverty. We say “digital economy” but we mean “services for the poor”. You are poor if your doctor advises you over the Internet. You are poor if your children study online. You are poor if you shop via Amazon, and not in a beautiful downtown store. For the poor, there is a giant online sex market where third-worlders sell erotic fantasies to poor first-world citizens who can spend an extra ten dollars on it. …

In the recent couple of decades, financial processes have been dominant. Today, everything else — wars, energy supply, digital technologies, mass media, even politics — all are tertiary, all follow the logic of the global financial center restructuring, foot-to-foot.

The key event of recent months is the official launch of the FED’s multi-trillion-dollar giveaways (hyper-QE).

From this moment on, it is impossible to go back to the previous state of the system. Now, only forward! We are heading into the unknown and not yet experienced by anyone. …

Crypto-Reddit is full of accusations to banks. They say banksters issue currencies secured with nothing, with zero scarcity parameter. True. Yet, this is not the core problem they create. And bitcoin does not solve the problem at all.

It is easier to produce than to sell. Ask an entrepreneur who has managed to create something.

It wasn’t always so. At some point about 40 years ago consumers in the rich west have tried everything they ever wanted. The global financial oligopoly developed a well-educated intention:

“We should influence both the production side and the consumer side.”

The former was already…

By Alexander Kuzmin, Mycelium CEO

Those who work in the development of token projects need to model the behavior of people. Primarily, they study the potential reaction to incentives. Developers try to answer the question of what would a person do if he or she expects such and such a reward?

Our own experience and discussions with colleagues across the industry suggest that most inventors forget or ignore that probabilities can be negative. What is a negative probability and why is it important to use it?

At first glance, a probability of less than zero is nonsense. What could that…

Starting from Friday, January 31, 2020, Mycelium Wallet for Android supports ETH. The app is one of the oldest on the market and its team has always been known for being skeptical, if not maximalist, about the role the Ethereum protocol and ecosystem have played in the development of decentralized finance and management.

Alexander Kuzmin, Mycelium CEO:

Although Ethereum remains a tool to proliferate financially risky innovation, the narrative of “flippening” is gone. On one hand, ETH can’t do any more harm to BTC. On the other hand, smart contracts and dApps are here to stay and evolve but most networks are under governments’ control, therefore — “the enemy of my enemy becomes a friend.”

Many people believe that Bitcoin is the future of our financial system. But there is a big issue standing in the way of this goal and that is scalability. Let me give an example: the payment provider VISA processes on average around 4000 transactions per second and scale up to a maximum of 65,000.

Bitcoin, on the other hand, can handle up to 7 transactions per second with the current block size of 1MB. Not tens of thousands, but just 7! Clearly, the main blockchain isn’t very scalable. But it doesn’t have to be! …

We are exposed to much of creative lexis: quantitative easing instead of “money grows on trees”, the deep state instead of “the Cabal”, Federal Reserve instead of the “central bank which is not federal and not a reserve”, bad assets instead of worthless assets.

The trillions created in QEs so far would roughly correspond to occasional bonuses of $30,000 for a US family. No family has felt this added value; where did the trillions go? That’s where: a New York investment firm buys a company for 100 million… The firm puts down 5 million (the “lever”), while the other 95…

A rise in price wouldn’t surprise anyone since it was just a doubling. The code development in 2019 can hardly be called special either — thank God! — Bitcoin doesn’t need any revolutionary upgrades. Mass adoption shows no directly measurable successes yet but tons of absurdity in traditional monetary policies the year 2019 has brought is the great progress for Bitcoin.

The main thing is that 2019 was the first year when bitcoin price grew significantly, while all the rest fell. Tough times show who’s who. …

Alexander Kuzmin

Mycelium CEO

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