Bitcoin IOU's
Bitcoin IOU's
There are many ways to stack sats. The easiest way is to sell fiat on a KYC regulated exchange. Most exchanges differ from an ETF because they will usually, but not always, send you the bitcoin you buy. Here is how one would go about selling fiat on an exchange in the US:
• Sign Up for an account by providing your email, password, and phone number.
• Send them A picture of your driver’s license.
• Take a mug shot of your face. Some places require you to include a picture of your ID with the mug shot.
• Give them Your Social Credit Score Number(A.K.A. your Social Security Number).
• Provide them your phone numbers
• If someone wanted to steal your bitcoin, where can they find you? This question is often phrased like this: "What is your home address?"
• According to Guy Swann, you're also must send “a picture of your butt-hole”. That’s not actually true, but it's hilarious.
I’m not going to get sanctimonious about this. I believe it makes sense to have a little KYC stack, say a million sats to pay off your mortgage. Why so bearish? Because I won’t teach you how to stack sats without even if you don’t have an ID issued by the government. What if you didn’t have bitcoin, but had to flee? What if your Identity did not give you permission to the financial system around you? I want you to get as many non-KYC free bitcoin as possible, even if you already have bitcoin. Here’s why:
KYC free sats have the smallest attack surface. Thieves can't steal your bitcoin if they don't know where to find it. What about the IRS? Thieves can't steal your bitcoin if they don’t know where to find it. Punative taxes or a 6102 style executive order are not the only threats. If you get sued, would you prefer to have peer-to-peer bitcoin or bitcoin that HODLs your mug shot? How effective will your boating accident alibi work in such a situation?
This is not to say there is absolutely no place for KYC'd sats. For a while, I was able to pay my water bill with bitcoin. It doesn't make sense to spend KYC free sats to pay your waterbill. They know my government name and where I live. It does make sense to make the sats I pay my waterbill with private. What if my non-private bitcoin I use to pay my waterbill shows people at the water plant I have a million sats—Enough to buy a three bedroom house with a food forrest.? Privacy matters. Maybe I don’t want my bitcoin to be like Venmo.
You shouldn’t need to give anyone an ID to try using bitcoin. You did not learn about money by opening a bank account with a fraction of cash in the vault. Your dad gave you cash for the ice cream truck. You bought tokens to play games at Chuck E Cheese. You bought chips at the liquor store with cash. You did not buy chips at the Belagio and begin betting on black. Money is something someone gives to you, something you earn, something you pay others with—something you save. This is not investment advice because this is not an investment. It is a new electronic cash system.
Your First Wallet
In a perfect world, you would have learned how to count hexadecimals in grade school and bitcoin would make perfect sense. This is not a perfect world we live in however. Most of the 8 billion people in the world don't know about hexadecimals. This is understandable since most of them are born with 10 fingers. If we had 15 fingers, things might be different, but we don't.
I wish this wasn't so, but it's unrealistic to think everyone can start off using self sovereign bitcoin. It was easier a decade ago. You only needed to write down 12 words. Each block reward was 25 bitcoin and only a handful of nerds used it. The fees were so low, I never noticed them until around 2017.
It no longer makes sense to buy $20.00 worth of bitcoin onchain. This is especially true if you don't know what the fuck you are doing. That's okay. Unless you were hanging out on the Cypherpunk mailing list prior to 2009, we've all been there. Fees are a market. If you don't know how they work, you could spend all your sats on fees. There’s a learning curve.
The first axiom is: You must be cautious and careful when making significant bitcoin transactions on the main chain.
If you lose twenty bucks worth of sats, it will suck, but it's not the end of the world. If you lose an amount of value greater than anything you have ever imagined, it will be the end of the world as you know it.
Therefore, it makes sense to use a noncustodial wallet at first, but keep that first principle in mind. We already If $20 is a significant amount of money for you, treat it with extreme caution. If you make $25 an hour, getting rug-pulled by a shady wallet will still suck, but you'll feel better after yelling a few F-bombs.
Your Sats on A Custodial Wallet Are At Risk
It's not likely that a custodial wallet will steal your sats. You are more likely to see a custodial wallet pull out of your market. Xapo closed it's doors to US customers due to regulatory concerns ages ago. A few weeks ago, wallet of Satoshi did the same. I had 27 sats on my wallet of satoshi and was able to withdraw them. If I dropped my phone in the toilet, those sats could be gone forever, (although I could just change the location of my phone using a VPN). The point is to use custodial wallets wisely.
Remember the golden rule of bitcoin ”Not your keys, not your bitcoin."
A custodial bitcoin wallet is not your bitcoin. This is important. If you can't remember this, tattoo this the front of your neck:
ИIOƆTIᙠ YM TOИ ƧI TƎ⅃⅃AW ⅃AIᗡOTƧUƆ A ИI ИIOƆTIᙠ
This wallet I am showing you is also an IOU. Keep this in mind. We are not creating our first wallet to build generational wealth. We are using it as an educational tool. The Padawan wallet taught us how to crawl. The custodial lightning wallet on the current nostr app will be our first baby step. It also let's us into a decentralized communications protocol. We will cover this later.
Current Tutorial
1. Download the current app on google play or The App store.
2. Create a new identity.
3. Write down the 12 words.
4. Customize your profile
5. Get a lightning address.
6. Follow people
7. Talk to people
8. Get zapped.