If you ask the man who started the digital currency fervor, he’ll tell you that BTC is doing almost everything backwards. Dr. Craig Wright has been helping to set the record straight on what Bitcoin is truly supposed to do, and what it was designed to provide, and has published a new blog that delves into what should be taking place, as well as the importance of retaining the legacy that was Bitcoin.
Wright leads off by explaining, “One of the key aspects of Bitcoin is that it is set in stone; the protocol does not change. Many have been misled to believe that Bitcoin would be a system of nodes voting on a protocol, which could not be further from the truth. Nodes do not vote to change the protocol. This is not written in the white paper at all.” The transformation to nodes having a say was implemented by BTC developers and is a complete breakaway from what Bitcoin was designed to provide.
The Bitcoin whitepaper, the one that all subsequent blockchains should have followed, was specifically written in such a way to ensure that digital currency could operate within the boundaries of financial regulations, as well as the enforcement of the same. It was always meant to be a peer-to-peer currency, with the emphasis on currency and how it interacts currently with financial laws.
Wright adds, “The legacy system is one that is analogous to the original. Bitcoin Core differs from my original vision of Bitcoin in every way. Core does not implement Simplified Payment Verification (SPV), and has failed to comprehend what SPV is. More importantly, BTC is not peer-to-peer in any reasonable manner.”
If blockchain developers, mainly those involved in BTC, had read and properly understood the Bitcoin whitepaper, they would have created a digital currency solution that was completely mature and ready to be used from the start. It would have also been more readily acceptable to financial regulators, as it would have adhered to their policies and legal framework. Because the developers didn’t, many BTC users are going to find themselves, over time, facing financial difficulties brought on by those regulators.
There will be those that, either through a lack of understanding of lack of desire to accept the truth, will disagree with what Wright asserts. However, they will soon realize how off-base they are. Wright shows how by stating, “The simple fact is, the myriad protocol changes implemented by Core into BTC make it anything but the legacy. The implementation of BTC is widely misrepresented as the original. This will change. Those seeking to convert law and justice in order to create a system that promotes bucket shops and criminal activity are about to find how it ends. Bitcoin doesn’t avoid tax. Rather, systems such as taxation help stabilise Bitcoin. The IRS has made it clear that a fork from the original legacy protocol is income. Consequently, changes to the stable protocol that was set in stone form an airdrop that must be sold to pay for the income if you wish to keep the new airdrop coin.”
He concludes, “You may not want to believe what I say matters, and Core will try and tell you that what Satoshi said wouldn’t matter anymore. I’m not sorry to tell you, they’re wrong.”
Read Dr. Craig Wright’s latest blog post, “Taxing Times…,” here.
New to Bitcoin? Check out CoinGeek’s Bitcoin for Beginners section, the ultimate resource guide to learn more about Bitcoin—as originally envisioned by Satoshi Nakamoto—and blockchain.