The issue with Argentina abolishing its central bank is that they have plans to dollarize, so they are merely trading their own for one controlled by bureaucrats in DC, in which they’ll have far less agency with and control over. Situation is even more dire given their outstanding debts (some of the worst in the world) to the IMF and the like. I understand dollarization (something El Salvador also did in the 2000s) is a somewhat necessary step to lower inflation and have price stability in the short term, but on the one hand, skipping dollarization and going right to bitcoinization would be the true “anti central banker” visionary move...and have the potential to free Argentina of the shackles of its international creditors much quicker. Of course, another probably more politically viable option would be to follow Bukele's playbook of playing just nice enough with the IMF and other creditors while buying #bitcoin...with the same end goal in my mind. Let's wait and see what role bitcoin will play, if any. The jury is still out in my opinion but they do have a historic opportunity to show the world the potential of bitcoin.
Payment failure is a major flaw in all account-based networks, such as Tron, Ethereum, and other alts. The sad irony is that this impacts the demographic most likely to use crypto rails to begin with—those in emerging markets suffering from currency debasement and hyperinflation. Fortunately, there is a better alternative on #Bitcoin. 🧵 Estimates of Ethereum's payment failure rate range, but there was a consistent rate of over 1 million transactions per month during peak periods. A quick search on reddit will garner hundreds of threads like the one below of users losing money due to failures. https://www.reddit.com/r/ethereum/comments/qq5iin/failed_transactions_costing_250_is_not_fine/ Even Vitalik himself cites a ~2.3% failure rate. Note, we shouldn't fault those flocking to Tron or Ethereum with strong stablecoin network effects (there is clear use case) but, instead, encourage awareness of the downsides and the better alternatives that exist on #Bitcoin. With what looks like the early beginnings of a bull market, users in places like LATAM, particularly in Argentina, where stablecoin usage is surging, should expect a similar spike in transaction failures and consider more architecturally sound chains like the Liquid Network. In contrast to #Ethereum or Tron's account model, the Liquid Network, a Bitcoin layer-2, opts for Bitcoin's UTXO model. This enables an "all-or-nothing" transaction, avoiding the possibility of losing funds when sending a payment. Liquid's fees are competitive with the aforementioned account-based models and stay reliably low. There is also the added feature of confidentiality (no one can see asset type or amount).
The Liquid Blog: Tracking the Latest in Bitcoin’s Financial Lay
An Everyday Guide to Confidential Transactions
Confidential Transactions are an exciting and often overlooked feature of the Liquid Network, allowing users to keep the quantities and assets they...
 Our CPO Jeff Booetz, recently detailed the tradeoffs between the UTXO and account models in an op-ed. The latter's lack of transaction reliability is only one example of the many downsides: it's also much harder to scale, less secure, and less private. Highly recommended: https://www.forbes.com/sites/digital-assets/2023/11/07/why-bitcoin-may-offer-the-best-foundation-for-blockchain-based-finance/?sh=453db2457ba2
Last week, we announced a partnership with Swan regarding their new collaborative custody solution that features @Blockstream Jade. For those unfamiliar with Jade, I've compiled an (incomplete) list of what makes it so unique and such a compelling piece of hardware 🧵 image Entirely open source Jade uses fully open-source hardware, software and infrastructure that is reproducible for greater security and peace of mind. This level of transparency is unmatched in the hardware wallet industry. Don't trust, verify.
GitHub
GitHub - Blockstream/Jade: Jade hardware wallet
Jade hardware wallet. Contribute to Blockstream/Jade development by creating an account on GitHub.
 Affordable Because Jade uses commodity hardware, it's one of the most affordable options on the market. You can purchase two (even three) Jades and create your own multisig setup for the price of just one of the competitors —all without giving up quality or security. image Versatile Jade is simple to use with great support (@Rich) for easy onboarding, but has features like QR Scan, BIP 85, and a duress pin for more advanced users. Jade is also multi-platform and widely compatible, with no one dedicated companion app. image Fully air-gapped Jade's built-in camera lets you scan and display QR codes, making it possible to send bitcoin and verify addresses without directly connecting to the internet with USB or Bluetooth—providing an extra layer of security. Immune to physical key extraction Jade deploys a virtual secure element comprising three separate secrets: a Jade secret (via an encrypted blob on the device), a user-generated unique pin, and a remote blind oracle, making extraction from the device alone impossible. https://help.blockstream.com/hc/en-us/articles/12800132096793-Set-up-a-personal-blind-oracle You can run your own blind oracle with cmd line (see link). The team is also placing the final touches on a new app for several plug-in-play solutions that would make setting up a personal blind oracle much easier. https://help.blockstream.com/hc/en-us/articles/12800132096793-Set-up-a-personal-blind-oracle DIY-able Jade's FOSS software and unique security model allow you to install its firmware (without loss of functionality) on inexpensive, off-the-shelf hardware. [@YTCryptoGuide](
X (formerly Twitter)
Crypto-Guide (@YTCryptoGuide) on X
Free support and tools on my YouTube channel. For wallet recovery or private support, request it here https://t.co/H172QGcmGu
) has several video tutorials for building your own DIY Jade for $10-$40. Made for hyperbitcoinization Jade's price, versatility, and DIY-ability make it an ideal choice for people in developing countries or those affected by currency debasement. It can be argued they need Bitcoin the most and, subsequently, a secure way to cold store, which Jade provides. Cypherpunk tool Due to its affordability, many pick up an extra Jade to use it solely as a more secure, private 2FA authentication device or to do fun things, like mine bitcoin. Because Jade can produce TOTPs for platforms that require 2FA, it can function similarly to an authenticator app, giving users more control over their personal data and providing better security than a regular authenticator. https://help.blockstream.com/hc/en-us/articles/20182747993625-Use-Jade-as-a-2FA-authentication-device Jade can also be set up as a #bitcoin miner, offering a fun way to learn the ins and outs. It does not require a wallet to be set up or accessed and can easily be reversed if you decide to go back to using it purely as a hardware wallet.
X (formerly Twitter)
Tatum Turn Up (Christmas arc) (@tatumturnup) on X
My @Blockstream Jade was overheating with the new mining firmware, so I had to take matters into my own hands. Now it’s a REAL miner.
 I hope this thread provides a useful snapshot of Jade's unique security model and features and why you may want to snag one. ....it also now comes in orange. 😎 [https://store.blockstream.com/product/blockstream-jade-hardware-wallet/ image
Cool tidbit: other than SeedSigner, @Blockstream Jade is the only fully open-source Bitcoin hardware wallet that is impervious to physical key extraction. You must collect three separate secrets to decrypt your keys: one is in the encrypted blob on the device, the second is the user-generated pin you set, and the third is only accessible via the blind oracle (that you can also run yourself). Only with all three secrets, can you then get and decrypt the private key. So, by not having a secure element directly on the device, but rather this unique security model of three decentralized secrets, physical key extraction is not possible. Bonus tidbit: the Jade is 50%-75% cheaper than any of the other Bitcoin hardware wallet on the market, meaning you can buy two or three of them (or even build a DIY ver for $15) for the cost of the others, allowing you to create your own multisig. Jade definitely doesn’t get the attention it deserves! View quoted note →