The way they do that is by promoting all of these cheap food substitutes rather than food. Saifedean Ammous is a knowledge entrepreneur. All notes are independently created and do not imply any sponsorship or endorsement by the source podcast. At maturity-weighted yields on its portfolio of Treasuries and mortgage-backed securities, thats somewhere north of $100 billion a year. Then, the British government had a problem because how were they going to finance the war when people dont want to buy the bonds. Books will be written about the world before the invention of financial plumbing, Fact: Every moment of your life you are making decisions that will make your life better or worse. modern fiat money is not conjured out of thin air through government fiat. Because no matter how much money you have, if you have money its constantly losing value so you cant just have money. You know, individuals are in debt and it makes sense. Laguna Beach CA 92651 All of this gives him a net worth of $2 million. Saifedean Ammous prefers to live a private life and has not exposed his family details in the media. His accumulated knowledge was valid for the university professor track. Most countries dont maximize their seigniorage revenue, precisely because of the political backlash that accompany such extractive inflation regimes. Saifedean Ammous is author of the seminal book,The Bitcoin Standard, which has been Jeff Deist and Saifedean Ammous discuss the crypto technology revolution and private money. However, he hasnt revealed her name and likes to keep his family life private. I have spent my entire career studying works about monetary theory, the gold standard, comparative monetary systems, central banks, and proposals for monetary and financial reform. The Microstrategy CEO regularly advocates publicly for Bitcoin, and according to public record, he and his billion-dollar business intelligence firm have invested just shy of $1 Billion dollars into the worlds first and original triple-entry accounting system Bitcoin. WebBitcoin was created to be a store of value (yes, perceived value, just like fiat, gold, etc., yet as long as it has perceived value then it is worth having). In 2016, he was chosen to be visiting scholar at Columbia University again. Saifedean Ammous: Exactly, the GDP number go up. Saifedean Ammous is author of the seminal book,The Bitcoin Standard, which has been translated into dozen of languages. Right off the bat, then, theres a problem with thinking that the Federal Reserves money printer finances the governments expenditures; their vast numbers dont add up. I wonder if there would be maybe one more youd want to highlight before wed start to wrap up here. Although bitcoin can be used to purchase things in transactions, it really doesnt matter if that happens or not. He isnt a fan of other altcoins like Ethereum or Ripple and advises people to avoid them. It has all the nutrients that your body could eat. To the extent that this description is accurate, the parties to this money creation process have this in common: Their purchasing power isnt the governments to spend. Saifedean Ammous, the author of The Bitcoin Standard, is also the founder and CEO of https://saifedean.com/. The reason that this Fiat System didnt collapse and get replaced by gold, is that you just cant send gold around the world. He got a masters degree in Development Management and later received a Ph.D. in Sustainable Development at Columbia University in New York City. But where does fiat money really come from? The podcast also includes the most interesting interviews conducted with Saifedean on other shows. Benji Block: Lets dive into The Fiat Standard. Ammous is a married man and shares a number of pictures of his loving wife on social media. Hes a Bitcoin maximalist and advocate of the sound money theories of Ludwig von Mises and Austrian school economics. You have to have government-approved banks and central banks and clearance mechanisms in order to allow gold to travel. Saifedean Ammous: That then left The Bank of England with a problem, which is that it had a lot more notes outstanding than it had gold to back them up. House of Cards: Has the US Economy Recovered? Unlike traditional currencies such as dollars, bitcoins are issued and managed without any central authority whatsoever: there is no government, company, or bank in charge of Bitcoin. Sponsor the work of leading economists and academics as they advance the study of the economic principles that underwrite human prosperity and progress via AIER.org. As a result, they develop the mind-set of spending on useful things, Economical and personal decision making shifts towards building for the future and people cooperating with one another, Bitcoin lowers peoples time preference as they start to appreciate the opportunity cost of giving away something that is scarce, even if it is volatile, People share stories of quitting addictive behaviors like smoking or drinking and putting the money into Bitcoin instead , A hangover is Satoshis way of reminding you that you couldve been buying Bitcoin instead with the money that you spent on alcohol.. Will the American Economy Survive in 2018? He also holds an MSc in Development Management from the London School of Economics, and a Bachelor of Engineering from the American University of Beirut. His exact birthdate is undisclosed. In that, okay, it was more now the government default, but it does have some redeeming quality, which is that what allowed it to survive for a century, which is the fact that it allows for quick payments as supposed to gold. Because of this, Saifedean Ammous quit his teaching job and focused his efforts on crypto advocacy. The Republic awealthofcommonsense.com The latest central-bank data shows that the top 1% of Americans have seen their net worth surge by 29.8% in the pandemic, says Ben Carlson. So, as an individual you do it. He upgraded to the Bitcoin Standard by exiting academic teaching and switching to entrepreneurial knowledge sharing. As such, it is more resistant to wild inflation and corrupt banks. That money goes out of this money supply, so the way that the supply in Fiat works is that its created with debt creation and then its destroyed with debt when debt is wiped out, and that helps us understand why debt is so pervasive in the modern economy. New comments cannot be posted and votes cannot be cast. Saifedean Ammous is a knowledge entrepreneur. WebBitcoin 101: Special Guest Morgen Rochard, CFA. Again, the mechanism is correct and has been a source of controversy at least since the Exorbitant privilege accusation from a French finance minister in the 1960s. Saifedean Ammouss age has not been disclosed on any social media platform, so his age remains a mystery. They self-selected via Saifedeans twitter feed. Saifedean Ammous: It was just something that I found very interesting early on. Those efforts have evolved into the financial system we know today, predating the internet by decades and only slowly realizing the benefits of digital technology. As it started to get bigger, I wrote a book about it and then the book took off and became pretty popular. The question remains: Where is all the supposed money coming from? WebThere is still gold but most peoples net worth is still in local currency. Because then you can just get to work on yourself, and yourself is one thing you CAN change, you can control at least, Saifedean adds: Its much better than demanding things from others or placing blame on others. Theyre from The Bank of England and they were only released in 2017 and 2019. I have to say, one of the disheartening learnings in your book for me, because Im not an economist, I was unaware of the reality of the Fiat system really just being built on debt but it explains a lot and so I am going to quote you here and then Ill have you expand on this a little bit. (https://youtu.be/c8K994iVosQ). I did that for my masters and for my Ph.D. at Columbia University and it was just a topic that really drew me in because it was just not making a lot of sense. In 2017 and 2019, The Bank of England released some information that had been hiding in their basements for about a century. In The Fiat Standard, world-renowned economist, Saifedean Ammous applies his unique analytical lens to the Fiat Monetary System, explaining it as a feat of engineering and technology, just as he did for bitcoin and his global bestseller, The Bitcoin Standard. [B]ut the public determines the real demand for money.. He and his family relocated to Lebanon when With Bitcoin, you can be your own bank. He innovates in channels and distribution. Easy money is the local currency, which the Central Bank is printing in ever-increasing quantities to pay off its bills and the governments bills. Because it is less uncertain, you start thinking about next year. 0 3. WebDr. He and his family relocated to Lebanon when he was an adolescent. Contributions are tax-deductible to the full extent the law allows. @saifedean At a price over $1m, bitcoin is worth more than all USD M1 supply. It helps you understand why bitcoin is so special and so real. Unless people want to burn the new money in their fireplaces, they must hold these increased cash balances. So then next year becomes less uncertain. I mean, I wrote The Bitcoin Standard without considering, without having thought about writing The Fiat Standard so it was just writing a book on Bitcoin. The hard money is money whose supply is hard to produce and so you cant just make more of it. I think you present some great thoughts there, but you talk about even maybe shorting the Fiat System. Ammous is a well-educated person and an Assistant Professor of economics at the Adnan Kassar School of Business at Lebanese American University. The problem emerges again and again, as Saif isnt bothered by pesky distinctions between various parts of government, and therefore thinks of the central banks money-printing ability as the same as the Treasurys spending ability. Historically, gold ended up being money because it is the hardest money, because it is the hardest metal, because its very hard to increase the quantity of gold that is available on the market. So, government money can travel much faster than gold because it has the license of government. But, of course, that meant that the Bank of England effectively printed a whole bunch of money to buy those bonds, it was like quantitative easing what we see today. A really really good book. Joakim Book is a writer, researcher and editor on all things money, finance and financial history. This is basically the old human industry. Later that year, he was promoted to an Assistant Professor of Economics in his main job at Beirut. So, everybody in the country is trying to get their hands on as many dollars as they can and trying to get rid of their local lira or riyal or whatever its called, or peso, as quickly as they can because they know that this is easy, and the central bank is making more of it. Feb 23, 2023 @saifedean. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Email: [emailprotected] Benji Block: Well, thanks for doing that for me man. Man, once you start to have the curtain pulled back, I can see how you probably just obsess over this because you see it everywhere. Ammous is a brilliant and concise teacher of Austrian school economics, and I cannot recommend his courses highly enough. Saifedean Ammous: Yeah, absolutely. Find many great new & used options and get the best deals for The Bitcoin Standard: The Decentralized Alternative to Central Banking at the best online prices at eBay! With a strong libertarian voice, this provides a good overview of cryptocurrencies and their potential to change our global economy and our lives in the future. WebRead Episode 2: A Safe Haven - Insane Risk, The Chicago Plan and Safer Money and Payments by with a free trial. How did he know they were out there? When you joinacademy.saifedean.com you gain access to all five online economics courses, as well as chapters from both books and forum membership! When you read the economic textbooks today, this is presented as if it was a better engineering design that somebody figured out, Hey, we dont need to have gold there if we just have government credit function as money, then we can have faster, better, easier payments or whatever. Started in 2017, Techiegamers is now home to over 500,000 visitors every month and has been featured on websites such as the LA Times, Yahoo, MSN and many more. A university-level textbook explaining the most important concepts in economics in the Austrian school tradition, coming in late 2022. This content is reserved for the thousands of visionaries supporting the financial revolution. Thats when I really thought, Theres a lot of red flags here, things dont really make a lot of sense the way that they are laid out, and I think the fascinating thing was to just watch how at Columbia and in the media and with my university professors, the only kind of perspective that you see is just rationalizing the decisions of the federal reserve, you know? Should the Fed, as one of the largest buyers on the secondary bond market, suddenly disappear, the effect would be market rates on US Treasuries rising. He equates Fiat with centralized Big-Government control and a runaway belief that lots of Nice Things can be had by flick of a wand (considering some characters in governments, thats not entirely unbelievable). As an academic, I was studying it and looking into it. Ammous holds a Ph.D. in Sustainable Development from Columbia University. Show this thread. You said, Anyone who finds a way to get other people into debt, profits not only from a positive interest rate return but also bringing new money into existence. (Today I recommend The Bitcoin Standard, this book is the best and most important to understand Bitcoin.). Filmed on October 9, 2019 in New York. Saifedean Ammous Net Worth How Rich Is the Bitcoin Advocate? Whereas the dollar is harder because nobody in the local economy can make more of it and the foreign central banks that make it are a lot more restrained in its production. Web#Bitcoin will be adopted like gunpowder: if you dont own it, youll be its victim. -@saifedean. Also, he has not announced anything about their children. Its very far from the scientific way of looking at things. Although bitcoin can be used to purchase things in transactions, it really doesnt matter if that happens or not. So, you know, they want you to do that and so theyre going to cut you in on some of the profits of making that bank. Even still, the US government manages to raise tax revenue to the tune of $4 trillion a year, almost the full extent of the Feds balance sheet increase from August 2019 until February 2022. Golds value doesnt rise as much as the inflation. Then, he moved to the UK to attend The London School of Economics and Political Science (LSE). Its the homeowner who receives the new money and spends it, and its the banks profiting from the interest rate they charge the borrower. Even if all the Feds balance-sheet increase were at the disposal of the government which its not it wouldnt explain the many recipients that Saif believes are on the fiat-government payroll. It is the monetization of a hard asset that does not have anybodys liability in order to make it it does not need anybodys liability in order to make its value constant, in order to hold its value. A Critique of Saifedean Ammous The Bitcoin Standard. Although Saifedean Ammous has 5/5. Benji Block: Yeah. (949) 799-2165. You do a great job throughout the book of highlighting so many different ways that ityou talk about schools and universities, you talk about diet. Saifedean Ammous: Yeah, no. Indeed, Saifedean has added an enormous fortune to his account with his multiple works. Like what you said, its kicking the can further down the road. Canola oil is industrial waste. Hoy les recomiendo EL PATRN BITCOIN, este libro es el mejor y ms importante para entender Bitcoin. Posted by 1 year ago. Academic Vice President & Editor, Quarterly Journal of Austrian Economics Mises Institute, Chairman and Founder, 13D Global Strategy & Research, Chief Executive Officer at S&P Dow Jones Indices, Contains spam, fake content or potential malware. In fact, it turns out that the best way to navigate the Fiat system is to be short Fiat, which is effectively to borrow Fiat, to have your liabilities denominated in Fiat. Saifedean Ammous: Yeah, I think one of my favorite topics is food and I think in the 20th century, weve moved toward eating all of these substances that we think of as food and that are promoted by food, and that governments have subsidized and promoted heavily and told us to eat, but really, theyre not really healthy foods. And like, and, [00:05:40] and really think about it not so wouldnt you rather have the Hashemites in Lybia? why was waylon jennings buried in mesa az; chop pediatric residency When you cant save, then you cannot provide for your future so you tend to live day-to-day and moment-to-moment. When people think about when the world went off the gold standard, they think 1971 but in reality, it was 1914. Only about a third of them were sold. In his new book The Fiat Standard, its clear that Saifedean Ammous thinks all bad things come from the government. You see it in architecture, we build buildings that fall apart in 30 years whereas, in the 19th century, they built buildings that last 300 years. One answer could be a hypothetical argument from nowhere, that is that absent soft money, the US government would pay much more on its debt, which would make deficits costly, thus forcing the state to become smaller (and a smaller one wouldnt, somehow, distort schooling or science or architecture etc). Then Fiat money comes along and effectively reverses that process because it takes away from us the ability to provide for the future. It put together the technical, economic, motivational and related issues around Bitcoin better than anything I've seen. WebDr. Edit: thanks for all the positive feedback, didnt mean to come off as pretentious mentioning my background my apologies. You cant just be rich; you cant just be financially secure. * It is well supplied by the member governments of the world (not, as Saif claims, their central banks). It is part of the process of a rising time preference that people can indulge in this stuff because they think more about the present rather than the future. 2021 American Institute for Economic ResearchPrivacy Policy, AIER is a 501(c)(3) Nonprofit registered in the US under EIN: 04-2121305. The Bitcoin Standard is a great book. don't trust anyone, verify everything for yourself. He creates new knowledge thats valued by his customers, because it helps them to think betterand better informs their actions. He is also host of the Economics for Business podcast. Reading Ammous one can imagine why Bitcoin succeeding my be the biggest leap civilization has ever taken in the democratization of money. Benji Block: Wow, thats a great explanation. New money is always being created every time a new loan comes into existence, and it is also money is being destroyed when loans are being paid off. 0 3. "Knowledge Entrepreneurship" our E4B Process Map (PDF): Mises.org/E4B_132_PDF, The Bitcoin Standard (in over 20 language translations):Mises.org/E4B_132_Book1, Principles of Economics:Mises.org/E4B_132_Book2, The Fiat Standard:Mises.org/E4B_132_Book3, Twitter for Saifedean Ammous: @SaifedeanAmmou6. Web#Bitcoin will be adopted like gunpowder: if you dont own it, youll be its victim. -@saifedean. The Gold Standard 320. But what do you see as far as Bitcoin scaling? I actually studied engineering in my university. Saifedean Ammous: Thank you. He held the position from 2005 to 2008 and was promoted to Instructor in 2009. WebSaifedean Ammous is author of the seminal book, The Bitcoin Standard, which has been translated into dozen of languages. Thank you so much for having me. Lets talk about maybe how this system was born and what gave it some level of sticking power, because now its been around for a hundred years. He holds a masters degree from the University of Oxford and has been a visiting scholar at the American Institute for Economic Research in 2018 and 2019. Close. Im going to continue to go down this black hole of information and try to figure out economics. Was there one or two issues that really stood out to you that go, Man, I really want to do more research on this because it doesnt make sense?. He is also author ofThe Fiat Standardand an upcoming book on the principles of economics. In fact, if you look at the 19th century, the average American used to eat something like two or three times as much meat as they do right now. They would run out of gold if they were to offer redemption. WebSaifedean Ammous is Assistant Professor of Economics at the Lebanese American University. But by how much? The Bitcoin Standard is an incredible book! If we wish to know more about his career and work, we can go through his site. to join us. Everybody wins in this story except the current money-holders whose holding gets diluted by the new money. Saifedean Ammous is the author of The Bitcoin Standard: The Decentralized Alternative to Central Banking, the best-selling groundbreaking study of the economics of bitcoin. WebThe 20th century saw economic booms and shocks that caused governments worldwide to develop new systems for managing systemic risk while encouraging growth of the private sector. During certain periods in the pandemic the Feds purchases on the open market amounted to a large share of the bonds newly issued by the US government, leading to indignant calls that the Fed is now clearly monetizing government spending.