The Original Promise of Bitcoin: Financial Freedom for the People

Bitcoin was born out of a crisis, envisioned as a beacon of financial freedom beyond government and banks. Its creator embedded a stark message in the very first block of the blockchain: "The Times 03/Jan/2009 Chancellor on brink of second bailout for banks". This wasn't just a timestamp; it was a mission statement. Bitcoin's early ethos centered on censorship resistance, decentralization, and being an alternative to government-controlled money. In Satoshi Nakamoto's own words, "The root problem with conventional currency is all the trust that's required to make it work… the history of fiat currencies is full of breaches of that trust." Bitcoin was designed to remove that required trust – no central bank to print money at will, no authorities to freeze accounts, and no middlemen to censor transactions. In a truly censorship-resistant network, no one can be prevented from using it by any authority. This revolutionary peer-to-peer cash aimed to empower individuals to be their own bank, transacting freely across borders and beyond the reach of any single government or corporation.

Fast forward to today, and we must ask: have we stayed true to this vision of individual financial sovereignty? Or have we unwittingly let Bitcoin's original purpose be overshadowed?

From Decentralized Revolution to Speculative Asset

Over a decade later, the conversation around Bitcoin has undeniably shifted. What started as a cypherpunk-driven movement to transform money has morphed mainly into talk of price charts, investment portfolios, and regulatory news. Yes, Bitcoin has "come a dramatically long way" from that first transaction between Satoshi and Hal Finney, evolving into a system with institutional investors, mining farms, and even Bitcoin exchange-traded funds (ETFs) on the horizon. But with that evolution, the focus in popular discourse has drifted from changing the world to chasing market value. Mainstream headlines exclaim Bitcoin's price swings while glossing over its purpose. Social media is abuzz with speculation – "number go up" memes and hype about the next bull run – which often drowns out discussions of using Bitcoin to buy groceries or support a cause.

As of 2020, analysis showed only about 19% of all mined Bitcoin moved frequently in transactions, mostly between exchanges. In other words, over 80% of Bitcoin was held dormant – HODLed – rather than used as a currency. It's great that people see Bitcoin as a store of value, but if virtually no one uses it daily, can we call it "peer-to-peer electronic cash" anymore? We've developed a culture where holding Bitcoin is celebrated far more than spending it, and where "Bitcoin adoption" is often measured by how many large institutions or famous investors buy in. The narrative has skewed toward market speculation, sometimes at the expense of the grassroots movement that made Bitcoin successful in the first place.

This shift has also led to a strange form of political pandering in the Bitcoin community. Once, Bitcoiners prided themselves on rejecting the politics of fiat money printing. Now, it's not uncommon to see prominent Bitcoin advocates cheer when a government official tweets a friendly word about Bitcoin or when a nation-state announces some Bitcoin initiative – even if these developments conflict with Bitcoin's anti-establishment ethos.

The Irony of Celebrating Government Adoption

Perhaps the most paradoxical trend is how some Bitcoiners have begun celebrating government and banking involvement in Bitcoin. Remember, this technology was created to bypass government-controlled money and the traditional banking system, not to seek their approval. Yet today, we see excitement about things like countries making Bitcoin legal tender, central banks hinting at holding Bitcoin, or states stockpiling Bitcoin in reserves. Yes, it's validation that Bitcoin is hard to ignore – but it's also a bit ironic.

Take El Salvador as an example. In 2021, El Salvador became the first country to adopt Bitcoin as an official legal tender, requiring businesses to accept it. Many in the Bitcoin community hailed this as a breakthrough moment. It is historic – a nation embracing Bitcoin's potential. But think about it: the community that championed voluntary, decentralized adoption suddenly applauded a government mandate. El Salvador's government even created a state Bitcoin wallet and holds its own strategic reserves of BTC. While it's wonderful to see a country stand up to the International Monetary Fund and promote Bitcoin, there's an irony in relying on top-down measures. Bitcoin is supposed to be about individual sovereignty, not government decree. A currency truly "of the people" shouldn't need a law to force its use.

Similarly, in the United States, politicians have floated proposals for a national "Strategic Bitcoin Reserve." One U.S. Senator even introduced legislation for the government to purchase 1 million bitcoins (about 5% of the total supply) as a reserve asset. Some hardcore Bitcoiners cheered this idea – after all, it might drive demand and acknowledge Bitcoin as "digital gold." But let's pause: if the U.S. government owns 5% of all Bitcoin, is that really a win for monetary freedom? Are we comfortable with the same institutions that print trillions of fiat dollars also holding a giant stash of Bitcoin? The original vision of Bitcoin was to escape central hoarding and control of money, not to encourage it. Celebrating when politicians or central bankers embrace Bitcoin can be a double-edged sword. It might boost short-term legitimacy, but it also risks co-opting the movement and normalizing the idea that Bitcoin needs state blessing. The ethos of Bitcoin calls for bottom-up adoption – individuals and communities using it by choice – rather than top-down control.

Bitcoin Shouldn't Imitate the Bank System

As Bitcoin integrates with the existing financial world, there's a real danger of it imitating the very banking system it was meant to replace. We must guard against the creep of legacy monetary practices, like fractional reserve banking, into the Bitcoin ecosystem. In the traditional system, banks hold only a fraction of deposits in reserve and lend out the rest – a practice that can lead to bank runs and requires constant central bank intervention. Some signs of this mindset have already appeared in crypto: exchanges that rehypothecate coins, lending platforms promising yields (until they collapse), and proposals for Bitcoin-backed stablecoins or ETFs that don't transparently hold all the BTC they claim. If we're not careful, we could wake up with an "uncapped fractional reserve supply" of paper Bitcoin and censored, monitored transactions – exactly what Bitcoin was designed to prevent.

For example, the world has seen what happens when money isn't sound. In extreme cases like Zimbabwe, governments printed money so recklessly that hyperinflation produced 100 trillion dollar bills – effectively worthless paper. That kind of monetary failure is what Bitcoin sought to counter. Its supply is hard-capped at 21 million, immune to political whims or central bank "stimulus." We shouldn't undermine that strength by tolerating opaque practices. If some large institution holds Bitcoin for you but issues IOUs and lends your coins out, ask yourself: how is that different from a bank? It isn't – it recreates the same trust-based risk. Bitcoin was built so that you can fully control your funds without needing to trust third parties. New laws or regulations that push Bitcoin back into bank-like custody and control are steps in the wrong direction. We hear about proposals to regulate crypto "for stability," but too often, that means forcing Bitcoin into the mold of the existing system – with surveillance, custodians, and permission required. That's the opposite of permissionless money. The Bitcoin community needs to be vigilant. As one observer put it, if we grow complacent, we risk "regulatory capture, an uncapped fractional reserve supply, and censored and monitored transactions" in Bitcoin's future. In short, Bitcoin's soul would be lost.

Lessons from Monetary History: Gold and Fiat Failures

To appreciate why Bitcoin's principles matter, look at some historical monetary policies it was designed to fix. Under the old Gold Standard, the U.S. dollar was once pegged to gold – but that promise didn't last. In 1971, the U.S. government severed the dollar's tie to gold, after years of quietly inflating the currency. The result? Freed from gold's discipline, the dollar's purchasing power plummeted. Between 1971 and 2023, the U.S. dollar depreciated by about 87% in real terms. In other words, what cost $1 in 1971 costs roughly $8 now due to inflation. The gold in Fort Knox might still be there (we assume), but it no longer restrains monetary expansion. In fact, it became almost irrelevant as dollars became pure fiat. And despite gold's presence, the "gold exchange standard turned out to be deceptive; the dollar was indeed manipulated (inflated) and continuously lost purchasing power". Governments printed money to cover debts and deficits, and citizens paid the price through the hidden tax of inflation.

Bitcoin was created in direct response to these failures. Its monetary policy is the opposite of fiat's: fixed supply, predictable issuance, no central authority to manipulate it. Bitcoin doesn't need trust in a Fort Knox, because every coin's existence is verifiable on the public blockchain. In fact, if a government were to hold Bitcoin reserves, "the entire country could audit the asset at any time on the blockchain… ensuring accountability on a scale never before seen." Contrast that with gold reserves – most of us have never seen the inside of Fort Knox or know for sure how much gold is really there. With fiat currencies, we trust central bankers not to print too much, but as history shows, that trust is often betrayed. Bitcoin removes the need for trust by using transparency and math. No politician can suddenly decree 21 million more bitcoins into existence – the code simply won't allow it. As a deflationary or disinflationary asset (with supply growth dropping over time), Bitcoin was meant to be an antidote to the infinite printing press. It "cannot be debased," by design, which helps protect ordinary people's savings from the kind of inflation that plagues fiat money. It's like a digital form of gold, except far more practical: easy to store, easy to send, and divisible for small transactions.

But Bitcoin only fulfills this promise if people actually use it as money. If it sits idle in vaults (or on exchange balance sheets) and just mirrors the old system, then we haven't really progressed. To truly honor the lessons of the past, we must use Bitcoin to build a better future – one where individuals transact freely in a sound currency that governments cannot inflate away.

Use Bitcoin as Everyday Money, Not Just a Trophy Asset

It's time to reclaim Bitcoin's use case as everyday money. This doesn't mean you have to spend all your Bitcoin and not save any – rather, it means integrating Bitcoin into real economic activity. Every time you pay with Bitcoin for a product or service, you strengthen the network's original purpose. Every merchant that accepts Bitcoin is a node of a freer financial system. Encouragingly, grassroots adoption is picking up again. The number of merchants accepting Bitcoin payments nearly tripled globally in 2023, from about 2,200 at the start of the year to over 6,100 by year's end. There are thousands of restaurants, shops, and businesses where you can walk in and pay directly with BTC. It's still a drop in the bucket of the world economy, but it's growing fast. In emerging markets and communities with unstable currencies, Bitcoin is increasingly used for remittances and day-to-day purchases – not because it's trendy but because it's a lifeline when the local money fails.

Bitcoin in action: Paying for a cup of coffee with crypto. This is how Satoshi envisioned Bitcoin being used – peer-to-peer, for any and all transactions. With technologies like the Lightning Network, Bitcoin can be spent instantly with virtually no fees, making buying a coffee or anything else quick and convenient. Using Bitcoin for everyday transactions reinforces what makes it special. It reminds us that Bitcoin isn't just a stock ticker or a bar of digital gold to lock away; it's a living, breathing currency network. When you use it to buy groceries, tip an artist, or donate to a cause, you are actively opting out of the traditional banking rails and demonstrating the power of a decentralized economy. You're also spreading adoption: every new person who receives Bitcoin for their goods or labor is one more person brought into the financial revolution.

Of course, hodling Bitcoin as a long-term investment is fine – prudent, even, given its strong track record. But hoarding alone doesn't change the world. Spending some Bitcoin (even a small percentage) on real goods and services closes the loop of an actual economy. It's akin to gold in the 19th century: gold was a store of value, but it was also everyday money in the form of coins. We can make Bitcoin both a store of value and a medium of exchange. The more we use it, the less dependent we are on banks that might decide we can't access our funds tomorrow, or payment processors that might suddenly deplatform us. A Bitcoin used in commerce is a Bitcoin that pushes the envelope of freedom a little further.

Reclaiming Bitcoin's True Purpose

It's time for the Bitcoin community – from hardcore OGs to newcomers buying their first sats – to refocus on what makes Bitcoin revolutionary. This means challenging the complacency that has set in. We shouldn't be satisfied just because the price is up or because a big bank is offering Bitcoin custody. Adoption means more than institutional endorsements; it means real people gaining agency in their financial lives. It means using Bitcoin as an alternative to the very systems it was meant to disrupt, not assimilating into those systems.

So, here's a call to action for all of us: Use Bitcoin as it was intended. Next time you're about to swipe a card or hit "checkout" with a bank transfer, see if you can pay with Bitcoin instead. Support businesses that accept crypto – and if your favorite shop doesn't, ask them why not. (Often, all it takes is one or two customers asking before a business gives it a try.) If you're a content creator or run a business yourself, consider accepting Bitcoin as payment to signal that you believe in a future where we aren't all tethered to bank networks and inflationary currencies. Teach your friends or family how to download a simple wallet and send them a few dollars' worth of BTC to get started. These small acts keep the spirit of Bitcoin's origins alive.

Most importantly, stay true to Bitcoin's principles in conversations and conduct. Push back against narratives that reduce Bitcoin to a mere speculative asset or a political football. Remind folks that Bitcoin's censorship resistance and decentralization are not buzzwords but literal lifelines for people who have been frozen out of the traditional financial system. When someone boasts about a government buying Bitcoin, acknowledge the news but gently remind them that Bitcoin's endgame is financial empowerment of individuals, not states. When regulators propose something that undermines Bitcoin's core (be it excessive surveillance or fractional reserve tricks), don't shrug it off – speak up, educate, and if necessary, lobby against it. Bitcoin doesn't need special favors or status from governments; it just needs to be allowed to exist and be used freely.

In conclusion, Bitcoin has come a long way, but we must not lose the plot. The vault of generational wealth that Bitcoin promises isn't just about holding an asset and waiting for its value to rise – it's about vaulting generations into a new paradigm of economic freedom. Let's challenge the community and ourselves to live up to Bitcoin's revolutionary ethos. Bitcoin started as an alternative to banks and fiat money; it's on us to keep it that way. Use it, support its use, and safeguard its founding principles. By doing so, we ensure that Bitcoin's story remains one of liberation and empowerment, not just another chapter in the history of speculative manias or co-opted innovations.

Bitcoin gave us the tools to exit the system. It's time to build the world Satoshi hoped for – one transaction at a time, staying activist in spirit but professional in approach, and always keeping our eyes on the true prize: financial sovereignty for all.