How to understand why Bitcoin is a great innovation! On the Evolution of Money: In my opinion, the next evolution of money is "big coins" and digital currencies. Things are becoming de-emotional. So, what is currency? Money is a technological advancement in commerce. Early Barter: 4000 years ago, you owned a beautiful land with good crops, and I owned pigeons and some cows. I want your land, but you want pigeons. Therefore, I need to sell my cattle for pigeons and then bring them back to you. However, in the process, one pigeon died, and I had to go and replace it. The whole process is very complex and inefficient. This is the problem of bartering: there is no way to scale, there is no ability to build a monopoly, because there is no medium of exchange that we all agree with. The Emergence of Money: Later, money emerged as a technological revolution. This is the first time that humanity has reached a consensus on "what has value". Successful merchants and kings began to hoard currency, build up financial reserves, and expand their territory through currency, no longer subject to barter. They could carry coins across borders and sell gold to China, India or Paris, and this circulation was scaled up. Manipulation of Currency: However, the kings soon realized that more coins could be made by cutting the edges of the coins, or even replacing silver with cheap metal. As a result, the problem of currency counterfeiting arose, and people needed a centralized management system to maintain credit, so banks came into being. Banks kept gold and at the same time introduced paper money as a proxy for gold reserves. Banknotes & Credit Expansion: Banks began to issue banknotes in excess of their gold reserves, the United States began to print more money, and France, sensing this, demanded the withdrawal of gold reserves, leading to the collapse of the economy. This prompted the introduction of the gold standard, but eventually the gold standard was abandoned and paper money was no longer pegged to gold, thus entering the era of unlimited money printing. Then, credit cards appeared, further advancing the development of digital currencies. Digital Currency & Decentralization: Now, we are facing a crossroads of digital currency choices. A new decentralized model was born – Bitcoin, an open ledger where everyone knows the total amount and its ownership distribution. It is similar to the ancient way of trading with gold bars, but in the digital world. The changing role of banks: Banks used to hold deposits, but now deposits are just records of the accounts that the bank owes you, not real assets. The real business of banks is "credit creation", not storage. With inflation brought about by credit creation, money gradually depreciates, and we enter a dangerous situation: when too much credit leads to a collapse of trust in money, society will be thrown into chaos. Risks of Central Bank Digital Currencies: Central bank digital currencies (CBDCs) can pose significant risks because they not only issue money, but also control the rules for its use. For example, if you exceed a certain spending limit, your card may be deactivated; If you are unvaccinated or out of reach, the payment function may also be disabled. Such centralized control would deprive individuals of their freedoms. Significance of Bitcoin: In this context, Bitcoin, as a decentralized digital currency, provides a way to counterbalance centralization. While the fight around decentralized digital currencies will continue, I believe that people will fight for this freedom. Finally, be sure to hold on to your bitcoins!