Understanding Bitcoin's Difficulty Adjustment and Economic Implications

The chapter explores the significance of Bitcoin's difficulty adjustment in transforming it into a superior form of money, reflecting on the hardness of money and its intrinsic link to Bitcoin's functionality. It delves into Satoshi's original vision for mining, debates the impact of large-scale operations, and discusses the flaws of fiat currency compared to Bitcoin. The conversation extends to Bitcoin's role in economies like El Salvador, touching on spendability versus store of value and the potential for Bitcoin to challenge traditional currencies.