South Park - La Resistance

“Fake news” hysteria is a huge opportunity

It is an auspicious time for independent media.  The Fake Media’s “fake news” hysteria has capped off this year’s apotheosis of undisguised propaganda.  Now we learn that the US government will directly fund domestic pro-government propaganda in the press and on social media, with $160 million.  Let me explain why this is amazing news for independent media.

The media world has supply and demand, just like any other market.  There is a demand out there for real information and it is up to the media to satisfy that demand.  The more the media avoid this, and publish lies and hoaxes instead, the more business opportunity there is to fill the void.  This is how Fox News became such a cable news powerhouse.  Due to the “fake news” hysteria, the big platforms Facebook, Google, and Twitter are censoring alternative voices.  This creates an opportunity for a Fox News of social media (perhaps many!).

The government’s funding of propaganda reflects a fundamental misunderstanding of media.  It is treating the internet as an “enemy weapons system“.  But media consumption is not a win-lose, zero-sum game.  All this does is crowd out existing journalism and reduces the supply of real information.  But the demand remains the same.  That means there is now an even greater business opportunity for free speech advocates than before.

We have a real, tangible, action plan to dismantle the establishment’s hold on power: Start new media platforms and especially new media technologies.  Let us create independent media content, independent social networks, independent ad networks, independent video sharing, … independent everything!  The opportunities are boundless.  I myself am working with a group on such a project in the media tech space.  If you are interested in learning more about our effort, please email me at apollo at apolloslater dot com.

Vive la resistance!

growing stages

WANTED: Liberty entrepreneurs

Money is a dirty word in the liberty movement.  Ironic, for a pro-free-market and free trade ideology.  But when theory becomes reality, many recoil at the idea of bloggers doing sales or advertising.  Why?

Spending time to make content or technology means taking time away from other activities, whether business or leisure.  That time has to be compensated.  Yet some act like entitled socialists, expecting this work to be provided for free!

To be fair, some monetization strategies are obnoxious or spammy.  But all that means is we need better monetization options.  Better technologies.  Better feedback and suggestion from audiences of what works and what doesn’t.

For the liberty movement to survive, much less thrive and change the world, it must be economically self-sufficient.  If you can’t feed yourself, you can’t change the world.  If our activities in pursuit of liberty are not profitable, but only financial drains, we will never grow and advance.

We need more business models around advancing liberty.  We need more content, more media platforms, more technologies.  With the fake news media collapsing before our eyes, there has never been a better opportunity than now.  There is so much pent up demand and very little supply.

We need more liberty entrepreneurs.

Not just from an economic perspective, but from a psychological one as well.  It can get depressing focusing only on what the poweful are doing to us.  Who wants to be on a constantly losing team, with a victim mentality?  It’s time we recognize our own power, take responsibility, and become agents of change.

I am working on several media technology projects with a group of liberty-minded developers and creators.  Want to join the effort?  Email me at apollo at apolloslater dot com and let’s get to work!

Steemit logo

Steemit, a fresh breath of hot air

This post is an edited collection of my responses to James Corbett’s presentation on the social bookmarking site Steemit.

A new social bookmarking site, Steemit, has been taking off recently, in libertarian and anarchist circles, promising decentralized, uncontrolled publishing via blockchain technology.  However, on closer analysis, Steemit does not look decentralized at all. It looks like a standard social bookmarking site, with the added feature of paying for tokens to increase your post/comment ranking. It seems like interest groups with deep pockets could easily game the ranking system, moreso than other sites. In fact, this operation seems more like a scheme to sell digital currency than a publishing platform.

As for the blockchain, besides the nice buzzword, I’m not sure what it solves in terms of preventing censorship, besides providing a public cache. This function is performed now by image-hosting sites, private websites, archive.org, as well as the social network platforms themselves. The big problem is discovery and ranking, how people actually communicate and find out about stuff, which Steemit is still very vulnerable to.

It’s very odd that Steemit requires a Facebook or Reddit account to function, with plans to add SMS verification, but no stated plans to remove these restrictions. I’m not sure what permissions they ask for, since I haven’t signed up, but it certainly opens the possibility of those social networks reading your Steemit posts and punishing you on their platform. In any case, it’s a big hint that this is not a decentralized system and is doubly strange because most platforms do not have such a restrictive requirement. A truly decentralized system would not have a spam/fake account problem, except as DDoS, since it would not rely on a central index.

Steemit does not look like any better of a solution than Facebook or Twitter at this point, except to the extent that you trust the people running it more. The links to the User Agreement and Privacy Policy are broken and there is no ownership information about the company on their website. Caution!

Facebook groups by political group

Is Facebook censoring right-wing groups?

There’s been a lot of talk recently about Facebook and Twitter censoring conservative and libertarian groups and personalities, such as Milo Yiannopoulos and Lauren Southern.  While this is undoubtedly true in many specific instances, how big of an issue is this overall?

One thing we can look at is the number of left- or right-leaning groups.  I did a quick search for Facebook groups containing popular political keywords.  It seems that the right-wing is much more active, at least measured by number of groups:

Republican 141 Democrat 108
Conservative 178 Progressive 112
Libertarian 103 Socialist 93

Caveats:

  • I used Facebook’s Graph API to conduct searches. You may get different results using the browser or app search.
  • These are only the most popular keywords, but there are many more specific keywords, with more groups.
  • These numbers do not reflect group membership counts or engagement levels. Perhaps that’s a future post!
Hamster wheel

10 reasons why politics is a waste of time

  1. You don’t drain the swamp — the swamp drains you.  The system swallows everyone whole, even someone as audacious as Trump.
  2. To get elected, you need support.  To get support you need to make promises, which often will include statist actions.
  3. You need funding.   People only donate big money if they will see a financial benefit, which usually involves a government privilege.
  4. Even small money makes you more susceptible to pressure, because it’s harder to say “no” to someone who has given you money, even if they want a statist policy.
  5. You have to get along with people: candidates, bureaucrats, civil organizations, unions, the media, voters, etc.  That means not rocking the boat.  Avoiding hard truths.  Not being unpleasant.  It’s hard to get the truth out this way. It’s like trying to put out a burning building with your hands tied behind your back.
  6. Every small compromise leads to a bigger compromise, and so on, until you are fully coopted into the system.  If you accept the premise that a little bit of statist action is okay as long as your end goal is the removal of a bigger statist action, you will never be able to see that you are being coopted.  In your mind, you are fighting the good fight, but in reality you are merely doing the work of the state, with a fun, but hypocritical, marketing plan.
  7. Look at the opportunity cost of doing politics.  How effective is electoral politics, versus media or business?  Lots of energy spent for meager results.
  8. If you lie down with dogs, you get up with fleas.  Politics is dirty and savage.  The people in it are assholes.  If you get into the game, you have to play hard to win.  That means eventually you have to become as nasty and back-stabbing as your competitors.  How can you avoid it?  By buttering everyone’s bread and going along to get along, i.e. statism.
  9. Winning is losing.  If you win office, you take a salary funded by taxpayers.  That is inherently unethical.  If you forego the salary, you have to make it up otherwise.  If someone funds you, then you are beholden to them, which usually means statism.  If you are independently wealthy, then politics is an awful waste of your time.  You’d be better off buying professional politicians, than being one yourself.  Focus on making more money and funding media and tech ventures to benefit the liberty movement.
  10. Why hasn’t electoral politics tended to increased liberty, but only increased statism?  What fundamental change will happen to reverse this trend?  Politics is structured to produce an increase in state power.  The simple act of being “in power” demands that one exercise power.  If one’s only agenda is to refrain from using power, one will not have it for very long, as someone else will take it.  Seeking power to restrain power is a performative contradiction.
Global left-right politics

The globalization of politics

Something is different in politics recently.  No, not Trump.  I mean the global nature of previously domestic politics.  In the past, there was a superficial awareness of geopolitics and foreign leaders.  But now we have the same emotional, visceral response to other countries’ politicians, that used to be reserved for one’s own.  Brexit, Trump, Le Pen, Merkel, Wilders, Orban, Erdogan — have supporters and detractors across the world.  There even seem to be the rough outlines of political alignment across boundaries, such as Nigel Farage stumping for Trump.

Social media has certainly contributed to this globalization of discourse.  But there is a narrative structure to recent events.  A disaffected, right-wing, populist, global “revolution” against the “establishment” is a unifying thread.  Both sides of the political spectrum are engaging in cross-border alignments.  Is there a deliberate unite-and-rule tactic happening, to drive us into yet another false, left-right paradigm?  This time, it is pushing our consciousness to operate on the global level, rather than the national.

We are to believe that there is suddenly a groundswell of opposition to global governance, simultaneously, worldwide.  This opposition is momentarily winning, but it is painted in the darkest terms, as something that must be defeated.  Perhaps it is just one phase of the dialectic, to get us psychologically prepared for global governance.

Just as with national politics, there is a danger in engaging this new global politics.  It is putting our faith, hope, time and energy into these pantheonic figures, completely removed from our lives, which might as well be cartoon characters on a screen.  We ignore the local, the immediate, the personal.  We should not buy into these false alignments and alliances, as if they are our saviors — a grand revolution around the world.

The real revolution is at home.

Auto scrapyard: cars crushed

Twitterspeak: the shrinkage of language

Twitter is altering language, not just on Twitter, but across all media.  Everything is being compactified; short attention spans demand it.  Among the benefits are brevity, efficiency, and impact.  The downside is the destruction of nuance and precision.  Dropped indefinite articles, sentence fragments, and an explosion of abbreviations and acronyms.  The danger is a form of Newspeak, in which a decrease in expressiveness of language yields a constricting of thought itself.

Will our capacity for conceptualization be limited to the lowest common denominator or will this punchy format lead to communicating new ideas that otherwise would have collected dust in long-form academic essays?

three pirates fighting

Trump split libertarians

The Trump phenomenon has splintered the libertarian movement into three distinct groups.  The massive political realignment taking place has exposed fractures that have existed for a long time.  How will these factions reconcile and will they constitute a unified movement in the future?

Left-libertarians – Typically DC beltway libertarians and wannabe respectable types.  The biggest of the three groups, they are best represented by Libertarian Party presidential candidate Gary Johnson.  They value left social issues and are animated by anti-racism, gay marriage, and baking of cakes.  They also think Trump is racist and hates women.  Any good that may come from Trump’s challenge of the establishment is overshadowed by his being Pure Evil.

Paleo-conservatives – People like Lew Rockwell and Jeff Deist.  They value nationalism and traditional right views on culture, immigrants, and political correctness.  There is a silver lining to every one of Trump’s totalitarian or economically destructive proposals.

Voluntarists – The smallest faction, with people like Robert Wenzel and James Corbett.  They see Trump as not much different from Hillary or any of the other candidates, and a potential disaster for the country and the libertarian brand.    They tend to point out both the good aspects and terrible aspects of Trump’s proposals.

bitcoin balloon

Bitcoin’s paper price bump

What’s behind Bitcoin’s recent price increase? I’ll tell you — and it’s not Bitcoin’s utility as a currency, or wonderful investment opportunity.
 
Bitfinex accounts for the largest share of BTC trading volume. Yet they stopped accepting USD deposits back in April. This inevitably spilled into restricting USD withdrawals.  After that, BTC price on their exchange went up. Why?
 
If you were an account holder, what would you do? I’m not able to withdraw my USD. Therefore, I’ll buy BTC so I can move it to another wallet. Hence, increased demand for BTC on their exchange, and increased price AND volume.
 
Other exchanges did the same; there are not many that allow USD deposits & withdrawals now.
 
This recent BTC price increase is caused by the fact that no one can withdraw USD!
What happens when this bottled-up demand to withdraw finally moves into USD, other fiat, or other crypto?
Updated on 10/20/2017 to reflect USD withdrawal restrictions and supporting link.
bitcoin unlocked

Alt-coins are vulnerable to attack

The strength of a cryptocurrency is the share of global processing power it can muster in service of its ledger.  An attack by a significant computational resource (botnet, mining pool, government supercomputer, etc.) could potentially reverse recent transactions or cause a fork of the currency.  The reason the global share matters is that computational power is fungible, and may be used in service of any cryptocurrency.

The less computational power dedicated to mining a crypto, the more vulnerable it is to attack.  Alt-coins that do not command as much hash power as Bitcoin would be first in line.

Processing power over time is governed by the price per computational unit and by the price of electricity.  For example, a spike in electricity prices or transistor prices would increase mining costs, and therefore transaction fees, possibly disrupting the usability of the currency.  A sudden drop in electricity prices or transistor prices would reduce mining costs, increasing the chance of attacks on a currency’s ledger.

Such attacks could be orchestrated, not necessarily to steal the underlying wealth of currency holders, but to accomplish secondary effects beneficial to the attacker.  For example:

  • A large investor in a particular crypto may attack a competing (smaller) crypto intruding in the space.  This implies a first-mover advantage in the cryptocurrency space and stratification of crypto, with one per defensible economic niche.  Eventually, the market may consolidate into one global crypto.
  • Momentarily disrupt the functioning of a crypto at a critical moment in its development, for maximum PR effect, to spread fear & uncertainty to potential investors and adopters.
  • Momentarily disrupt recent transactions to create uncertainty for retailers accepting the currency & consumers using it.
  • Permanently disrupt or fork a smaller currency.

You would only need to bid on computing power for a short time to cause a major disruption.  Miners are very sensitive to transaction fees, so would quickly respond to any change in market demand.  Furthermore, cloud mining operations, and cloud computing in general, provide an easy way to quickly spool up computing power for a short time, disrupt the target crypto, and spool down, thus minimizing costs.

Alt-coins based on a permissionless, global blockchain are very vulnerable to this type of attack. Eventually, even Bitcoin itself may come under attack should there be a revolutionary development in computational hardware, exploited by a group of early adopters, or a government willing to throw massive fiat to kill it once and for all.

Bitcoin broken

Bitcoin is a ponzi scheme

All “cryptocurrencies” based on artificial limits are inherently pump-and-dump schemes.  If they were true free market currencies, the money supply would grow with demand. Instead, they are artificially restricted.  Why?  To create the illusion of limited supply and therefore expectation of future scarcity and speculative profit.

Bitcoin price chart 2017They are fiat currencies, based on nothing but this speculation.  The Bitcoin price chart shows this.  Bitcoin fanboys point to the skyrocketing price as a badge of honor, but all it shows is that it is a speculation, not a store of value.  It has no price stability, and cannot be considered a “currency”.

In the short term, the price will keep going up for various reasons.  Mining is getting more expensive and less profitable, driving out miners and restricting supply.  Use as a pseudo-anonymous money transfer scheme is increasing on the dark web.  A method of circumventing Chinese capital controls.  An investment vehicle for Chinese with not enough local investment options.

But eventually, people will realize NOTHING holds up the value of Bitcoin.  No petrodollar, no USG taxation.  And it will collapse, as will the rest of the currencies that will inevitably fork off this one.  This is even ignoring the major security and regulatory issues that plague Bitcoin.

Currency is a form of social credit.  It’s an implied debt, that someone will pay off with goods & services in the future.  This should be the basis of any cryptocurrency, not arbitrary and artificial limits on supply, and fancy math for its issuance.

growing stages

WANTED: Liberty entrepreneurs

Money is a dirty word in the liberty movement.  Ironic, for a pro-free-market and free trade ideology.  But when theory becomes reality, many recoil at the idea of bloggers doing sales or advertising.  Why?

Spending time to make content or technology means taking time away from other activities, whether business or leisure.  That time has to be compensated.  Yet some act like entitled socialists, expecting this work to be provided for free!

To be fair, some monetization strategies are obnoxious or spammy.  But all that means is we need better monetization options.  Better technologies.  Better feedback and suggestion from audiences of what works and what doesn’t.

For the liberty movement to survive, much less thrive and change the world, it must be economically self-sufficient.  If you can’t feed yourself, you can’t change the world.  If our activities in pursuit of liberty are not profitable, but only financial drains, we will never grow and advance.

We need more business models around advancing liberty.  We need more content, more media platforms, more technologies.  With the fake news media collapsing before our eyes, there has never been a better opportunity than now.  There is so much pent up demand and very little supply.

We need more liberty entrepreneurs.

Not just from an economic perspective, but from a psychological one as well.  It can get depressing focusing only on what the poweful are doing to us.  Who wants to be on a constantly losing team, with a victim mentality?  It’s time we recognize our own power, take responsibility, and become agents of change.

I am working on several media technology projects with a group of liberty-minded developers and creators.  Want to join the effort?  Email me at apollo at apolloslater dot com and let’s get to work!