‘The Bitcoin Standard’: A Critical Review

·

Introduction

Michael Saylor, CEO of MicroStrategy, describes The Bitcoin Standard by Saifedean Ammous as "required reading for everyone in modern society." The book has gained a cult-like following in the crypto community, praised for its economic insights and advocacy for Bitcoin (BTC) as "sound money." But does it deliver a balanced perspective, or is it a manifesto for BTC maximalism?

👉 Discover more about Bitcoin’s evolution


Overview of The Bitcoin Standard

Core Themes

  1. Theory of Money: Ammous adopts the Austrian School’s commodity-based narrative, emphasizing gold’s historical role.
  2. Gold Standard vs. Fiat Currency: Criticizes central banking and Keynesian economics while romanticizing the gold standard.
  3. Bitcoin’s Purpose: Positions BTC as "digital gold" rather than peer-to-peer electronic cash (Satoshi’s original vision).

Structure


Key Criticisms

1. Narrow Historical Perspective

Ammous omits credit-based monetary systems and geopolitical contexts, presenting a skewed "sound money" vs. "unsound money" binary.

2. Ideological Bias

The book leans heavily on Rothbardian anarcho-capitalism, dismissing legitimate roles of governance in monetary systems.

3. Misrepresentation of Keynes

Keynes’ nuanced views on liberal capitalism are reduced to caricatures, ignoring his warnings about post-WWI economic instability.

4. Contradictions in Bitcoin’s Vision

Ammous admits BTC diverges from Satoshi’s peer-to-peer cash system but still brands it the "Bitcoin Standard."

👉 Explore Bitcoin’s original whitepaper


FAQs

Q1: Is The Bitcoin Standard a reliable guide to economics?

A: It’s a partisan take favoring Austrian economics. For balanced critiques, explore post-Keynesian or Free Banking literature.

Q2: Does BTC align with Satoshi’s vision?

A: Ammous concedes BTC prioritizes "digital gold" over transactional utility, contrary to the whitepaper’s goals.

Q3: Why the focus on time preference?

A: Ammous uses it to moralize saving vs. spending, ignoring its well-established role in mainstream economics.

Q4: Is the gold standard feasible today?

A: Most economists argue it’s impractical due to modern financial complexity and liquidity needs.


Conclusion

The Bitcoin Standard is a provocative but deeply flawed work. Its ideological rigidity and historical omissions undermine its credibility, while its conflation of BTC with Satoshi’s vision risks misleading newcomers. Better critiques of central banking exist—ones that don’t substitute dogma for analysis.

For those seeking Bitcoin’s original purpose, look beyond maximalist narratives.

👉 Learn about blockchain’s potential


### SEO Keywords:  
- Bitcoin Standard review  
- Saifedean Ammous  
- Austrian economics  
- Sound money  
- BTC maximalism  
- Keynesian critique