The Turkish Government Is About To Find Out Why Bitcoin Is Not A Bubble!!!

Reggie Middleton's picture

The Turkish government has exercised its censorship chops in banning Twitter in an attempt to quell distribution of anti-government recordings, and in the process has materially popularized the service, to wit: Forbes - Streisand Effect Takes Hold As Turkey Bans Twitter

In an attempt to halt widespread allegations of corruption, Turkish prime minister Recep Tayyip Erdogan has shuttered Twitter – but so ineffectively that the number of tweets sent in the country has remained unaffected.

Last night, Erdogan announced that, following a court order, Twitter was now disabled in the country. “We’ll eradicate Twitter,” he said. “I don’t care what the international community says. Everyone will witness the power of the Turkish Republic.”

The Washington Post reports,Turkey bans Twitter — and Twitter explodes.
Of course, the Islamic leaning‎ says "Twitter users ridicule Turkey ban".

Leaked recordings shared on Twitter include one in which Erdogan allegedly instructs his son to dispose of cash [AP]

Turkish and global social media users have mocked moves by Turkey's government to restrict access to Twitter.

The hashtags #TwitterisblockedinTurkey and #Turkey blockedTwitter became the top trending topics globally on Friday, just hours after the Turkish government imposed the ban.

The number of tweets from Turkey reportedly rose by 138 percent as savvy Internet users, including the country's president Abdullah Gul, found it easy to circumvent the shutdown.

"The whole world is laughing at you #ErdoganBlockedTwitter," users tweeted, as dozens of images mocking the ban - including one showing Twitter birds covering Prime Minister Recep Tayyip Erdogan's head in droppings - were shared on the platform.

Another popular tweet shared a poster of the prime minister on a Barack Obama campaign poster with the message, "Yes, we ban".

Erdogan on Thursday night promised to "root out" and wipe out" the social media platform after users published claims of corruption against him.

Leaked recordings shared and linked on Twitter include one in which Erdogan allegedly instructs his son to dispose of large amounts of cash from a residence amid a police corruption probe.

One method of ridicule was to go around the the blocking if the Twitter domain name by using Google's DNS (Domain Name Server) services which allowed anxious and potential Twitter users to find the Twitter website through Google's machinations. So, what does the Turkish government do? They blocked Twitter at the IP level and then went so far as to bank Google's DNS. This means that Turkey is attempting to block out a portion of the Internet, to wit: Turkey Blocks Google DNS as Erdogan Defends Twitter Action 
Now here comes a quick education for the old fogey-type folk that declare Bitcoin is a bubble, ponzi scheme currency with no intrinsic value. If you recall my many videos that declare the value of Bitcoin is in the protocol, and not the unit of account that everyone is calling a currency, then you may realize that the Bitcoin technology can literally take the Turkish government down. 
(go to time market 1:10 in the video for the explanation)
Those that know the Bitcoin protocol well know that it is an ideal method of overcoming centralized control in regards to value transfer. Well, it's easily assumable that website data access is value transfer as well. If anybody in Turkey is reading this, then email me and I'll show you how to step around even Erdogan's Google DNS ban using the Bitcoin derivative known as Namecoin - A peer-to-peer, censorship resistant, alternative DNS root and data storage technology. Using that "tulip" technology with "no intrinsic value", Namecoin facilitates cryptographically secure decentralized name and data storage.
According toWikipediaNamecoin (sign?; code: NMC) is a cryptocurrency which also acts as an alternative, decentralizedDNS, which would avoid domain namecensorship by making a new top level domain outside of ICANN control, and in turn, make internet censorship much more difficult, as well as reduce outages.[3][4][1][2][5][6][7][8]
Now, we all know that Krugman and Roubini and all of the not so technologically inclined macro economists may not believe that Bitcoin, et. al. has any intrinsic value, but if somebody like me led a "Coin" revolt in Turkey, do you think Erdogan would believe the economists or me in regards to the intrinsic value of this technology.
If you think Namecoin can be disruptive to the status quo, you aint't seen nothin' yet. Wait until the launch of UltraCoin, when those little Haitain kids in shacks out trade the Goldman prop desk on that BTC/AU pair trade.
That's right, I'm teaching 3rd world children how to trade using cryptocurrency derivatives and plain old fashioned derivatives. I'm comfortable pitting them against the names that the developed world worships, as long as its using this new tech. Let's see how they fair...
I just love the smell of creative disruption in the air. These pics were taken after some training sessions in Port au Prince, Haiti this weekend.
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williambanzai7's picture

I don't have money named after me. I feel left out.

Grosvenor Pkwy's picture

Soon enough everyone will have their own personal crypto-currency, since an infinite number of Bitcoin clones can be created.

q99x2's picture

Thanks for the info Reggie. 

Exponere Mendaces's picture

Good on you Reggie, being the change that you want to see in the world. In reference to Namecoin, you can use a plugin for Firefox that automatically allows you to browse ".bit" domains that are censor-proof.

Check it out here:

Censor-free domain registration for about 7 cents.

tony bonn's picture

reggie man i love you!!!!!!!!! thank you for helping those kids!!!!!!


Ban KKiller's picture

Silver beaches down there in Haiti? Checking out the DR for vacation...

I, myself, would not bet against Reggie. I don't quite understand Bitcoin, nor how the FED really works, but I feel like it has as much value as paper money. I am sure when checks were introduced there was naysayers, no? Or letters of credit that allowed travelers to carry "value" without having to haul around their coinage. So... bitcoin seems to be the evolution of transferable wealth? 


Ban KKiller's picture

Meanwhile is it too early for a puff?

machineh's picture

4:20 was five minutes before you posted ... maybe you neglected to hit Enter for awhile.

teslaberry's picture

many look at bitcoin as representing the cult of technology, a uniquely american trojan horse strategy for marketing u.s. and post-industrial tech sector (sophisticated actors) wester european goods as a high complexity yet low cost solution for leapfrogging developing world non-solutions. 

sub saharan africa has cell phones everywhere and many places , never have and never will see a land line. 


the idea of crypto currency as pushed through a u.s. dominated network is that through the dollar inflated values of bitcoins------the populations of developing world nations can escape the money they are forced to use by their own leaders, if and when u.s. telcom makes it possible for them to use this money.  this monetary back door aggression is genius, but of course comes with the necessity that u.s. gov tolerate some of the same affect upon itself. how much? enouhg to the point where it remains less painful for the u.s. to do so than its 'targets' . russia has made btc pretty much illegal as has china. they've consigned it to commodity that cannot be bought and sold through exchanges. essentially like the outlaw of trading and stockpiling gold bullion. target nations don't want people dumping their currency for dollars, euros, bitcoins, gold, anything!. 


this is the 'trojan horse' theory of bitcoin which essentially places the early adopters and 'bitcoinaires' in the u.s. as the new oligarchs to benefit from a scaling network that destroys the governments and small banks of small developed and unsophisticated nations that resist dollarization.   there is somethign to say for the technology . if it works so efficiently that it can in fact be relied upon , then------people can use it without incurring much costs. and it is thus ready for competition with the host of african currencies. indeed it may be in every major nation's developing block interest to support micro crypto shadow currencies. 


while people are debating the merrits of chinese-russo bilateral trade agreements that sidestep the dollar in pricing oil---it's possible these countries are also endorsing a host of currency strategies for competing and spreading the dominance of yuan. and ruble, separtely and together. the next major 'energy' crisis will bring to light the built in pressures to both of these currencies, as well as those baked into the dollar and euro since 2008. 


the rule of the trojan horse is always to make it hurt more for your enemies than yourself. 

if you cannot do that, than don't use the trojan horse. for this reason, and due to the the ever present concern of weakening u.s. monetary dominance, people assume the u.s. government may one day change direction and come down hard on bitcoin. that is the big unknown with bitcoin. and perhaps, remains as an exuse to wait and see what happens to bitcoin through the next 2008 style financial crisis----as it has not exerienced on eyet. 


it is probably the best long term argument in favor of bitcoins success. what the bitcoin libertarians fail to realize is that it is unlikely the irs will ever accept tax payments in bitcoin. and if they do, it will only be temporary. 


so the demand for flow out of bitcoins into dollars will always be a substantial problem for bitcoins value, causing persistent 'inflationary' effect for bitcoin. meaning that.  bitcoins might buy more and more as the velocity of the network expands, but the demands of the u.s. government will always be a drag on bitcoin limiting its upside potential , even as the network itself may expand the amount of goods and services that are provided directly in exchange for bitcoin. 


what many people don'tt realize is that, to the extent goods and services are sold directly for bitcoin, they compete with the usd . and the government and banking system here does not like that. and the power of the state will be used to crush this practice as necessary. 


a currency surviving as a  black market currency is a strong and darwinian proven currency. but that doesn't mean evolutionary pressure will not confine the currency to a niche set applications and countries. 

in addition to other notions of implicit control baked into bitcoin networks are that  that libertarians can somehow sidestep the nsa and big telecom control of the networks and hardware infrastructure of the internet simply by building their own 'meshnets' . this is just a sad joke and self deception. while the promise of meshnets is nice and not a bad thing the reality is that  if bitcoin were confined to meshnets, but off from the major internets---by virtue of the destruction of the internet ---or total balkanization of traffic to and from major networks---say chinese and american----- bitcoing could die a horrible implosion to where it started, nearly worthless. 10,000 btc for 1 pizza. 

kaiserhoff's picture

Good Lord Reggie, give it a rest. Quit beating a dead horse.  You are embarrassing yourself.

mrdenis's picture

Sir ..put down that wepon and step away from that dead horse ....

ozzzo's picture

I'm not so sure about Bitcoin myself, but when I look at Reggie's record I see that I could have lost a shitload of money by betting against him. Call me a syncophant if you want, but please include links to some incorrect predictions of his at the same time.

OpenThePodBayDoorHAL's picture

Nothing else matters in the competition between right and wrong.

And he's right about Namecoin and DNS blocking.

Amusing fellow though isn't he.

SmittyinLA's picture

Good luck with the Haitian google glass information broker gig 

GottaBKiddn's picture

Reg,. Great work man! Keep on, you contrarian, you.

slightlyskeptical's picture

HAHAHAHAHA  - Haitian kids trading derivatives on crypto-currency using Google glass.How much seed money did you give them Reggie?

Guess Wall Street has sent Reggie packing, all the self promotion and all.

weburke's picture

Reggie, why dont you do a long distance partial adoption of the boy with the google glasses. Dont import him here, that will ruin him, but take him on and show him to us when he turns 21. Or give us yearly updates.

michaelsuede's picture

If you're down voting this article, its because you're either ignorant or scared.  


Reggie is exactly right.  The PROTOCOL of bitcoin can be used to circumvent web censorship, capital controls, centralized banking, centralized exchange, enable title transfer internationally without fees or restrictions, you name it.  


Bitcoin is the ultimate unstoppable disruptor.  It's impossible to wipe out without shutting down the web.

Even if we pretend that somehow, some way, some state is able to disable the bitcoin network, there will be a thousand copy-cats ready to take its place the minute the blockchain is compromised.  It's like trying to stop the spread of HTML or TCP/IP.  It's impossible. 

sessinpo's picture

If you have to start your post by saying "If you're down voting this article, its because you're either ignorant or scared.  " then you are full of shit.


michaelsuede    The PROTOCOL of bitcoin can be used to circumvent web censorship, capital controls, centralized banking, centralized exchange, enable title transfer internationally without fees or restrictions, you name it. 


All internet use can be circumvented by various areas. My understanding is that Chicago is a major hub in which an off switch can by used.


michaelsuede   Bitcoin is the ultimate unstoppable disruptor.  It's impossible to wipe out without shutting down the web.


You hit the nail on the head there, almost. So I ask you, don't you consider shutting down the web in the time of martial law a possibility? We already see various nations cutting off various internet websites and services in extreme times.

It would appear you and Reggie are ignorant of these facts. Come see me for directions if an emp ever hits. I'll soothe your ignorant scaredness.


OpenThePodBayDoorHAL's picture

OMG do we really have to respond to people wondering what happens after an EMP? Sure, sure, you and Mad Max will go to the grocery store and pay with a pile of gold dust.

fonestar's picture

fonestar has an old ten speed hooked up to a toroidal harmonic resonator in his attic which creates a zero-energy field (and then servers running off that).  So my post-EMP grocery eggs purchased with Bitcoin will not be an issue.

q99x2's picture

You'll stay in shape that way too. Don't eat the yokes.

Reggie Middleton's picture

"So I ask you, don't you consider shutting down the web in the time of martial law a possibility?"

No, the economic damage done would outstrip the control benefit any developed nation would hope to gain.

"We already see various nations cutting off various internet websites and services in extreme times"

Your example makes no sense. You're comparing turning off a few lightbulbs to plunging the world into a darkness without electricity.

Papasmurf's picture

Finally a Reggie point I agree with.  The infrastructure grid, power grid, banking grid, military grid and government grid are co-mingled on the web.  It is one of the most negligent pieces of engineering I've ever seen.

peak.singularity's picture

Interesting discussion, which reminds me of this article :

Power is nothing without control : how to lose an empire.

So if a parallel can even be drawn here, in a crisis scenario the "control" of a government over the Internet would be lost long before the Internet itself shuts down?

On the other hand, Nero did let Rome burn, didn't he?

therover's picture

"No, the economic damage done would outstrip the control benefit any developed nation would hope to gain"

You are assuming economics would be the priority over control. I would not put it past those fucktards to not give 2 shits about the economy and want total control over the people.

The new war here won't be weatlh inequality. It will be global wage inequality....they think we make too much money now. They won't be satisfied until our wages here in the good ole USSA are equal to the slave wages in China. The only way that happens is with control...not economics.


Matt's picture

We don't need the centralized Internet through the major ISPs, ad hoc mech networks can be brought online in no time, unless the government is actively hunting down wi-fi networks and detaining or killing the operators. In which case, you should have already either left or hunkered down.

Dewey Cheatum Howe's picture

They absolutely won't shut it down during martial law. Mass survelliance for starters, you think they are going to give up that advantage for starters.....

You don't shut it down unlesss you plan to do really bad things to areas or people and keep them in the dark but even there is that little problem of overhead satelites.

These people just don't get it. Mad Max scenario ain't happening en mass in the USA unless some non manmade global catastrophy that don't give a fuck about what people want or think happens, happens. People need to get the fuck over themselves and their hubris of thinking they are somehow greater than the natural system that spawned them and everything around them.

Reggie Middleton's picture

I'd Say scared because they're ignorant, no?

elwind45's picture

Erdogan is setting a trap! A fractering of public opinion and desperate divisions creates another Lebanon or Libya or et al. Over night a crisis in which central banking will have to be ask in will happen? Russia will offer Turkey the money promised Ukraine to pick sides and NATO will have a good lunch or the dollar collapses and everybody has a good laugh at Americas expence and gets over their differences to rebuild the USA

Dewey Cheatum Howe's picture

Miguel Freitas, an engineer based in Rio de Janeiro, has started building a more secure and robust alternative to Twitter, making use of code from two other massively successful online projects: Bitcoin and BitTorrent.

His alternative is called Twister. It’s a decentralized social network that, in theory, can’t be shut down by any one entity. What’s more, Twister is designed to prevent other users from knowing whether you’re online, what your IP address is, or who you follow. You can still post public messages a la Twitter, but when you send direct and private messages to others, they’re protected with the same encryption scheme used by LavaBit, the e-mail provider used by Edward Snowdan.

Freitas and his collaborator Lucas Leal have completed a test version of the app that runs on Android, Linux, and OSX. Freitas has no plan to create a Windows or iPhone version, but since the code is open source, others are free to port the app to additional operating systems.

Other decentralized alternatives to Twitter and Facebook — such as, Identica and Diaspora — require that you either operate your own dedicated server or trust someone else to run a server for you. Twister works more like peer-to-peer file sharing software: Launch the app, and it connects with other users. There’s no need for a central server.

It manages this trick through the bitcoin protocol, though not the network that actually drives the digital currency. Basically, the protocol handles user registration and logins. Just as machines — called miners — verify transactions over the bitcoin network to ensure no one double-spends bitcoins and everyone spends only their own coins, a network of Twister computers verifies that user names aren’t registered twice, and that posts attached to a particular user name are really coming from that user.

Posts are handled through the BitTorrent protocol. This lets the system distribute a large number of posts through the network quickly and efficiently, and it lets users receive near-instant notifications about new posts and messages — all without the need for central servers.

Freitas points out that if someone is monitoring your internet traffic — or mass monitoring internet users — they’d still be able to find your IP address, and suggests those looking for additional protection consider the Tor Project‘s anonmity software.

peak.singularity's picture

Is it weird that I feel like I just had a tiny nerdgasm reading that?

elwind45's picture

Intrinsic value for a Protocol that is not available ask Edison or tesla

elwind45's picture

I bet Will Smith has agreed to portray you in his big screen return? Don't. IS NO OUT OF RANGE ON THE INTERNET TO BE BRAVE 4

flacorps's picture

Assuming the Namecoin system were to make the dark web accessible to the masses, wouldn't this just trigger a new wave of government abuses, up to and including requiring ISPs to analyze their traffic for "suspicious activity" and report the users to the authorities for appropriate 3AM SWAT-teaming or less-obtrusive removal in dark green Ford Falcons?

jonytk's picture

in fact it allows you to use a self.signed https certificate, (for free), of course that certificate is not valid for a .com ; that's why it gives you an error when accessing but it is valid for a .bit , the technology is just starting thought. you need to download a plug-in from and the nmc wallet thought.

Dewey Cheatum Howe's picture

If the traffic is encrypted end to end without decryption on hops between and they connect as primarily ad-hoc networks inside the current infrastructure it is pretty much impossible to shut down especially when you push through on ports used for everyday traffic like port 80 for http. There are all sorts of tricks that can be used to hide in plain sight.

Dewey Cheatum Howe's picture

And besides the block chain protocol is in it's infancy wait until it can be localized and operate independent of being connected the the whole chain and not only that it can be localized to the point of a giant ad-hoc network. Power goes down no fucking problem 5 watt solar charger you can recharge a cellphone battery in 3 hours. Charge overnite you have all day for cellphone usage connecting each cellphone like a wireless ad hoc network to the next guy with the same phone and transact just fine... Those chargers also have a battery storage that charges on solar during the day... These applications are low power applications when using microprocessors and systems like Windows CE and Linux equivalents. There is no way to stop the whole network no matter how much disrupt it once it can ad-hoc and function locally without the central points and dynamically update as each these local ad-hoc connections connect to other ones in the system. This is just the beginning....

sessinpo's picture

Dewey Cheatum Howe    And besides the block chain protocol is in it's infancy wait until it can be localized and operate independent of being connected the the whole chain


Then how would that facilitate internation trade or simply financial transfers?


Dewey Cheatum Howe     There is no way to stop the whole network no matter how much disrupt it once it can ad-hoc and function locally without the central points and dynamically update as each these local ad-hoc connections connect to other ones in the system. This is just the beginning....


One Emp can knock out an entire electrical system for a nation, thus your comment is untrue.


Reggie Middleton's picture

"Then how would that facilitate internation trade or simply financial transfers?"

Everytime the peer/client is connected to the network it propagates the latest data. Many thinks such as your outlook desktop client work the same way. Notice how you still get your email although it may not always be connected to the Internet.

"One Emp can knock out an entire electrical system for a nation, thus your comment is untrue."

You've been watching too many Matrix movies. There's an EMP everytime you have an electrical storm, has the Internet been shut down in this nation yet? The 'net was designed to withstand just that type of attack. Suppose all of the electricity in this nation was shut down, the blockchain will still survive in millions of peers outside of this country, just to repropagate once the lights came back on - so you see it's really not that easy to kill, even if you do use a Matrix-style science fiction imagination.


Ralph Spoilsport's picture

A sizeable EMP weapon will destroy transistor junctions i.e. ICs and CPU chips. How is the internet designed to withstand that? And thunderstorms do not produce EMP pulses. That's why the 'net hasn't gone down due to thunderstorms. Read more science fiction and learn something.

Dewey Cheatum Howe's picture

Wow you miss the whole point of what an ad-hoc network is. You only need to be able to connect to the nearest local device. It don't need the stinkin' internet to run. There is no EMP attack that can fry every single piece of electronics in the whole world let alone US except for a solar event even then that only fries one half the planet plus the other half has advanced warning to harden or hide smaller electronic items.  A crypto-currency block-chain is a perfect application to be used within an ad hoc network once the block chain can be improved upon enough that it can function in locallly without need a for giant centralized blockchain right down to the point where it can function locally independent of any other device in the network except for between any 2 devices at any given time. The blockchain in and of itself can function just as the addressing system underneath the ip addresses for starters.

If you need wireless relays they are called wireless mesh networks. Those you can have stored in EMP resistant containers until needed for use along with portal device or 2 and solar or other type of charging device.

Ralph Spoilsport's picture

You need to read up on how fragile transistor junctions are and how effective EMP weapons can be. I wish you were right but you aren't. Really, how many people are going to have their shit together enough to rig a Faraday cage? Most people can't keep their cell phone charged.

EconomicGenocide's picture

An emp aint taking out a completely hermetically sealed self generated power driver station. Most would be lead based and grounded at great depths. Once you are able to drive via fiber, light not electricity, you could maintain signals easily!!

Ralph Spoilsport's picture

WTF are you talking about you newly minted troll? A lead based what? Did you know that you only have to go down 8 feet for an effective earth ground? Kids these days....

Matt's picture

1. The Carrington Event was known 3 days before it hit; if they could see it coming 3 days in advance in the 19th century, why not now?

2. In the event of global thermonuclear war, losing Internet connectivity will be the least of your worries.

3. Most electronic devices are already built as a faraday cage. The EMP mainly induces current in open, exposed setups, like the power grid. Reinforced concrete office buildings are faraday cages by default. Your car, if grounded, is a faraday cage, which is why it is safer to sit in the car than stand outside in a thunderstorm.

Ralph Spoilsport's picture

It's safer to sit in a car in a thunderstorm because the current stays on the outside of the metal body. How many cars have a grounding cable?

How many towns in the midwest had 3 days notice of the Carrington event? Got a link? They found out when the telegraph wires melted.

EMP is broadband electromagnetic and photonic energy moving at ~90% speed of light. Broadband means it's energy is at frequencies just above direct current (DC) at the low end to beyond visible light at the high end.

Conductive mesh in any configuration is a high-pass filter by definition, meaning it will allow incident high frequency energy to pass into/through the cage. The amount of energy that passes depends on the size of the holes in the mesh as well as the amplitude of the field/pulse at the mesh. Buildings with a grid of rebar across the top and sides will allow virtually all of the EMP energy to enter the the building.

"Reinforced concrete office buildings are faraday cages by default."


Matt's picture

I see that actually, the sun spots and flare were only deteced 18 hours before they arrived, unlike the normal 72 to 96 hours.

I will look to see if I can find a source, I was sure that some of the telegraph operators had disconnected their batteries in advance, the versions I'm finding now are saying the systems were already on fire when operators were unplugging the batteries but were still able to transmit and recieve.


Dewey Cheatum Howe's picture

Facts meet revisionist history to push the flavor of the day. Try to find untainted written accounts. They exist. I am not familiar with the event in question one way or the other but the EMP doomsday people tend to get all fanatical about their doomsday scenario like global warming people and their doomsday scenarios.

Ralph Spoilsport's picture

I disagree with the global warmists also. But we're talking hard science here. You say you aren't familiar with the Carrington Event but dismiss the physics involved. Nice. Do you teach at a community college by any chance?