In a UK trial about Satoshi Nakamoto’s identity, correspondence with Martti Malmi has been made public. The 120 emails reveal Satoshi’s views and ideas on Bitcoin development. The archive of documents reflects Satoshi’s attempts to support the early Bitcoin developers, as well as his concerns about scenarios involving the cryptocurrency. The information also covers major controversies such as block size and energy consumption, providing new material to explore Satoshi’s personality and contributions to the development of Bitcoin.
Let’s take a look at the predictions discussed in the correspondences.
Energy consumption: Satoshi foresaw discussions about energy consumption in the Proof-of-work (PoW) algorithm, but believed that bitcoin would be more energy efficient than banking. The banking systеm, with its centralized structure, requires a significant amount of energy to maintain offices and secure transactions. In turn, bitcoin, which utilizes PoW, requires less energy, providing an alternative for more efficient use of resources.
Risks and legality: Satoshi emphasized caution in investing in bitcoin and being aware of the risks from legislation. He was also wary of the reaction of the US Securities and Exchange Commission, but Bitcoin was eventually recognized by US regulators as a commodity.
The difficulty of maintaining privacy: bitcoin transactions are often verified by KYC on exchanges, so, Satoshi emphasized caution in discussing the anonymity of the cryptocurrency. He feared that it could give bitcoin a “shadowy” character. Today, most people purchase bitcoin through exchanges that apply KYC verification procedures, making it difficult to maintain privacy, even though bitcoin was originally designed as a decentralized systеm without intermediaries.
Bitcoin is not just a cryptocurrency: Nakamoto speculated that bitcoin would be available to purchase gift cards and emphasized that the currency could be “diverse” in its use in the marketplace. Satoshi also pondered bitcoin’s place in the world of digital payments and believed it could be used to create more liquid markets around existing digital currencies.
So, the publicized correspondence between Satoshi Nakamoto and Marty Malmy has provided a unique perspective on the Bitcoin creator’s ideas regarding the development of the cryptocurrency. The archive also reveals Satoshi’s attempts to support developers and his foresight into key controversies affecting the cryptocurrency’s development. This information not only contributes to our understanding of Satoshi’s personality, but also emphasizes his commitment to the development and sustainability of the first cryptocurrency.
