This Bitcoin Study Sessions episode summarizes Chapter 3 of Balaji Srinivasan's "Network State," focusing on the "Tripolar Moment" and the competing ideologies of the New York Times (NYT), the Chinese Communist Party (CCP), and Bitcoin (BTC).
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Summary:
The episode begins by defining a network state as a highly aligned online community with the capacity for collective action that crowd-funds territory around the world and eventually gains diplomatic recognition. It then transitions into a discussion of the tripolar moment, contrasting it with the unipolar moment following the fall of the Soviet Union. The tripolar framework consists of three poles: the New York Times (NYT) representing the U.S. establishment, the Chinese Communist Party (CCP) representing China, and Bitcoin (BTC) representing the crypto and internet space.
Each pole is characterized by its own source of truth and power. The NYT's source of truth is mainstream media, promoting a woke ideology, and its power is moral. The CCP's source of truth is the party, and its power is martial, demonstrated by its militaristic nationalism and manufacturing capacity. Bitcoin's source of truth is the protocol and its power is monetary, leading to decentralized media. The one commandment of the NYT is "you must sympathize," of the CCP is "you must submit," and of Bitcoin is "you must be sovereign."
The discussion further explores the implications of each pole's commandment. "Sympathize" demands constant apology and acknowledgement of privilege, while "submit" requires unwavering loyalty to the party. "Sovereignty" encourages self-reliance and independence from centralized control. The hosts unpack the nuances of these commandments, comparing them to concepts like victimhood and the price of joining different "clubs." A caller also notes the shibboleths that each of the ideologies requires. The conversation touches on the downsides of extreme sovereignty, which can lead to isolation and a lack of community.
The hosts then introduce Albert Hirschman's "Exit, Voice, and Loyalty" framework to analyze the choices individuals and organizations make when faced with dissatisfaction. They discuss how each pole in the tripolar framework encourages different responses: the NYT emphasizes voice, the CCP demands loyalty, and Bitcoin offers an exit. They then analyze recent events such as the USAID scandal to explain a new framework to view the balance between the 3 powers. The recent scandal also led to a discussion on the topic of Support the Current Thing and NPC (non-player characters) as opposed to being a PC (player character) and thinking independently.
The discussion expands to include historical parallels, drawing connections between the current tripolar moment and past conflicts. It references the aluminum wars in post-Soviet Russia, questioning whether the concept can be compared to modern conflicts over valuable resources for defense capabilities such as rare earth minerals or chip wars for AI capabilities. However, the hosts land on the conclusion that the current wars are over the current monetary network controlled by fiat currencies, and who has access to them. They explain the Triffin Dilemma as the incentive to inflate because the world needs dollars, so the manufacturing will go elsewhere.
The episode also touches upon the "Great Man" theory of history, debating whether a single individual can significantly alter the course of events. They consider figures like Trump, Musk, and Satoshi as potential "Great Men" who are shaping the current era. The episode then considers how networks are the new Leviathan and what network people want to belong to: NYT, CCP, or BTC. Lastly, they discuss how the team compositions are different this time around than previously. In the past, the moral and money power would team up to defeat the military power, but this time the military power outnumbers the money and moral powers combined by 4 to 1.
Despite the odds, there is still hope in network decentralization to draw members from other poles. The episode concludes by noting the importance of understanding the tripolar framework and finding a "re-centralized center" within it to navigate the complex ideological landscape and make informed decisions about the future.
