Bitcoiners Embrace Protectionist Policies, Surprising Early Adopters

Bitcoin veteran Erik Voorhees is scratching his head over a trend he didn't see coming. In a post on X early Sunday

Bitcoin veteran Erik Voorhees is scratching his head over a trend he didn’t see coming. In a post on X early Sunday, he said, “I would not have predicted a bunch of Bitcoiners becoming protectionists because a politician told them it would help the economy.”

I would not have predicted a bunch of Bitcoiners becoming protectionists because a politician told them it would help the economy

— Erik Voorhees (@erik_voorhees) August 13, 2023

Voorhees’ comment was sparked by a growing number of Bitcoin supporters seemingly embracing tariffs and protectionist policies—something that clashes with the libertarian roots of Bitcoin. As several commenters pointed out, this shift seems to be linked to an interest in a specific politician's plans.

Ari Paul, founder of BlockTower Capital, chimed in to say it fits a broader pattern and that it’s "like watching half the libertarian party outright embrace fascism in a span of a few days." He says that a "large percentage of libertarians" is onverging on a "novel legal argument they'd never heard before, en masse, in a span of one week, to promote an infinitely powerful chief executive."

Others were more blunt. "Bitcoiners 10 years ago: Destroy the state. Bitcoiners today: Trump said something, I j*zzed my pants."

Some argued these people aren't really Bitcoiners at all: "The libertarian dream died for us in 2017. It's mostly just bubble chasing hypebeasts left trying to make a quick buck."

One commenter added, "It was obvious when their main goal politically was to get the government to buy more bitcoin instead of protecting developers from being jailed or self custody."

The broader takeaway from the thread is that Bitcoin's ideological base might be cracking under the weight of political influence and market speculation. One user sarcastically noted how "don't trust, verify" has turned into "trust the tariff guy, he's got a plan."

Even some long-time observers expressed shock. "Did not have bitcoiners cheering for tariffs to make the Fed print money on my bingo card."

Still, a few voices tried to rationalize the shift. One argument went, "Better to use tariffs than raise income taxes. At least that way foreigners will end up subsidizing part of the pain."

But that didn't sit well with many in the crypto space, who feel the community is losing sight of what it originally stood for. As one commenter put it, "The whole point was always about borderless, free market exchange."

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Later in the thread, Voorhees added that perhaps the shift in thinking is due to people being "sued by the government for using Bitcoin" or having their "bank accounts closed because they prefer BTC to fiat." He speculates that this might lead to a shift in political priorities, ultimately resulting in the government buying Bitcoin to save the union.

However, others suggested this shift isn't about policy at all, but about blind loyalty to political figures. "Cults of personality are often underestimated by the people who are outside of those targeted."

In the end, Voorhees' surprise seems to reflect a broader disillusionment among early adopters. Bitcoin was born out of a desire for decentralization and freedom from government interference. Now, even some of its loudest supporters are calling for state action, as long as it benefits them.