Bitcoin Pizza Day!
Mayer Multiple, Crypto Casey, and more.....
May 22, 2010. It will go down as one of the most iconic days in the history of Bitcoin. That’s the day that computer programmer Laszlo Hanyecz succeeded in spending 10,000 Bitcoins for two Papa John’s pizzas. (Not a typo.)
Laszlo first made known, on May 18, that he was willing to pay Bitcoin for pizza. He got a response from a Florida Papa John’s franchise a few days later. It was the first known commercial transaction of cryptocurrency, and a Bitcoin was worth less than a penny then. Way less. Since then, he has become internet famous, and each year Bitcoiners celebrate Bitcoin Pizza Day every May 22. His story is recounted on all sorts of Bitcoin and investment sites, each year. There are even websites and Twitter accounts that keep track of the value of those famous 10,000 Bitcoins, or rather the value of the two pies.
He has no regrets about his 2010 purchase. "It wasn’t like Bitcoins had any value back then, so the idea of trading them for a pizza was incredibly cool," Hanyecz told the NY Times. He won’t say how many Bitcoins he held onto after that 2010 transaction. He has also not disclosed what toppings he ordered.
Just this week, on May 18th, my discussion of this topic was sort of upstaged by Anthony Pompliano, popular Bitcoin proponent, writer and podcast host. “Pomp” announced that his new venture, “Bitcoin Pizza,” would be making and delivering pizza in ten US cities, starting Saturday, Bitcoin Pizza Day. Profits will go to the Human Rights Foundation’s Bitcoin Development Fund. Pomp has also offered to throw a pizza party with 100 free pizzas in New York City on Saturday. You can’t, however, pay for your pizza in Bitcoin. Pomp wants you to spend your fiat cash and hold onto your Bitcoin.
Note - “Bitcoin Pizza” was used as the title of the very popular book on Bitcoin and blockchain technology, written by Samantha Radocchia. And, thanks, Sam, for endorsing my recent book!
The Mayer Multiple and Why It Matters
Trace Mayer, self-described philosopher, entrepreneur and investor, created The Mayer Multiple as a metric to analyze the price of Bitcoin in a historical context.
The Mayer Multiple is calculated by dividing the current price of Bitcoin by its 200-day moving average. Mayer’s work concluded that the best long-term results were attained by accumulating Bitcoin when The Mayer Multiple was below 2.4. In times of extreme exuberance, the multiple can help identify bubbles, overbought situations.
Current example, extremely low reading of 1.00, which would be extremely bullish for accumulators:
Mayer was the previously host of the popular Bitcoin Knowledge podcast. He helped organize and presented at the first Bitcoin conference in 2013. His Mayer Multiple has been highly publicized by Bitcoin legend Preston Pysh, host of The Investor Podcast.
Podcast Review: Crypto Casey
Cryptocurrency for Beginners, with Casey Leigh Henry, is a weekly recap of the important happenings in crypto. Her podcasts receive ratings of between 4.7 and 5.0, and the YouTube channel episodes draw 50-60,000 viewers each week. I’ve been listening weekly and highly recommend the show.
What I like a lot about Crypto Casey is that the podcast episodes run only about 15-20 minutes, which I find ideal. She gets to the important issues without wasting time. This podcast should really appeal to Bitcoin newbies. Her attention-grabbing headlines recently have included:
DogeCoin Delirium!
Crypto Market Bloodbath!
Banks Scared of Crypto
Despite donning the “Laser Eyes” in her LinkedIn profile photo, Casey is a serious blockchain technology expert and software developer. Based in Tampa, Florida, she is also a serial entrepreneur with a wide range of businesses and other interests. Link:
PS - Casey, thanks for connecting on LinkedIn!
Bitcoin Strange Fact of the Week:
Bitcoin is generally thought of as the first attempt at a digital currency. Not so, it turns out. As early as 1983, developers were creating cryptocurrencies. They included Bit Gold, by Nick Szabo, Wei Dai’s B-Money and David Chaum’s DigiCash. These coins failed to gain traction, largely because of their proposed centralized systems.
Tweet of the Week:
Author’s note - There was a whole lot of volatility in the crypto markets this week, with prices falling rapidly. I’ve chosen not to focus on that action this week, rather give general crypto knowledge. You may have been bombarded with that news anyway, and of course it changes by the minute.
Issue No. 3 May 21, 2021
Rick Mulvey is a CPA, forensic accountant and crypto consultant. He writes about all things Bitcoin, runs marathons, yells at the Yankees and Giants, and tries to make homemade wine.
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