by Joseph P. Farrell, Giza Death Star:
As the reader might have guessed from the headline to today’s blog, I’m in another one of my “We told you so” moods. Remember when crypto-currencies first came out? Why, they were the best thing since deep dish pizza. Not only would they usher in a new golden age of peace and freedom, and utterly avoid the nasty central banksters, they were entirely secure and “unhackable.” And, if you get in now, you’ll be able to make lots and lots of real money trading your electronic blips, oh, and did we mention, that there were only a certain amount of blips available, and they were on a distributed ledger which could not be hacked? Huzzah! the new age of freedom and financial security was here! I recall listening to one well-known “conservative” talk show host when the crypto-craze had just begun, and he was all in, updating people almost daily on what his electornic blips were worth, and urging people to “get in now”. We were even treated to a bit of history on how all this wondrous marvel came into existence: someone in Japan named Admiral Sackosushi Yamamoto (or something like that) came up with the idea and isn’t it wonderful we’re such good friends now, even after all that misunderstanding about them sinking our fleet a few years back.
TRUTH LIVES on at https://sgtreport.tv/
There was no mention of the fact that no cyber systems are secure, have integrity, and could be hacked. There was no mention of the enormous cost in energy and energy expenses it took to “mine” the electronic blips, and, for that matter, while we’re talking about eliminating pennies because they cost 3 cents to manufacture, there’s no mention that the cost of an electronic blip is probably much more. That idea – that there is a cost to the manufacture of money, a thing called seigniorage, and depending on that one can either profit, or lose, money from the process of making it – is in play here. Yours truly was one of the few curmudgeonly voices out there that wasn’t buying the whole spiel, and I warned people: these things can and will be hacked, wait and see.
Well, now there are two stories out there that should give everyone pause, one concerning quantum computing, and the other, a hack (stories courtesy of M.D. and E.E., with our thanks):
A Quantum Computer Could Crack Bitcoin in Half, Research Finds
Bitcoin, Ether Tumble As Bybit Exchange Confirms Massive $1.4 Billion Hack
Now notice what these two articles, when taken together, are really saying: the first is saying, essentially, that there is a technological hardware-way around crypto’s alleged and ballyhooed “unhackability”, demonstrating that the old maxim is true: “No matter how big and impregnable your fortress is, the Germans will invent a big cannon to blast their way into it.” By the same token, the second article is saying that there is a technique and software-way around that “unhackability”: why wait for Krupp at Cannons-R-Us, A.G. to make the big cannon? Just send in the engineers.
But look closely at that second article, not only was there a hack for a mere $1,400,000,000, but it was all done by the usual engineers sneaking a satchel charge onto the roofs of the blockhouses and casements:
The CEO said the specific transaction was masked to appear legitimate but contained malicious source code designed to alter the smart contract logic of the wallet and siphon funds. Zhou reassured customers:
“Please rest assured that all other cold wallets are secure. All withdrawals are NORMAL. I will keep you guys posted as more develops. If any team can help us to track the stolen fund will be appreciated.”
(I can hear it now: “someone call Elon Musk… let’s get DOGE in on this, and while we’re at it, let’s convert Doge into the Federal Blip Insured Liability Company [BILCO.])
The incident follows several high-profile hacks and security incidents throughout 2024 and early 2025 that left crypto exchanges drained of funds.
The crypto industry experienced an uptick in hacks and scam-related activity in the first several weeks of February 2025. (Boldface-italics emphasis added)
Now, wait a minute: a few lines of malicious source code? But I thought this whole system was “unhackable”?!
Then turn to the first article, where we read this:
The 105-qubit chip — that’s double the qubit count of the tech giant’s preceding Sycamore chip — completed a computation in under five minutes that would take a modern supercomputer a “mind-boggling” 10 septillion years, the company said.
The news reignited a debate surrounding the security of blockchains, the distributed ledgers that run digital currencies like Bitcoin. Could a future quantum computer break the cryptocurrency’s encryption, allowing thieves to abscond with unfathomable sums?
As Fortune reports, researchers at the University of Kent found in a yet-to-be-peer-reviewed study that the risk is very real. In fact, just the downtime required to update the blockchain to protect itself from an encryption-breaking quantum computer could extend to 76 days — and the resulting losses would likely be staggering. (Boldface italics emphasis added)
So, wait a minute: you mean, we’re going to have to take down any system of digital “currency” each time there’s a technology update, in order to update the unhackable system so that it’s secure and can’t be hacked? And that might take 76 days!?!?!? My Micros**t windows updates don’t even take that long and are probably far less inconvenient!
Now, one final point: Have you noticed that those states talking about “bullion backed electronic transfer” systems are not talking about all this?
Let’s be clear about this, if your state is talking about all of this, but is not talking about real physical tangible media of exchange, and making it a requirement by law that all such media are legal tender for any transaction, then the whole system is another banquet of fraudulent nonsense being served up by Admiral Sackosuchi Yamamoto. After all, even those crypto-“currencies” still have to be converted into money at some point. And imagine an all digital system that is taken down by some engineers, and being told “We’re sorry, all our terminals are down. Please be patient while we update the entire system during the next 70 days.” Add quantum computing and artificial intelligences to the mix, and have one artificial intelligence trying to hack another and…
