Digital Legacy: Gifting Bitcoin and the Journey of Financial Enlightenment
How gifting bitcoin to family didn't elicit the response I was expecting
The gift with no flair
Several years ago, during the festive season, I decided to present my two cousins with the gift of Bitcoin. At the time, my gesture didn't elicit the excitement I anticipated. I aimed to give them something more than a mere token of affection. To me, gifting Bitcoin was an act of profound love and an invitation to join what I believed to be the most significant financial revolution of our time. It was my way of sharing a piece of history I had been fortunate enough to be part of from an early stage.
Despite the lack of tangible flair in the gift—no ornate box to open or physical item to hold—the process of setting them up with their digital wallets was an intimate journey into the world of Bitcoin. The steps were straightforward yet significant: creating their wallets, understanding and securing their seed phrases, and witnessing their Bitcoin addresses for the first time. I fondly recalled my own initial foray into this realm, filled with a similar mix of emotions and a sense of venturing into the unknown.
My gifting options
Given the focus of ownership in bitcoin and the lack of infrastructure to support gifting, I had two options:
1. Create a wallet on their behalf, put money in the wallet and give them access.
2. Have each of them create a wallet, then transfer bitcoin from my wallet to theirs.
Setting up their digital wallets
There is something to gain from understanding the concept of owning your passphrase in bitcoin so my goal was to take them through the entire onboarding experience.
1. Getting the seed phrase
2. Storing the seed-phrase in a secure way
3. Seeing and sharing the bitcoin address
The response
The climax of this experience was the transfer of Bitcoin into their wallets. As we waited for the confirmation, I delved into the intricacies of the technology, explaining the robustness of the decentralized network that underpins Bitcoin's durability. Yet, it was clear that my deep emotional connection to this moment was not fully shared by them. My older cousin, 18 at the time, expressed skepticism, questioning the validity of a currency that lacked physical form and the potential repercussions of government interference.
It was an astute observation and his insightful query forced me to pause and reflect. I realized that, despite my enthusiasm, I had not fully conveyed the essence and potential of Bitcoin. I endeavored to explain its inherent value, the philosophy behind its creation, and its unique position as a solution to existing financial issues. I touched upon the concept of smart contracts, careful not to overwhelm them with technicalities.
The conclusion
Our journey concluded once the confirmations were secured, but I recognized that my efforts to persuade them were incomplete. It just so happens that my gift marked bitcoins recent all-time-high valuation. The subsequent decline in Bitcoin's value over the last two years only seemed to confirm their doubts, turning my gift into a recurring family joke. However, as Bitcoin's price began to recover, reaching and surpassing significant milestones, I sensed a shift in perspective, a growing appreciation for the potential I had seen years ago.
Now, as I reflect on that experience and observe their evolving understanding of Bitcoin, I remain patient and hopeful. While I've since reverted to more traditional gifts like gift cards, I believe that the true value of my initial present will reveal itself in time, as they continue their journey in the ever-evolving world of cryptocurrency. Ultimately, I've learned that while I can offer a pathway to knowledge and opportunity, true understanding and appreciation must come from within