Kanye West Needs Bitcoin – Bitcoin Magazine
This is an opinion piece by Jacob Kozhipatt, a YouTuber and writer.
One of the world’s most prominent celebrities and cultural influencers, Ye – formerly Kanye West – recently showed public support for bitcoin. Ye wore a specially knitted cap embroidered with anonymous founder Satoshi Nakamoto’s name on the day after JPMorgan Chase & Co. terminated the music icon’s account.
Many in the Bitcoin community point to his financial cancellation as to why bitcoin is important. While Ye’s remarks have been interpreted as anti-Semitic and many were offended, they were not illegal – so it could be argued that removing the bank is unfair. However, since JPMorgan is a commercial corporation, not a government entity, it is within their rights not to serve the artist. Thus, many cryptocurrency enthusiasts believe that Ye can see the value of the decentralized financial system bitcoin provides.
Ye has a rocky history with cryptocurrency, as one of the first altcoins, Coinye West, was named after the controversial artist. Ye, then known as Kanye West, immediately sued and shut down the project. Ye also spoke out against NFTs during the height of their hype in 2021. That said, while Ye has criticized other cryptocurrency projects, he has been relatively supportive of bitcoin in the past.
So could Ye’s financial cancellation be what pushes him to dive fully into bitcoin? And, perhaps more interestingly, is Ye’s presence positive or negative for the digital currency?
Why Ye [Kanye West] Is good for Bitcoin
Many bitcoiners are excited at the prospect of Ye showing support for bitcoin.
Ye is one of the most significant cultural figures of the 21st century, with figures such as Elon Musk, Virgil Abloh and Chance the Rapper all citing the Chicago native as an inspiration. His music garners tens of millions of plays every month, and his brand Yeezy is considered one of the world’s leading streetwear brands. In fact, Ye went from a relatively unknown name in the fashion world to accounting for 10% of Adidas’ total revenue in less than a decade. Therefore, many bitcoin supporters hope that Ye can bring a lot of attention, and potential new users, to bitcoin.
Moreover, the controversial businessman no doubt has an ideological reason for supporting a bitcoin-based system. Many bitcoiners, often lopsided libertarians, will point to JPMorgan ending its relationship with the artist as a perfect explanation of why the cryptocurrency matters.
Roger Ver, known online as “Bitcoin Jesus,” argues that one of the main reasons cryptocurrency is important is that it banks the misanthropes of the world. For people in countries like Iran, North Korea, and Russia—enemies of the United States, ergo enemies of the world’s reserve currency—bitcoin exists to bypass the financial sanctions imposed on them. Many speculate that Russian oligarchs used bitcoin and other cryptocurrencies as a means of preserving their wealth in the post-Russian sanctions period.
Why Ye [Kanye West] Is bad for Bitcoin
Ye’s career has been mired in controversy, from his 2007 statement that “George Bush doesn’t care about black people,” to interrupting Taylor Swift during her VMA award. Despite this controversy, he has consistently been able to come back stronger, becoming one of the best-selling artists of all time and willing a multi-billion dollar streetwear brand into existence. But as Travis Andrews writes for the Washington Post, it seems that this time he may have pushed it too far.
Ye, who himself admitted that his remarks were deliberately provocative, recently lost several lucrative partnerships with Balenciaga, Vogue and Adidas. Culture holders, such as Anna Wintour’s Vogue Magazine, have permanently cut ties with the musician. Other media companies have followed suit, saying they will stop platforming Ye’s controversial thoughts. Also, Endeavor CEO Ari Emmanuel wrote a piece in the Financial Times urging businesses, including music streaming platforms, to avoid working with the designer. This is all to say: Ye’s brand is seriously damaged – and it’s arguably not good for his reputation to be intertwined with bitcoins.
Also, many believe that Ye does not have a serious passion for the digital currency. Mahbod Moghadam, founder of Helladoge.com and a bitcoin whale, who is himself Jewish, told Bitcoin Magazine that Ye’s presence would be good for bitcoin, but doubted that the rapper actually believed in the digital currency, saying “he doesn’t seem to know/care about bitcoin which is disappointing.”
Ye admitted to not understanding bitcoin, and while he may have a casual interest in the idea of bitcoin as innovative, he doesn’t seem to want to commit serious capital or time to the cause.
How will Ye affect Bitcoin? It’s hard to determine what effect Ye will have on bitcoin — or if he’ll even mention it again.
Ye is facing several personal and professional problems at the moment and is unlikely to take on any new causes. Even if he should use bitcoin to transfer his money out of JPMorgan—bitcoin regularly transfers hundreds of millions of dollars at a fraction of the cost of traditional payment methods—he most likely won’t. Ye admits to not knowing much about bitcoin, despite knowing about cryptocurrencies for nearly a decade.
The social power of Ye supporting bitcoin may also mean very little. As many brands – both in the media and business world – distance themselves from the former billionaire, it can be assumed that his public perception is at an all-time low. That said, Ye still has millions of followers who readily pay attention to anything the artist says, and perhaps that can translate positively for the cryptocurrency.
This is a guest post by Jacob Kozhipatt. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc. or Bitcoin Magazine.
