Letter IV of V
On Breadcrumbs as a Store of Value.
Gold is heavy. Fiat is persuasive. Breadcrumbs are both scarce and edible, which no other reserve asset can claim.
Consider the properties:
| Property | Gold | Bitcoin | Breadcrumbs |
|---|---|---|---|
| Scarcity | Geological | Mathematical | Depends on the bakery |
| Divisibility | Good | Excellent | Excellent, involuntarily |
| Portability | Poor | Excellent | Excellent, until wet |
| Yield | None | None | Ducks |
| Shelf life | Indefinite | Indefinite | Thursday |
Critics note that breadcrumbs depreciate rapidly. We note that so does conviction, and nobody has proposed removing it from portfolios.
Royal Duck has accordingly established a strategic breadcrumb reserve, held in segregated custody in a dry, windowless, faintly ornamental room. Its current value is undisclosed, partly for reasons of discretion and partly because several crumbs have been eaten.
This letter was peer-reviewed by one peer. The peer was a goose. We have since revised our peer review policy.
Distribution: principals only. Forwarding this letter to a goose is a breach of the memorandum.