Topic: Advantage of holding Bitcoin in time of crisis - page 2. (Read 1380 times)

While people care and think about their loved ones in the time of crisis, some people also do think about their money too,
what would be the safty and the value of their money in bank during this crisis and even how to get it out  ,but if you're someone that has some of your funds stored in Bitcoin you will be less worried, and a bit more in advantage than someone who has all his funds in the bank . Take for instance the current banking crisis we have in the United States and Nigeriaw where people got restricted to access their funds, and inflation as result of war in Russian and Ukraine.

agree but a little adds to all depending on our management in managing finances, and investing, if our finances are good in any crisis our finances will be safe, without having to interfere with our BTC investment

Yes, every piece of the puzzle matters when it comes to the adoption of bitcoin and other crypto-assets.  Investors and traders play an important role in determining the value of bitcoin and spreading knowledge about the use of this digital asset.Even though more and more people are becoming aware of the value of bitcoin and the opportunities it offers, it will be some time before it becomes a mainstream payment system.

Each piece of a puzzle is important and when we talk about bitcoin adoption then investors and traders are valuable as well. But expecting more than possible is not a good idea, majority will hardly lose confidence in traditional finance if they didn't do it up to now. Maybe some part (and each is important), but not a majority. So it will take time for bitcoin to be adopted really wide, but opportunities it gives are not only available for those who directly use it. Being an alternative bitcoin makes traditional finance system work harder to compete for clients, and it makes even an old system a little better for all. Maybe this will not help those ones who don't use bitcoin in the time of crisis but is works in a quiet time at least.

I understand your point of view.  It is true that many people in some countries have no savings and focus primarily on immediate needs such as food, so they may not be interested in long-term financial issues such as inflation.  However, the success of Bitcoin also depends on its adoption by investors and businesses, as well as consumer support.  There are also many people who have savings and who are concerned about protecting their assets against inflation and the devaluation of the national currency.

I would say you feel more confident, bought BTC on Ownr wallet in 2022 during crisis still hold it

I have no doubt bitcoin would do extremely well when the time comes. I still believe bitcoin is at it's early adopter stage although it's been over 9  years it was invented by Satoshi Nakamoto but  from the looks,it is still yet to be adopted by many. However, it has already made millionaires and still counting but in the nearest future with the adoption of some few countries making it a digital legal tender in their various countries, I think they have set the pace for others to follow their steps. Individually, many are aware but their laws are limiting them while those that are already in are fully in the system doing their things as it pleases them. Many have had bitcoin as a backup plan and it is working for them. I have had that experience where bitcoin was my last resort and it worked to be my backup in time of rescue. It is not a joke it happened to me and for real I had such experience.

It's 2023. Bitcoin is no longer a secret, it's a reality. Behind (almost) every time the market crashes, bitcoin is one of the first assets to fall in value, then more than makes up for it in the future. The last banking crisis (which is now going on), or SVB, showed that what every person who knows cryptocurrencies talks about is becoming a reality. Governments are artificially bailing out banks, but it won't last forever. The bankruptcy of one of the largest banks in the 1st world country, without help from the government, will push the price of bitcoint to sky-high values, in the order of 100-200%, because unfortunately, but the society (the vast majority) begins to understand when it loses itself. And bitcoin gives, above all, a GUARANTEE of funds safety. No one can steal them if you keep them on your own wallet.

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Sorry but IMO it is wishful thinking. We want success to bitcoin and that's why mentally spread our way of thinking on others. Lots of people (a majority in some countries) don't have any savings so they don't really care about that their currency becomes cheaper or more expensive, because they spend it immediately after getting, basically on food. Others have enough money for most needed and they are not so concerned about inflation rate and some reduction of their future pension; maybe they will be interested in deflationary asset to have more but it will be hard to get such idea across to them because they'll be indifferent to "boring things". So IMO bitcoin will still be an open secret of a minority for many years.

Exactly. Banks are basically the ones with the reigns in the global economy. They can do whatever they want without being touched. Bitcoin fixes this. It allows people to become their own bank without the need to depend on a third party. Systemic risks are avoided with a decentralized and censorship-resistant network no single entity can control.

I think we will begin to see people using BTC more throughly during times of crisis, as banks continue to print money like there's no tomorrow. That constant money printing will make people lose confidence in the traditional monetary system. El Salvador, and Central African Republic already adopted BTC as legal tender, so it should only be a matter of time before other countries do the same. Once the whole world embraces Bitcoin, banks will become history. It's a slow and steady process that could take decades before it materializes. Who knows how BTC will surprise us in the long run? Just my opinion

Holding BTC doesn't have any advantage in a time of severe crisis, it does not matter the place the crisis took place, it could be in the United States or in Kenya, whether a developed or an underdeveloped country; people just do not think about BTC when they have lost family, friends, relatives, neighbours, etc. In a time of crisis the thing to do is to worry about those who were affected in the disaster, and not to think about the advantage of holding BTC. Fiat is even easier to spend than BTC, and it may have more advantage to have than BTC in a time of crisis.

I also guess that's why bitcoin bounced, it seems like people are worried about depositing money in the bank these days. But completely eliminating banks is unlikely, as long as fiat currency dominates the world, banks are still needed. After all, a bank is also a company, and it's no surprise that when they fail, business doesn't always go smoothly. SVB is just one of the thousands of banks in the US, and as far as I know, people who have money in SVB have been able to withdraw money since yesterday.

In fact, I also admit that the price of bitcoin may fall in the near future, but this does not stop me, I continue to adhere to my strategy and continue to buy. The price may fall, it may rise, but at the moment globally we are at the bottom and this is a clear signal for me that I can buy, if the fall continues, then nothing will change for me, I will buy further. Perhaps we will spend the whole of 2023 in this state, so it is worth taking advantage of this to replenish our portfolio.

  Dose of Reality --- Bank deposits are fractionally-reserve bank IOUs; when you see $10,000 in your account balance for example, that figure is not actually backed up by physical dollars. Instead, that figure is backed up by a broad mix of less-liquid assets including Treasuries, mortgage loans, credit card loans, business loans, a bunch of other assets, and then a small percentage of actual dollars.  US Banks currently have just $3 trillion in cash to back up their $17.6 trillion in deposits. The majority of this cash is just a ledger entry with the U.S. Federal Reserve, and so it is not tangible. Somewhere around $100 billion of it ($0.1 trillion) is held by banks in the form of actual physical banknotes in vaults and ATMs. So, the $17.6 trillion in deposits are backed up by just $3 trillion in cash, of which perhaps $0.1 trillion is physical cash. The rest is backed up by less liquid securities and loans.
  When you buy BTC with dollars you are buying assets owned by millions of others in the blockchain network, so that BTC is a very liquid asset. When US (and perhaps global) banks start failing, where do you want your dollars to be? How easy will it be for you to get those dollars when the failed bank building is locked and their web site is down?  When dollars, yen, and euros are unavailable from the bank, it is highly probable that you will be able to get your BTC from the blockchain.

It seems that this must be conveyed regarding Another advantage of holding Bitcoin, especially at this time, namely its scarcity.

Yes, Bitcoins have a limited supply, and their production is controlled by complex algorithms. This means that the currency is not subject to inflation in the same way as traditional currency. In times of economic downturn, when traditional currencies may lose value due to inflation, Bitcoin can retain its value or even increase in value.

Bitcoins are also highly liquid, meaning they can be easily bought and sold on cryptocurrency exchanges around the world. In times of crisis, when the traditional financial system is disrupted or inaccessible, Bitcoin can provide a reliable source of liquidity.

I'm not predicting any price of bitcoin, I just showed that it is impossible to keep growing up with the volatility we have at the moment. Even if we expect bitcoin to become the only currency in the world growth of its purchasing power can't be faster than entire economy grows. And as far as I know it doesn't grow 200 times per 10 years. So lowering of volatility of bitcoin is going at the moment and inevitable further. And that makes bitcoin even more suitable for crisis times.

The best thing is to buy Btc because in a few months,or in a matter of a couple of years,Bitcoin can reach a higher price than the previous one, and that is the best Investment of all, it is better than saving money and putting it in a fixed term In a bank,it would not give as many returns as Bitcoin can, a lot of news is saying that bitcoin can go down more but that could be tactics to make them sell bitcoin cheap,that's crazy,everyone wants to have bitcoin,and that It is something that I do not blame,you have to be very Intelligent and if you can buy it.

Simply the best time to buy BTC is when it is in a crisis. Some Investors call this time with depression. There will be risks in the market and investments must be made by accepting those risks. Those who invested in BTC a few days ago may have received 14 percent profit of their investment today. For those investors who dare to invest with confidence in Bitcoin, BTC will be able to offer the highest for them. Moreover, those who will play an active role in buying BTC for the long term without any calculation will enjoy maximum benefits from it.

The recent fall down of SVB bank shows that crypto could be save heaven for people who want to take control of their money. This may be the reason Bitcoin has risen up 7% today. Although a lot of crypto projects get affected by the fall down of SVB, this might mark a new era of Bitcoin and cryptocurrencies adoption by the crowd. Indeed, the core principle of crypto is to take rid of banks and their control over people's money, and build completely independent financial system that no entity or government can control.

It is true, and most countries today have taken over taxation on cryptocurrency and wallets, which means the government is most likely to butt in on every transaction, but, otherwise, if your country isn't underdeveloped, I believe that the advantages will come in.