Topic: Bitcoin and Bad Economy (Read 362 times)

Other than for long-term investing, Bitcoin can also work great for trading and short-term investing because its value can quickly go up or down. When it comes to hedge against inflation, Gold and other scarce assets can also do it other than in Bitcoin. They are also more stable so if you constantly need money, you can go on them but if not and you are keeping your money for future use, you might benefit more in Bitcoin. BTC is a currency and can work great as alternative to the country's local currency. Other than that, it can help people to earn in different ways. It really can impact the economy.

El Salvador made BTC a legal tender so that Bitcoin can be used directly and it does not matter if BTC is volatile or not. Being a Bitcoin-friendly country, they also built Bitcoin cities and hubs which attract tourists to do business. They are not concerned about the volatility because the price can always recover if given a time.

While your statement is partly true, I can pretty much say that it's not the entire truth so to speak. Yes bitcoin could really help maintain the value of someone's riches by a longshot, while at the same time offering large profit margins. But in essence, the people put their money and their trust into bitcoin because no matter rhe market trend, there's the promise of profit looming over no matter how high or low hitcoin's market is.

I'm not a maximalist about bitcoin basically still not going 100% to invest in bitcoin and ignoring other asset options outside of the crypto space. It doesn't matter what anyone will say because diversification of investment assets also needs to be considered. I agree bitcoin should be thought of as a proper investment asset instead of holding fiat, but I never want to put 100% of my budget in bitcoin because of the risk.

While it's true that bitcoin can provide investors with good returns, we shouldn't ignored one thing - no one knows for sure what the future of bitcoin when we recognize that government and regulation are the biggest challenge to its adoption.

Yes, due to the limited supply of Bitcoin, it will never see the inflation that our traditional currencies have seen to date. And that is the main reason many of us believe that it will free us from economic hardship and yes it cannot be controlled by any state or individual and it is personal protection more than our conventional economic system. But we have to keep in mind that even though Bitcoin does not have inflation like our traditional currencies, but it is highly volatile, and that makes it a risky investment too. But if it is kept for long-term investment as an asset then I think it can be a new digital asset like gold which is one of the means to hold our wealth.I would recommend doing your own research because no one knows your capabilities and risk factors better than you. Moreover, I think it will not be a wise decision to rely on others to do research Because if you want to invest, you have to take the risk completely, that is, your fund will be more protected on your own research, which you will not find in others' research. So I would say to build your research capability before investing, it is better not to invest before that. And if he wants to invest for the long term, then he can start investing in Bitcoin as much as he can afford now, because Bitcoin is always safe for long-term investment, especially at the current price of Bitcoin, it can definitely be invested in it as a newbie.

And if you can't do your research find and depend on someone who you know can do research for you or whose research work you can depend on, these people are sometimes hard to find. Do not just invest any money without any form of research because that will be a regrettable situation for you in the nearest future maybe not necessarily because the investment may fail but it may turn out to be not the right investment for you. With proper research you have a good understanding of what you're getting into and that will prepare you to handle any emotional burden or stress that comes with it.

Although I believe that bitcoin will indeed bring potential benefits for the long term. but that doesn't mean I will keep everything in bitcoin. but bitcoin is one of the few long term investments that i have to have. and i also believe that bitcoin is not as affected by inflation as money. even when the Russia-Ukraine war occurred, we actually saw Bitcoin experience a slight increase at that time. maybe many war-affected citizens want to save their property or assets by changing them or putting them in bitcoin. because if we can also send bitcoin to our relatives who we can trust abroad quickly and safely.

I am also saying the same thing but even the situation is getting better they should have look into this.   Because Bitcoin will not always be in pumping or bull run, the more their economy becomes dependent on Bitcoin, the more difficult their economic situation will become in bear season. But here is the hope that the bull run and the good conditions during the pumping will be able to make use of the condition to pass the bear season. I hope the government of El Salvador can manage this issue well

It is right that journey of transformation often comes with difficulties and challenges, this is the current realiy in El-Salvador. Unfortunately right after the country declared Bitcoin as legal tender, the price of Bitcoin started decreasing and came down to the extent of 80% which  further aggravated the economic situation which was already facing challenges of heavy foreign debt.

Having said that, the situation is getting better now. as Bitcoin is  on the path of price recovery, hopefully, the decision of El-Salvador will definitely benefit the country in the long term.

It is true that El Salvador will definitely be beneficial in the future if they can properly manage their country's economic sector in addition to Bitcoin holdings. Why I said this is because since El Salvador has accepted Bitcoin in their legal tender, it will increase their Bitcoin adoption and also when the Bitcoin market is down, their economic condition may be worse and survival is the main factor here. If they can cross this intelligently then I think they can be ahead of other countries in the crypto industry in the future.

You have highlighted a valid point about involvement of miners to confirm Bitcoin transductions and it can cause delay in transaction if there is sudden decrease in mining activity, however we should understand that it is their vested interest to remain active as they charge fee on every transaction.As far as support from government in case your wallet is hacked, it depends on how much friendly government is towards Bitcoin and we should continue raising our voice to adopt it is as legal method of payment which is in the best interest of everybody.

Bitcoin is not different than other investments with risk exists together with chance to gain profit. Risk with Bitcoin is even higher than other investments because regulations on Bitcoin and Bitcoin mining are unknown in future.

It is biggest risk for Bitcoin because with Bitcoin, without Bitcoin miners, there will be no confirmation for Bitcoin transactions on its public ledger. In addition, with Bitcoin, you have to store it in your own wallets, not in online wallets and in many countries you will receive no support from governments, police to find scammers or hackers who steal your bitcoins.

Bitcoin and fiat currencies have different supply models. They are both inflationary but with Bitcoin, you know its total supply (21M) but you don't know total supply of fiat currencies (but you know their supplies will only increase more and more with time).

Bitcoin solves devalue problem from inflation and a rest challenge is how to increase its demand. With more adoption in future, demand will increase and I believe price will be higher.

Alright, Bitcoin's a gamble, but I'm all-in on its prospects as a fresh financial ecosystem. As you noted, no single government or squad's got a grip on Bitcoin, so it might just outrun traditional currencies in the stability and security race. With the digital revolution in full swing, peeps are craving decentralized and bulletproof financial systems. Bitcoin could be the hero we need, offering a rock-solid way to stash and move our dough. Of course, there's no shortage of risks and head-scratchers tied to Bitcoin. But I reckon that with some solid research and investment chops, we can sidestep those hazards and cash in on this uncharted territory. So, let's gear up for the future and back Bitcoin's potential!

Do your own research is the best. How will you know who is an expert in bitcoin ? We have seen so many people who claim to be bitcoin experts on social media giving wrong information on bitcoin speculation. Bitcoin is risky,but you will benefit from it,if you invest in long term.

All you need to do is to stick to the forum and learn from here before starting your bitcoin journey so that you will keep on learning about your investment ups and downs,and how to make progress in it. Bitcoin is sure an asset and also a store of value to safe you from devalue of fiat due to inflation.

Holding Bitcoin for long-term come along with enormous rewards. Bitcoin is volatile and we should be able to understand the hand written on the wall. Bitcoin have saved us in the past and we shouldn't jeopardize it's volatility for granted. Bitcoin displayed a promising future following it's solid road maps. El Salvador implementing Bitcoin as a legal tender extends the country into a digital age ahead of other nations, but they experiencing economy crisis because bitcoin is volatile and it's operation affects almost everything in the country.

Indeed holding Bitcoin for long term can be beneficial investment decision as it is generally considered hedge against inflation due to its limited supply. However, its role to impact economy of any country in good or bad way is debatable topic. El-Salvador was the first country to adopt Bitcoin as legal tender with aim to improve their economy, but their experience didn't turn out very successful due to volatile nature of Bitcoin.

it's because they think that if their own country's currency goes down, they can still use foreign currency in a form of bitcoin since crypto can be used by anyone in different parts of this world if they have access to internet. think about it, let's just say you're from US and if ever the currency goes down, will you be ever to use Chinese currency which is Yuan? of course not right, if ever there's a possibility that you might be able to use them, it won't be that easy as what bitcoin can offer.

it is one common benefit in using crypto, which is the freedom to use it as long as it is accepted as a legal tender. i do agree that bitcoin is already on par with our traditional assets, but if ever there are skirmishes happening in the big nations or let's just assume there will be a nuclear threat, money will be worthless and all the assets including stocks. you might think that it will be the best time to buy before it skyrocket again but you won't know how long the skirmish will last. economy is already considered as an external factors which can greatly affect all assets that's the fact that we need to face.

Even though there is no assurance that Bitcoin's value will rise in the future, some investors think it might represent a worthwhile long-term investment opportunity.
Treating Bitcoin as an investment is the same with other assets too, like non-crypto related, where risks are always there.
Before making any investment decisions, it is essential to conduct your own research, comprehend the risks involved, and speak with financial professionals.

Other assets such as gold would matter more. Also, this industry I guess is not safe from inflation simply because its value is still based on fiat currency. And this is because of issues concerning mass adoption of this technology. This technology is not yet ready to be used as a mode of payment because of its volatility and will still be more beneficial for investors as an investment to generate profit. No matter how we push usage of cryptocurrency, if the government would still promote usage of fiat, then things won't change; you'd be as well be pushed to do the same thing. Unless you are willing to pay more than you're supposed to because its equivalent on a transaction would still be fiat.

Since ever bitcoin was created there has been a call and clamour for a massive adoption of Bitcoin, but it is not happening any soon. Yet there is an appropriate and steady adoption of Bitcoin, even if it is not massive.
Then there is a certain condition that propels bitcoin adoption and that is when there is an economic downturn or when there is some certain unfavorable conditions in the economy such as war.

Bitcoin is being recognised during this unfavourable times because the people would believe that bitcoin will be the safe place for their money instead of leaving it in a centralised government financial institution.

So should there be more war and economical disturbance in order for bitcoin to be massively adopted? I  think no! is the answer.

Not some but most investors think that way, and that is a fact. Economies that go bad from good surely accelerate the adoption rate of Bitcoin only if there is enough awareness among the people living within the country that is suffering from a bad economy or an economic crisis. People put their money in investments that will keep them safe from devaluation.

Bitcoin is probably one of the best options people can have in such situations, but it isn't the only option out there. I think real estate and gold are a couple of assets that can be used alternatively to safeguard your wealth from the effects of a bad economy.

Not all people are fakes.  There are some gurus that share their knowledge about Bitcoin and the possible trend which can give their audience the opportunity to earn profit.  One of them is Bob Loukas where if we happen to ride his predictions and his challenge, we might be in a huge profit by now.

Those who suggest storing our crypto in centralized exchanges is either wannabes' or being sponsored or paid by exchanges.  One thing should be done, we should confirm anything we heard in order to not be misguided.


In general there is no investment that has no risk.

Holding Bitcoin is a good asset and an investment opportunity, but you can't hold fiat that same way because idle fiat won't yield any profit rather you will make a loss. Bitcoin has nothing to do with a Bad economy at least not for my country.

There is ko any currency which has no risk and because of these risky situations we cannot avoids its beneficial aspects. Bitcoin is the only way which can protect your money in a case when you have complete information that what to do during these situations.

By talking to expert he will always suggest you to put money into bitcoin because it cannot reduce your money. Later is the luck but as we see towards the history so bitcoin success is 100 percent if carry out correctly.

People are not afraid with any other type of business but they get frightened with investment in Bitcoin but actually they should think that there is no any business which is free from risk but the main thing is out reaction and use of mind that in which direction we use it whether in a successful way or unsuccessful way.

If we talk about the advantages of investment, it is clear that Bitcoin is in first place, even now Bitcoin investment has beaten investment by large companies such as the NASDAQ. In period 1 the return of BItcoin reached 69% and volatility was at 59. So Bitcoin investment now will be everything, it's just how do we minimize negative things from happening.
If anyone still doubts Bitcoin at this time, of course we need to ask how far they understand Bitcoin. Even a few days ago Michael Saylor just bought an additional 1,045 Bitcoin. This suggests the future for Bitcoin will be bright in the coming months, or next year at the latest.

Are there any experts in cryptocurrency?

Maybe they could speculate to a pin point accuracy the or even within a tens range the next price of bitcoin in few days or a week.
Perhaps they could advice on the next coin that would go to the moon....

There are no such person or group that could be regarded go be an expert on the course, non that I know of but, we've got those that try more than others.
It is actually a right idea to always talk with those that know more about a field than yourself before you go in but, their ideas are not ultimate still so, you have to subject it to further verifications and don't stop at one.

Bitcoin is volatile and not exactly a store of value as one might hope due to its volatile nature but, it could as well increase value and that is dependent on the timing you give it.

The basic purpose of creating Bitcoin payment method was to provide safeguards to your fiat money against consistent devaluation due to unlimited supply of fiat currencies controlled by central banks of the countries and this is the reason it is widely regarded as one of the best performing assets. It is true that it very risk due to its extreme volatility but holding it for long term is always beneficial.

Do you think those experts will give you a good advice regarding Bitcoin investment? they might doesn't know how Bitcoin works.

I still saw a lot people which claim to be experts were talking about Bitcoin is decentralized and no one can stop it, but at the same time they suggest anyone to store Bitcoin in Binance because they say Binance have SAFU

It's contradict the definition of decentralization since you're holding your coins on a centralized site.

I guess historically, Bitcoin has been tested to be a good hedge against economic uncertainties. The first use case of it is against the pandemic, we've seen that every traditional market has been affected when the news about the pandemic came out and how scary it was that time. Bitcoin goes down <$4k, however, we quickly bounce back and we even reach a new all time high in 2021. So it make sense for anyone, not just investors, but even just average joe, if they are smart to look for a asset to put their wealth to mitigate the risk of inflation.


Any form of investment has risks not just Bitcoin though, it's just up to us how we are going to take it. Majority see the risk and volatility as a good indication so they trade and try to make money out of it. And with that, not sure if you need to talk to "experts". This is a non-traditional market, everyone here can be experts and can advise you and make their own wild and educated guess as where the price would go.

It's not the OP trying to give the forum users advise regarding Bitcoin.
But it's the OP trying to pass a message from CHATGPT to the forum.

True this topic is too generic and easy to discuss, though it does not add any valuable information since the topic is already used several times.  But despite of that, instead of using the search function and join the existing thread discussion, they created the same generic thread instead just to add activity to the account and fish merit later.


The volatility of Bitcoin makes it attractive to speculative investors.  It is also one of the major factors that contribute to the creation of the Bitcoin community and Bitcoin adoption. 

I a bad economy Bitcoin enables the participation of the unbanked and underbanked in the national and global market.  With this participation of these type of group, it somehow strengthens the economy and creates more demands and source of income for the people and companies that offer and accept services paid in Bitcoin.

Yes, one of the most powerful potentials of Bitcoin is the limited supply and decentralization but you fail to add consensus and block halving which play significant roles in the increase of the market demand.
The major forces that affected the traditional currencies and financial system are because of the mode of operation they practice and the printing of more fiat currency.

In my own opinion the post was very basic and a repetition of what has been said a lot of time. I wonder if some members actually understand what they write or they actually write what they feel the forum wants to hear.

Bitcoin is volatile just like every other Crypto-currency in the market, but the level of strength of bitcoin admits all of the volatile and it’s price value makes it a better option for any one who can afford it. This isn’t a financial advice.

I'll be honest, is this financial advice yours?  I don't understand if you are telling us to be careful about investing in Bitcoin in a forum that talks about Bitcoin or if you wrote the first thing that came to your mind.  Obviously Bitcoin is decentralized and inflated by nature so it is natural that it scares traditional finance, indeed it will be its worst nightmare.

You practically nailed the whole point there, the truth of the matter is that bad actors have been the major challenges in the Bitcoin economy and this is why it will be hard for us to have a clean sheet because of the many frauds committed by the so called Bitcoin services providers who have not been straight or supporting to the existing Bitcoin protocol.

Bitcoin is secured trusted and highly secured,  but third-party Bitcoin services providers such as fake and scam investment platforms and other money laundering platforms have been the bad actors we are talking about here.

But when we talk about an edge above inflation,  then we should truly hold Bitcoin against the traditional currencies who are slaves to inflation and money printing scam from
 the central bank.

No need for any financial experts consultation, you're the expert on your own, why? Because you're the one that should conduct your own research because it is your money that you're protecting and investing.

The decision shouldn't come from anyone if you're about to invest bitcoin and that's why it must be you that should decide whether you will or will not invest.

Stop relying on those "financial experts", they're not really experts, they've just labeled themselves as is but look at the real experts. They're not just some self proclaimed experts but they've got results and truly rich people.

Not some investors but all investors  who use bitcoin see bitcoin has a very important investment tool or asset against the Fiat Economy. Bitcoin can not stop inflation. It can only stop the devaluation of the National  Economy. Bitcoin. I don't think the limited supply of bitcoin has anything to do with the traditional economy.

It is nice to ask a business guru instead final expert, those who are already in the investment system are the best people to inquire how the system works, there are some financial experts that not in the field work but only on the theory aspect so if you asked them they might mislead you.

Holding fiat is always not a preferable option. While bitcoin was not around people used to hold gold instead of fiat, but some people don't know why save fiat on banks or in-house.
Fiat will not give any return but bitcoins will do. That is why wise people now don't invest in fiat, they go for bitcoin. 

Bitcoin has become an integral part of the global economy, whether we acknowledge it or not. The traditional fiat system has always been at odds with Bitcoin and this conflict is likely to persist indefinitely. The reason for this is that Bitcoin is a truly decentralized cryptocurrency that cannot be controlled by centralized economists. This poses the greatest challenge to Bitcoin. Another issue is that people often view Bitcoin solely as an investment asset, when it should be regarded primarily as a currency for borderless transactions. Therefore, we need to treat Bitcoin as a proper currency and then consider investing in it.

The analysis that you convey is far more logical in understanding something that has happened and is easily translated in cases that often occur in Bitcoin. In principle, it is not Bitcoin who committed fraud, but people use Bitcoin as a medium to commit fraud indirectly. So it is not feasible to say in general that Bitcoin committed fraud, while a platform that provides services is also another media that is not directly related to Bitcoin.

People cannot sort out to each other so they try to equalize as a whole, even though Bitcoin will never have a price or never become the best asset for investment if there is no relationship between supply and demand in its journey. Connecting as a whole with bitcoin is clearly something wrong and the relationship must also be separated to be tracked one by one.

You should teach those investors that bitcoin is not the reason behind currency devaluation. The governments and banks that print so many notes of a currency are the main negative actors who devalue a currency. Corrupt officials are also responsible for the devaluation of a currency due to their greedy nature.

Yes, Bitcoin is decentralized and its total supply is limited to 21 million Bitcoin only. I think that's a great thing about it. I believe that makes Bitcoin a gem in this digital world.

It's true that Bitcoin is volatile but those who understand the art of Hodling don't have to worry about the volatility. As long as they Hodl their Bitcoin, they are safe from any known risks. I don't believe that it's needed to ask others advice before investing in Bitcoin, it's far better to invest on your own.  You can also learn about Bitcoin from online resources before investing in it. This forum is also one of those useful resources.

The current economy has really made investors to have double thought on venturing into bitcoin investment because they felt of maintaining their income, banks are not longer trustworthy anymore due to the recent developments so investors are looking for alternatives to secure their funds.

it's hardly anything new. An argument that has been used many times in many discussions. Often challenged, often adored. If you are new to crypto, ask, if experienced, share your knowledge. Starting a new thread to write what everyone knows is unlikely to add any positive value to you or forum users.

Financial experts are not to predict the movement and volatility of Bitcoin prices, but to minimize losses, especially in the field of fraudulent investment. Bitcoin has a high level of security, or a high trust value. But platforms that provide Bitcoin services are not necessarily trustworthy. So this is the function of experts in the financial sector, at least to understand the digital platforms that are currently developing. Bitcoin has never committed fraud, but many have used Bitcoin to commit fraud. This is the main function of the discussion about Bitcoin.

Saving Bitcoins is much better than saving dollars. If inflation occurs, the value of the currency will decrease, and the investment value will increase. So Bitcoin investment is to prevent bad conditions from happening, especially regarding the economy. Maybe people think if inflation occurs everyone will sell Bitcoin so that the price of Bitcoin will decrease. That's the wrong way, investors will actually hold Bitcoin if inflation occurs. Maybe you can compare Bitcoin price movements during the pandemic. Precisely the price of Bitcoin is increasing when economic conditions are getting more difficult. Don't be afraid of price fluctuations. Price fluctuations are an opportunity to make a profit, both for those who buy and those who sell them.

Not just bitcoin.

This is also applicable to other aspect of business - "marketing research before investment".

And note -
Not all traditional currencies are affected. Some countries have done more than enough in making their traditional currency stand out e.g (US dollars and Euro)

With the current economic situation around the world, it's less risky to invest in bitcoin. Holding fiat possesses a greater trait. All investors know what they want before they want to invest in Bitcoin, and they have also seen greater potential in the currency before they make that decision.

The continued printing of local currency has made it unsafe for investors to hold fiat because they depreciate in value, which reduces their purchasing power. Even if Bitcoin prices drop, it does not necessarily mean that their value has dropped or depreciated. It's left to investors to analyze what they actually want.
 
Left to me alone, it's unwise to compare Bitcoin to that of any local currency.

Both currency are subjected to voitilty but just as you mentioned Bitcoin has limited supply why fiat don't have. That's what makes Bitcoin safer than investing and holding fiat.

Bitcoin is really a potential asset in face of some economic forces; some people just do not realize it. The consistent printing of cash cannot be enforced with the Bitcoin technology because of its specific total supply. Due to the excessive printing of cash, its purchasing power keeps depreciating, and these can even get worse over time, and by then most people will consider Bitcoin a safe haven.
Bitcoin is a volatile asset, and it even gives people the opportunity to buy when the price is low and they can also sell when the price goes up, that's if they want, so there's no financial expert that can accurately predict the Bitcoin price movement and volatility.
 Bitcoin cannot be compared to the devaluation of printed money, because in the past year you could buy enough things in the market, but as the day goes by, inflation keeps increasing, and it's even bad in some countries.

People think Bitcoin could be a way to protect their money if the economy gets uncertain, especially if there's inflation or the value of money goes down. This is because there's only a limited amount of Bitcoin and it's not controlled by any one government or group. But it's also important to remember that Bitcoin can be risky, just like any investment. It's smart to do your own research and talk to experts before you invest any money.