Topic: Can Bitcoin solve the world's debt problem - page 3. (Read 675 times)

Atleast it can benefit those who don't benefit from the massive debt, or those who don't take loan from the system but are still affected by the system of debt or loan taking.
Lots of the things governments and people borrow money for can be solved without borrowing money. Unfortunately, they borrow recklessly and still call it a National loan then take what belongs to people who didn't benefit from the loan to pay the debt.
There are many of us who aren't indebted to anyone... If you want to borrow, make sure you get the view of everyone. People who don't need the debt shouldn't be part of paying it. Besides, such loans are not necessary for development.

A well decentralized and transparent Bitcoin, based on rules and public consensus should make it hard for them to borrow recklessly. The transparency should help citizens know exactly where their money is going to, what it's used for and how it's used.

No, in my opinion, bitcoin cannot solve this problem, since it works in a slightly different plane and does not participate directly in the real sector of the economy. Inflation, overproduction, debt, offsetting payments, crises, this is not for cryptocurrency. Cryptocurrency has its own functions and methods of solving its problems. The author of this topic does not offer any of his own options for solving the problem of debt with cryptocurrency. He generally wonders if this is possible at all. No, this is not a job for cryptocurrency. Let the states deal with their debts themselves.

Debt plays a central role in the fiat system. It is even necessary. Take a look at how debt even played a sort of a redeeming role in the midst of the economic challenges due to the pandemic. Countries are printing money based on debt because the economy is crumbling. This is an aspect of the fiat system which couldn't be provided by Bitcoin.

In an economy built on Bitcoin, there is no way a country could print money out of thin air to save the falling economy. The supply of Bitcoin is fixed. Bitcoin lacks the flexibility of a fiat system which could sometimes be helpful for countries to maneuver a difficult economic situation.

There is debt problem but without debt, problems could have been worse.

By debt/ investment euphoria, I guess you mean the availability of cheap credit due to actions like Quantitative Easing. Why do you think that the governments want to change this? All I've noticed is major economies printing more and more. Maybe i misunderstand. An explanation would be great.

Bitcoin becoming the global reserve currency in purely official terms is something that organizations like IMF will fight tooth and nail. The best bet is with private corporations deciding that enough is enough and they need an alternate to the fiat. During his interaction with Cathie Wood and Jack Dorsey on "The B Word", Musk said that its ridiculous that the cash reserves of Tesla pay out interest (due to negative interest rates). He also endorsed some pretty far-reaching ideas about how government is just a corporation with a monopoly on violence. If you extrapolate those ideas and enough corporations reach the conclusion that they need to do something about it, coupled with the realization by masses that they need bitcoin, bitcoin will become the de-facto alternate to fiat. A global reserve currency for citizens/ netizens.

The world’s major economies are facing increasing pressure, which can be illustrated by the series of policies adopted by various countries in recent years. Imagine using Bitcoin to solve this problem, but more people are needed to use it to achieve this goal.
Bitcoin is the only currency with a truly limited supply, and no centralized organization can operate, thus solving this problem.

Bulgaria may be an example of how Bitcoin can help solve debt problems, most importantly how to use Bitcoin properly. Bulgaria should not only
confiscate Bitcoins from criminals, however the Bulgarian government could try investing in Bitcoin. If the price of Bitcoin goes up and can make
a profit from Bitcoin it should be able to solve the debt problem slowly, therefore I believe Bitcoin can indeed solve the world's debt problem.
If all countries started long-term investment in Bitcoin starting now, so in the future when Bitcoin price is already high, can be sold to pay off debt.

I'd say no not really. The price of Bitcoin still stems from how much we make it to be, and wouldn't really exceed the boundaries such that it could actually affect the debt problem of the world. It can, at most, help you yourself, by escaping the dropping value of fiat, helping you avoid the worst-case situation possible. The debt is still there yes, but at the very least, you wouldn't actually need to earn more to pay it since technically, the amount you earned would still remain the same (or maybe more or less, who knows).

I'd reckon that debt would never disappear or be solved tbh. If it did, that simply means that the world has halted in most sides, both naturally and artificially that it doesn't need to pull out funds from lenders to solve something.

the problem is, how much every platform will give profit. people will take the biggest to make them full of satisfaction.
many people will take the other way to explain about bitcoin, blackmail the new one, make them pay, so that person gain additional profit. so, how much honest people show and help the other people, there are bad person will show that the other easy way from their prespective.

To clear your debts you'll have to work by putting your skills at work by default you cannot do anything with bitcoin - you'll need real fiat to buy bitcoin or using your skills to earn it online.

Don't get me wrong but it's hard for me to understand what's the point of linking bitcoin with fiat debts?

OP is correct that inflation tends to make it easier to pay off debts (assuming the inflation rate is above the interest rate). To the extent that BTC "wealth" encourages people to spend more, this does have some upward price pressure. As others have said and the latest US infrastructure bill proposes, taxing crypto gains generates revenue for the government which can be used to pay off debt (or more likely, just enable more government spending)

I used to be concerned about (government) financial debts, but have come to realize that for each dollar a person, government or entity is in debt another person/entity is owed, so Net Zero in terms of assets/wealth. Yes, one of the parties may end up worse off or better off, but overall, there will be the same amount of net assets-liabilities regardless of if the debt is payed off or not.

Environmental Deficits are much more concerning. I.e. if your family/village/etc. is 100% reliant on your well for water and you consume water at 110% of the recharge rate from rain, etc. then your are running a 10% yearly deficit and will eventually run out of water.

I should note that debts/money creation/monetary policy can have effects on human behavior, but real wealth is created and destroyed by how efficiently and effectively we build and utilize things of value, like a home, while minimizing resource destruction.

I think bitcoin is great in that it has opened up the idea of a different monetary system, but I don't see bitcoin effectively incorporating environmental assets and deficits into its system. Perhaps a future currency will more effectively recognize that things like the Amazon rain forest maintain biodiversity and work as a carbon sink which helps make the planet more liveable for humans, thus making us more wealthy in the long run.  

 

Debt problem? Come to think of on how big the cap of Fiat we do have and imagine on whats the cap of Bitcoin? Debt isnt something to be united and each country does have its own debt
which means this would really be paid up personally or by their own and wont be minding other countries debts. Dont think or stress out yourself on minding that BItcoin could solve
world debt issues because there are global problems which is almost impossible to be resolved even with this current generation.

The highest percentage of electors are uneducated people and the prays of beautiful lies. People love when they hear what you want to hear and that's all, the whole politics. The most fun thing here is that these electors only think about themselves and their well-being but at the same time believe that there will come a crazy political messiah who will take care of them. People want to lay at the sofa and count the profit.

Okay! Bitcoin is often misused along the word "Blockchain". How the hell can bitcoin solve the worlds debt problem? Do you guys really think that let's everyone buy the bitcoin, hold for years, the price will rise and the world will become rich? The world and economics don't work that way!

Didn't know about Bulgaria's bitcoin stash til now. So I searched how many bitcoins they have - https://www.coininsider.com/bulgarian-government-owns-3-billion-usd-bitcoin/. They have about 213,519 bitcoins in possession coming from their criminal busts. That's not bad at all. With the value of btc today, truly, that will be a very good asset if in case they decide to use it to pay their debts. However, we don't know their plans with their seized bitcoins.

Looking at the current scenario it is hard to imagine that Bitcoin can solve the global debt issues, people are giving unwanted tags which is unnecessary and in the beginning i expected a decentralized market could change the perception of many but as times went by half of the traders depend upon centralized wallets and exchanges and now with institutional investors ruling the market it is a hard to reach that dream.

Money (aka Bitcoin) is just a store of value, used to exchange goods and services. Instead of saying "I'll trade you some tomatoes grown in my fields if you will fix my shoes" you could convert it into something that can be exchanged at a later date - coins or paper currency. A currency itself cannot solve a debt problem. Debt is when people swap receiving money now for paying money back at a later date, usually with an interest rate paid. Not all debt is necessarily bad, people take mortgages out for houses and often their home becomes worth a lot more than the money that was borrowed. Debt can be abused however, both by people who borrow without understanding the consequences properly and by lenders who extend credit to people who have limited abilities to pay it back. Many people also borrow money and use it in very wasteful ways which should be frowned upon.

Seriously? How do you expect BTC to solve this mammoth problem which will probably never get solved completely? The global debt issues will continue to amplify over time due to various factors in my opinion.

BTC was never designed to solve these kinds of issues. It was developed to take away some of the power from governments and redirect it to common people through decentralisation etc.

The only way an issue like global debt can be fully solved is if factors like corruption etc get eliminated completely which we all know will never happen.

Nope! Bitcoin is not designed to create a bankingless economy. It definitely provides an alternative route to hold "store of value" and eliminates the middleman from the process. But eliminating debt from the system is not something bitcoin can do.

A debt less economy means a bankless economy as well. When there is no requirement of debt, there will be no requirement for banks as well. Then whoever holds more amount of bitcoins will become the controller of everything. That's not what we want. It will worsen the wealth distribution inequality situation and poors will become poorer. Bitcoin is not a solution to all financial problems.

It won't solve the debt problem of the entire world, but it has got the ability to solve the debt problem of countries. This means the country that adopts the usage of bitcoin will be benefited good out of it.

Bulgaria is the country that holds more number of bitcoins. The volume of bitcoin holding is found high than that of the gold reserve. It was said that Bulgaria can go debt free if it's entire bitcoin holdings were used. Now the worth of its holdings might've grown much high.

if one day bitcoin can become a legal currency as a means of exchange, it is not impossible for this to happen, because with the adoption of the government, bitcoin will automatically be taxed and the proceeds from the tax can go into the state treasury.and taxes from the government. the crypto contributors are not a few that will be obtained by a country because we all know a lot of people who invest from the crypto world and these businesses can be taxed by the government

It doesn't mean that World's dept is created by Bitcoin and it can solve it. The question is All country will accept Bitcoin. Not fast but slowly when will Bitcoin reach to the moon all county will accept it because there are the many chances to be Bitcoin is source of transaction and investment in future.