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Topic: Coronavirus is very harmful to fiat currencies, not bitcoin - page 8. (Read 1440 times)

full member
Activity: 546
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Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.


As we all know that these past days many people over the world are worried about the virus, the virus called corona virus known as COVID-19 was appeared and begin, it starts from Wuhan, China and it spreads all over the world, so that to prevent it from spreading the basic way is to prevent or avoid it on using fiat currencies  in many transaction but is was difficult because many stores are not using digital money they used physical money. But to keep our healthy good, we must need to used digital money because physical money is primary reason on spreading the virus while the digital money are not. 

sr. member
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The reason that btc is not affected is that it is a digital currency, unlike fiat where there is a physical contact then that is the reason that governments are trying their best to limit the usage of fiat because the virus can be transmitted by contracting an infected physical money.
legendary
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To the Moon
It may not be as bad as you describe - but who knows. And that's, why there will not be any BTC, rises to new heights. The price will rather hang at the current level + / - 1k. People will not have a lot of free money to invest in so risky assets. Conversely, they will sell crypto in search of liquidity

It seems to me that now investors are leaving both the stock market and the cryptocurrency market. Obviously, they want to see how the situation will develop further. And if they see that bitcoin has started its growth, despite the fact that the securities continue to fall in price, then it will invest its money in BTC.
full member
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What is happening on the cryptocurrency market surprised me very much, since I have been observing a fall in prices for almost the entire period when the biggest excitement began due to the epidemic in China and when problems started in Italy.  Indeed, the economy of each country, including international trade, suffers from existing problems, which makes fiat funds depreciate.  But in the light of all these problems, in my opinion, it was digital assets that were in great demand and cryptocurrencies should have been taken into account by the whole society, but the cryptocurrency market shows a negative trend.  It seems to me that speculators are to blame for everything, since the coronavirus epidemic should, on the contrary, positively affect the entire cryptocurrency market.
full member
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Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.
Everything has been affected by this corona virus even the BTC.
We have seen the price of crypto drops down when corona is spreading through other country and not just crypto but also stocks.
So corona virus isn't just harmful to fiat currencies but to the economy.

But the issue here is the people who only uses fiat currency and not crypto. How about them? They aren't knowledgeable to use digital currency, most especially those people who are in a lower class. The only thing they know is to earn fiat money and they are the one who are prone in getting the virus. We need to help them to learn how to use bitcoin or somehow let's advertise bitcoin in our community to help also mass adoption of it. People have nothing to do but to continuously use the fiat if we will not take some actions in helping them adapt continuously improving technology. We have nothing to do to the price of bitcoin but to be patient and hope for the bitcoin to rise again.
sr. member
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The spread of this virus had brought to bare some of the problems that can arise in the future if we don't switch totally to the use of digital and electronic means of payment. i read one news where a bank in China was disinfecting monies that have been received. Also, i think fiat currencies have contributed to some extent in Corona Virus hit areas such as Italy, China and US. I hope they learn this and advocate for the adoption of crytpocurrencies especially Bitcoin.
full member
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Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

Actually where whole world economy crush and people are in fear of death there fiat currencies or btc is no matter. People first thinking to live then money or btc at present time. On the other hand as still we can not massively buy or sell goods with BTC and depends on fiat currency, so nCov19 must hurmful for BTC also.

thanks.
sr. member
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Crypto is not a religion but i like it
Why wouldn't you put in more money due to high chances of all markets growth in nearest 2-3 months?

In 2-3 months imagine how many businesses will have gone bust and how many people will be unemployed. Entire industries will basically stop operating and I doubt there are many that can afford to shut down, wait it out and then fire up again as if nothing has happened. That aspect has only just begun.
Before that there'll be a lot of selling pressure from people who need to get through this period of time. Selling pressure now and no income to buy in future adds up to a pretty gross looking few months.

It may not be as bad as you describe - but who knows. And that's, why there will not be any BTC, rises to new heights. The price will rather hang at the current level + / - 1k. People will not have a lot of free money to invest in so risky assets. Conversely, they will sell crypto in search of liquidity
legendary
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Degen in the Space
You just ended in that kind of conclusion without looking or searching the other factors why COVID-19 affects all of the markets. Probably, COVID-19 or coronavirus does not really affect bitcoin but it affects the mining business in China that is needed to temporarily close to stopping the spread of the virus.

Obviously, there's a lot of effects due to COVID-19 and we can't conclude easily without analysis on the market graph.  Roll Eyes
full member
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Yes coronavirus isn't Bitcoin but the impact of the Coronavirus Bitcoin has been affected because the impact of the virus has reduced the investment and therefore the demand isn't very low. Now because people work more on decentralization than centralization coronavirus is far more harmful to Fiat currency than Bitcoin because Fiat centralization is within the current state of the art technology, we'll be ready to cure it.
legendary
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To the Moon
Everything has been affected by this corona virus even the BTC.
We have seen the price of crypto drops down when corona is spreading through other country and not just crypto but also stocks.
So corona virus isn't just harmful to fiat currencies but to the economy.

The coronavirus is not dangerous directly for BTC) Coronavirus affects primarily people and as a result, it leads to a decline in the economy. Therefore, we see a drop in the stock market, which as a result of the panic affected the cryptocurrency market.
sr. member
Activity: 994
Merit: 257
Best Bitcoin Casino www.coinsaga.com
Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.
Everything has been affected by this corona virus even the BTC.
We have seen the price of crypto drops down when corona is spreading through other country and not just crypto but also stocks.
So corona virus isn't just harmful to fiat currencies but to the economy.
sr. member
Activity: 1400
Merit: 269
Without people spending money to travel, buy products and pay for services the value of a currency will surely plunge. I wonder how much the current monetary system could hold against the corona outbreak and financial crisis. Better prepare to find alternative safe havens to store money cause looks like the banks are barely holding even their methods to stimulate the economy is not working.
legendary
Activity: 2128
Merit: 1775
Have you seen how governments responded to the corona virus?
Virus C
The government began to issue facts about indications of infection with the C virus by means of touching, talking and can also occur on objects held by sufferers of corona.

This makes sense if the C virus can be transmitted through fiat money, unlike the case with the crypto currency that does not touch it is very impossible to transmit the virus, but if it has been made fiat money is likely to be dangerous, because we don't know the money we hold comes from who and for whom.

So, if the government implements crypto as a transaction currency worldwide it is likely that the c virus cannot be transmitted, because people pay by transferring crypto to crypto.
hero member
Activity: 2842
Merit: 772
Fiat currency is a physical object , so it is possible that the virus could be pass on to another person, that is why there are countries who avoids accepting physical money for their own sake because you can't really say if that money has been touch or not by an infected person.
This is where the fiat is disadvantaged, as people are often to use fiat and contacted it, the virus could easily transfer from one to another person leaving the disability of the virus to be airborne useless. Using crypto and other digital payments would be helpful on such cases like this, it might be even the solution for non-contact policies and social distancing.

Transmission of the virus via Fiat money is not such a big problem. If there is such a percentage of infected, it is not large. The main reason for the spread of infection is direct contact with a sick person. We must first defeat the virus, and then the focus will be on the economy, including cryptocurrencies.

Right, I'm pretty sure that every scientist are doing their jobs 24x7 to find a cure and a vaccine to control the spread. They don't have that much time though, another month and multiple deaths will have a big impact on the world economy.

There are stimulus package being injected by the central banks to help ease the pressure, but I don't think it will be enough though. It will be just a temporary solution, in my opinion.
sr. member
Activity: 1596
Merit: 335
Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

The coronavirus is actually affecting the global economy. In our country, it's an advantage to use cryptocurrency but the problem is most merchants who are accepting it closed their establishments due to the community quarantine so we have to convert from cryptocurrency to fiat just to purchase our necessities. This pandemic disaster is affecting fiat more than cryptocurrency but if only there will be more businesses and merchants who are now adopting it, more people will use it for their safer daily transactions.
legendary
Activity: 3052
Merit: 1047
Your country may be your worst enemy
The European Central Bank has just released a €750 bn package to save the €. Will it save it, or will it kill it? I'm not sure.

Once again, BTC's safe.
legendary
Activity: 2562
Merit: 1441
I agree bitcoin should not be as heavily influenced by corona as more traditional markets, financial institutions and economies. Unfortunately, natural market mechanics are far from being the only forces influencing crypto valuation in this day and age. In modern times, we have witnessed central banks influence stock markets through Quantitative Easing. It has become status quo for the federal reserve to routinely expand its balance sheet by $400 billion dollars to inject liquidity into stock markets.

That massive and overwhelming volume to buy and sell. To epically create demand or reduce it. It is the ultimate power to influence markets. To raise them up. Or to crash them through the floor. The implications of this are not widely understood or advertised. But they do exist. And perhaps we can surmise similar events are transpiring in the crypto world as well. In terms of federal reserve or central bank liquidity being utilized to influence valuation of markets.

sr. member
Activity: 1292
Merit: 294
''Vincit qui se vincit''
Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.
Indeed you are right mate more fiat of the countries affected will print and print more national currency to pay debt and add mo debt, then sell their stocks for fresh printed fiat.
This is critical in the nations inflation rate.
legendary
Activity: 2268
Merit: 1655
To the Moon
Fiat currency is a physical object , so it is possible that the virus could be pass on to another person, that is why there are countries who avoids accepting physical money for their own sake because you can't really say if that money has been touch or not by an infected person.
This is where the fiat is disadvantaged, as people are often to use fiat and contacted it, the virus could easily transfer from one to another person leaving the disability of the virus to be airborne useless. Using crypto and other digital payments would be helpful on such cases like this, it might be even the solution for non-contact policies and social distancing.

Transmission of the virus via Fiat money is not such a big problem. If there is such a percentage of infected, it is not large. The main reason for the spread of infection is direct contact with a sick person. We must first defeat the virus, and then the focus will be on the economy, including cryptocurrencies.
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