Fiat Money is a Bubble - page 3. | Bitcointalksearch.org

AicecreaME

sr. member

Activity: 2436

Merit: 455

Quote from: ecnalubma on November 07, 2019, 06:56:45 AM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything.

You don't even know it for yourself if it is a bubble or not by saying two statements that contradicts each other to make things complicated and unclear, although your second sentence sums it up already, it is a bubble because clearly fiat doesn't have anything on its back to prevent inflation that's cause currency devaluation, if that is not a bubble to you, I don't know anymore what bubble's look like to you.

GideonGono

hero member

Activity: 2086

Merit: 501

★Bitvest.io★ Play Plinko or Invest!

Quote from: ecnalubma on November 07, 2019, 06:56:45 AM

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.

I think they only believe that it was bubble cause they believe that when it become huge like a bubble or I mean the price will be more expensive then it will die sooner I think that is they want to say for that bitcoin is like a bubble.

You can't predict a future but you can make a theory on it so it is depend on a people if they believe on it or not.

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: Sithara007 on November 07, 2019, 09:03:27 AM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

The fiat banknotes are more like promissory note. Here in India, in the ₹ 2,000 banknotes, it is printed like this:

"I promise to pay the bearer the sum of two thousand Rupees"

The value of that banknote is promised by the central bank. I agree that the banknotes are no longer backed up with gold, but what this means is that fiat currency is not a bubble and it has some value guaranteed against it. If you have fiat money, then you can exchange it to other assets such as gold and silver, as the central bank is guaranteeing its value.

The central bank guarantees that the value of a banknote with a face value of 2000 is 2000, but it does not guarantee what for this value can be purchased. The bubble is created by printing new banknotes. Simply by increasing supply, the purchasing power of money automatically decreases. In other words, you can buy less items for the same value. Value is not changing, but power of value is lower.

Sithara007

legendary

Activity: 3346

Merit: 1352

Leading Crypto Sports Betting & Casino Platform

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

The fiat banknotes are more like promissory note. Here in India, in the ₹ 2,000 banknotes, it is printed like this:

"I promise to pay the bearer the sum of two thousand Rupees"

The value of that banknote is promised by the central bank. I agree that the banknotes are no longer backed up with gold, but what this means is that fiat currency is not a bubble and it has some value guaranteed against it. If you have fiat money, then you can exchange it to other assets such as gold and silver, as the central bank is guaranteeing its value.

Ryker1

sr. member

Activity: 1932

Merit: 442

Eloncoin.org - Mars, here we come!

Quote from: Hippocrypto on November 07, 2019, 07:28:37 AM

Quote from: ecnalubma on November 07, 2019, 06:56:45 AM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.

In fairness with fiat money, this cannot be a bubble because it was backed by the government's central bank. With centralized fiat currency, regulation made it strong and won't crash easily unlike bitcoin whose character was volatile. Bitcoin as a decentralized currency, was operating without the government's control. When there's a bubble they cannot take actions directly, because the system is running through blockchain technology.

Well, It's a bubble obviously. They want you to accept fiat money and you need to work hard in order for you to be able to earn it. On the other hand, bitcoin tries to create limited supply which is opposite to fiat. There is no government attached to bitcoin and soon it will rise all over fiat money. Because of the demand and supply of Bitcoin will make bitcoin expensive or high value when the supply decreased, whereas, fiat money can not.

Hippocrypto

sr. member

Activity: 1484

Merit: 277

Quote from: ecnalubma on November 07, 2019, 06:56:45 AM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.

In fairness with fiat money, this cannot be a bubble because it was backed by the government's central bank. With centralized fiat currency, regulation made it strong and won't crash easily unlike bitcoin whose character was volatile. Bitcoin as decentralized currency, was operating without the government's control. When there's a bubble they cannot take actions directly, because the system is running through blockchain technology.

ecnalubma

sr. member

Activity: 1540

Merit: 420

www.Artemis.co

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: Linkkoin on November 06, 2019, 08:05:12 AM

Quote from: keyscore44 on November 06, 2019, 05:31:19 AM

Right at the point! In my opinion, this is the biggest economic problem that is being created right now. However, it also depends a lot on the European Union, and I think that the US is not afraid to create this money bubble just because it is certain that the EU will not take the side of the communist state. This is a very interesting but also dangerous political and economic situation for the world economy.

We will see how the situation will develop, because right now we are in a stale-mate, like during the cold war with risk of M.A.D. (Mutually Assured Destruction).

I have the same feeling that something is going on like the (economic) Cold War. Still, countries that have the largest army dictate economic conditions. That is why I said that if a fiat money bubble exists, it is created by the USA, because they have the largest army.
I don't think anyone would ever want to check it out, but it is in a way keeping the rest of the world in check.

aysg76

legendary

Activity: 1974

Merit: 2124

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Yes i agree with you because fiat money don't have any tangible value and are not backed by any physical store of value like gold thesedays which makes its value less but they are legal system supported by governmemts and without them there is no value of goods and services in global market.The worle operates only on the base of fiat money so its quite controversial.

Linkkoin

member

Activity: 476

Merit: 88

Online Cryptocurrency Exchange

Quote from: keyscore44 on November 06, 2019, 05:31:19 AM

Right at the point! In my opinion, this is the biggest economic problem that is being created right now. However, it also depends a lot on the European Union, and I think that the US is not afraid to create this money bubble just because it is certain that the EU will not take the side of the communist state. This is a very interesting but also dangerous political and economic situation for the world economy.

We will see how the situation will develop, because right now we are in a stale-mate, like during the cold war with risk of M.A.D. (Mutually Assured Destruction).

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: Linkkoin on November 06, 2019, 05:23:53 AM

Quote from: keyscore44 on November 06, 2019, 05:12:09 AM

Of course, the change of the banknote's image or the exchange of damaged banknotes is strictly controlled. However, there are countries that do not worry too much about the amount of money they print - of course I am thinking about the USA. Unfortunately, but the US dollar is the guiding currency of the world and if the US prints dollars, the rest of the world must also print money to be able to match the level. And this is the bubble we should be afraid of.

Unless the Chinese government will make its own country self sufficient and not export-oriented, then they can say "check". But this will make the infamous Black Thursday a child game.

Right at the point! In my opinion, this is the biggest economic problem that is being created right now. However, it also depends a lot on the European Union, and I think that the US is not afraid to create this money bubble just because it is certain that the EU will not take the side of the communist state. This is a very interesting but also dangerous political and economic situation for the world economy.

Linkkoin

member

Activity: 476

Merit: 88

Online Cryptocurrency Exchange

Quote from: keyscore44 on November 06, 2019, 05:12:09 AM

Of course, the change of the banknote's image or the exchange of damaged banknotes is strictly controlled. However, there are countries that do not worry too much about the amount of money they print - of course I am thinking about the USA. Unfortunately, but the US dollar is the guiding currency of the world and if the US prints dollars, the rest of the world must also print money to be able to match the level. And this is the bubble we should be afraid of.

Unless the Chinese government will make its own country self sufficient and not export-oriented, then they can say "check". But this will make the infamous Black Thursday a child game.

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: julius caesar on November 05, 2019, 07:32:30 PM

Quote from: Google+ on November 05, 2019, 05:42:23 PM

Quote from: keyscore44 on November 05, 2019, 05:22:03 PM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

I once found a country that was affected by inflation because the country printed its banknotes with a very large amount and was not controlled so as to make the country become devastated and the exchange rate was very severe, so in my opinion if more money was printed then it would make fiat money would affected by inflation.

Perhaps that country are no longer handled very well by the government. I believe that there is a law that applies to every country that certain money supply should be applied and if ever the money is being updated (changing its design and whatsoever), it'll need to dump and destroy the money being replaced so that they'll be able to create a new design for money which must have the same value as the previous one.

Of course, the change of the banknote's image or the exchange of damaged banknotes is strictly controlled. However, there are countries that do not worry too much about the amount of money they print - of course I am thinking about the USA. Unfortunately, but the US dollar is the guiding currency of the world and if the US prints dollars, the rest of the world must also print money to be able to match the level. And this is the bubble we should be afraid of.

Karmakid

sr. member

Activity: 742

Merit: 397

Quote from: Google+ on November 05, 2019, 05:42:23 PM

Quote from: keyscore44 on November 05, 2019, 05:22:03 PM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

I once found a country that was affected by inflation because the country printed its banknotes with a very large amount and was not controlled so as to make the country become devastated and the exchange rate was very severe, so in my opinion if more money was printed then it would make fiat money would affected by inflation.

That is how it works so that is why most of the countries are always careful when they are printing out their fiat currency because once they print more than enough then it will result to hyperinflation. As a citizen of a certain country and as I want to preserve my wealth, I always try to find some investments that can help me with that like having gold and bitcoin.

julius caesar

full member

Activity: 644

Merit: 127

★Bitvest.io★ Play Plinko or Invest!

Quote from: Google+ on November 05, 2019, 05:42:23 PM

Quote from: keyscore44 on November 05, 2019, 05:22:03 PM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

I once found a country that was affected by inflation because the country printed its banknotes with a very large amount and was not controlled so as to make the country become devastated and the exchange rate was very severe, so in my opinion if more money was printed then it would make fiat money would affected by inflation.

Perhaps that country are no longer handled very well by the government. I believe that there is a law that applies to every country that certain money supply should be applied and if ever the money is being updated (changing its design and whatsoever), it'll need to dump and destroy the money being replaced so that they'll be able to create a new design for money which must have the same value as the previous one.

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: Google+ on November 05, 2019, 05:42:23 PM

Quote from: keyscore44 on November 05, 2019, 05:22:03 PM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

I once found a country that was affected by inflation because the country printed its banknotes with a very large amount and was not controlled so as to make the country become devastated and the exchange rate was very severe, so in my opinion if more money was printed then it would make fiat money would affected by inflation.

Basically yes, but of course it depends on how much money they print. Ecomomists know that printing money is possible (it is never safe for country's economy) when exports increase. Then printing money allows country to increase imports. Such behavior only theoretically increases the development of the country's economy. Because it increases the danger that when the export falls, the country will be with a surplus of money. This has happened recently in Argentina and made there huge inflation.

Google+

hero member

Activity: 2464

Merit: 550

Leading Crypto Sports Betting & Casino Platform

Quote from: keyscore44 on November 05, 2019, 05:22:03 PM

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

I once found a country that was affected by inflation because the country printed its banknotes with a very large amount and was not controlled so as to make the country become devastated and the exchange rate was very severe, so in my opinion if more money was printed then it would make fiat money would affected by inflation.

keyscore44

legendary

Activity: 2002

Merit: 1016

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

Don't forget that some fiat money is secured in gold and in gems. So it's not so easy to say it's a bubble.
However, everyone know that governments are still printing fiat money, and unfortunately this is very dangerous for the global economy.

the rise

sr. member

Activity: 2338

Merit: 273

DGbet.fun - Crypto Sportsbook

Quote from: FaMouS8828 on November 04, 2019, 04:50:24 PM

Yeah, fiat money really a bubble and one of the disadvantage it's inflation. You can collect a lot of money but is it have a sense if by twenty years your money will lose a half of value on this money. So, you must know it and not only collect money but also invest and generate more and more money that inflation can't "eat" your money.

policy controls related to government investment can optimize the rate of inflation development, this will save many developed countries and some developing countries, but unfortunately not to other countries. The concept of fiat bubbles is not entirely true because there is socioeconomic control so it is not broken and is always monitored institutionally, and the concept is actually still very potential for bitcoin.

Gozie51

hero member

Activity: 2660

Merit: 630

Vave.com - Crypto Casino

Quote from: JunoCoin on October 23, 2017, 12:37:09 PM

Fiat money is a social contrivance.

Just like government too who are group of people that are either selected or elected to rule. So, any day that it is decided to be withdrawn, the person is made no relevance again. Likewise money.
You call your dog what you want it to answer. So therefore, to that extent, people make money what it is which has the legal backing.

Topic: Fiat Money is a Bubble - page 3. (Read 1815 times)