Topic: I was thinking (Read 2810 times)

That is if you buy now, if you went BTC to gold just over 5 months ago you would have pay what I paid 125BTC per OZ, on a lighter note I paid for dinner for the first time using Bitcoin, and it cost 0.11BTC, wow = my first 2.5 hrs of mining, sorry I bought gold, I'll buy food again.

I still have to get used to the idea that it takes only 11.7 BTC to buy a one oz gold coin. http://www.goldsilverbitcoin.com/product-category/gold/

Of course you can hide inflation - if you are in charge of all the numbers used to calculate that inflation!

We only know if the dollar is losing value against another currency, if that other currency doesn't lose any value.  But f both of them are losing value at the same time, it looks like nothing is happening.

Now mix in all the major currencies, and you end up with all the potential indicators moving in conjunction, or not at all, depending on your view point.

If you want an indication of how the value of fiat is dropping, just check out the value of minor currencies who are not following the same policies - ahh, there aren't any!  So obviously, we have no inflation!

Well you cant hide inflation. But they are changing the calculations to not create mass panics.

Exactly this. I remember watching the crash/collapse of 2008 and thinking "wow this will all go down the drain and implode within a couple of years" and I've been proven wrong. That being said it seems to me that the current system is "incompatible with reality" to put it mildly and like all things, will pass away sooner or later. I'd be glad to see it sooner rather than later - the more it gets postponed the harder the crash and its effects on people around the world will be.

Please read some history, this is how all civilisations behave.  It goes up, it goes down.

If we are to use any guidance, we should look at the last century, and see that what we have now is similar, but only similar to the early 1930s.  We have governments trying to manipulate the economy and we have a lot of instability in different parts of the world.

As I read it, the 2008 crash was directly linked to the actions taken in 1931. All we are seeing now is governments grabbing even more power while trying to ensure that the figures are being made to show that their actions are justified.

If you want to see doom and gloom, you need to add at least a decade or two of misery to see what sort of effect it has.

However, while it would make sense that the whole thing ends in one big war, possibly with the West fighting against Muslims, I don't think our society has the stomach for it.  If that does happen, I would expect it to bubble until at least 2030 when we will have had a whole generation grow up knowing nothing of easy money.  Its the frustration of not being able to get what their parents had at their age which might be enough to bring a fighting spirit to the surface.

However, remember that the government will still be in power and controlling all this like they always do!

As for bitcoins, the concept will live on, but don't expect to collect your pension with the coins in your wallet today!

Maybe by then there will be some fairly well established crypto currencies which can be used to exchange against it Maybe just gold?

We can only hope this will happen though

It remembers me about this movie:

I recommended this to anybody who didn't check this out yet.

http://www.imdb.com/title/tt1503769/

Trailer: http://www.youtube.com/watch?v=C7aNubylpkc

re: Suggestion that we will switch to a world reserve currency backed by gold issued by china/russia/etc:

Any currency BACKED by gold and silver has counterparty risk.

Bitcoin does not have counterparty risk.

Physical gold/silver has significantly less risk but unless you cut all your bars open, you're still hoping that the place you bought it from wasn't putting tungsten rods into everything.

Paper backed with the promise of gold - well you're giving quite a bit of trust to a government, and they've been so honest in the past right?

re: Economic collapse in the next 5 years, the next 5 years, 5 years after, jesus is coming in 2 years, the world will end exactly on this date, yokosan i will decrypt this message in 7 days or quit the forum forever, no i'll really do it this time...
It's happening now. Look at Europe. Look at the states. The only thing keeping most people from admitting it is the media's constant insistence that we are in a recovery despite fundamentals clearly showing otherwise.

There were people who still considered themselves citizens of Rome decades after historians consider the Roman Empire to have ended... don't be one of those clowns

You do know the collapse has being going for a several years now and it gets worse every year? right?

Some government employees will have to be laid off too... Including soldiers coming back home, office clerks being forced to do something productive. Some people would no longer be able to receive food stamps, unemployment benefits would be devalued into oblivion by inflation.
If soldiers suffering from PTSD and angry clerks and unemployed do not scare you, I don't know what would.

Maybe this is why they have dropped the price on Gold from 1800>1300 recently so they can buy as much as they can for cheap.

Nope, it will be people who own companies to build robots which wipe your ass. (Because 80% of the population is now 80+ and can't do it like they used to)

And people holding bitcoins, gold and silver will get stinking rich.

Classical Libertarian propaganda.
A lot of people will just stop receiving capital gains, that's all. Toxic companies "on the stock market" which do nothing but to manage capital will be liquidated.
Oh and some politicians might loose their jobs... (and have a bright jail career)

In 2008 it was the system will be gone five years max. Now it's time... frankly I can't see it. Oh you mean another five years?

They aren't devaluing money slowly, nor in a hidden trail, it's out in the open, central banks are creating money and buying bonds at an amazing rate. If they stop, the entire system will collapse. The stock market goes down every time they ease up a little on the QE throttle, so they must continue creating more money. If they don't, it will collapse anyway, there's nowhere to go but create a new system, with gold as the reserve currency. As for China and Russia, I'm just speculating, it's the speculation forum  , we'll see how it develops in the next years.

Because governments and central banks all over the world will instead work together to instead devalue money. More slowly than instant, but in a hidden trail.

Pensions and all monetary investments will slowly loose their value through carefully pushed hyperinflation masked by using an indicator and creating a "shopping cart" that will readily mask this.

You will loose savings, true. Everyone will. But the system won't collapse. At worst, they will vaporate some savings and put them into other people's pockets to fix their debt and consolidate. At the moment this system is working better than ever before. It is a gold mine for every bank and investment guy in the world. It is absolute horror for the average saver with pension funds.




China and Russia. When hell freezes over. Have you lived in these countries? No way in hell are chinese going to accept any shared currency that is not perfectly under their control. And Russia accepting Chinese control over their currency? Fuck that.

This is not going to happen.

We are already seeing the developments in this area, China as the new superpower, Russia and China buying gold, GLD going down, but demand for physical going crazy, etcetera. China and Russia will team up and come up with a new reserve currency, backed by gold. It can take just 3 to 5 years to see this.

I'd agree it can go in indefinably*, but eventually you get pissed off, and start wondering why your savings are diminishing and your investments are delisting, and you find Bitcoin. 
I think this dissolution stage with the banks will take 10 to 15 years and we will see a global reserve currency before anything collapses.

*Earth a finite Planet being the one caveat as the perpetual banking motion machine requires growth.