Printing an additional 10% of the money for a period of two or three months will not contribute to the collapse of the economies, but the continuation of home quarantine may cost a lot.
countries will start easing restrictions and returning to normal, but they will be costly and psychologically expensive.
If the epidemic is to spread again, the economy may lose all the benefit that has been achieved by reducing the epidemic and social divergence measures.
Strict laws are the solution.
Topic: Is global adoption of Bitcoin possible post-Covid? - page 3. (Read 823 times)
I will disappoint you, but everyone around you already knows that the world economy is like a house of cards - once the wind blows, everything will collapse. What does btc have to do with it?
Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
Use it for B2B calculation? Same.
And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
That is one of the flaws in OP's argument, the decentralize status of bitcoin is a big factor that every country should consider, in my opinion, it is not the volatility that is maing a break for bitcoin to become a mainstream currency but the fact that the global reserve of bitcoin is too small for the world's population. Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
Use it for B2B calculation? Same.
And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
I will disappoint you, but everyone around you already knows that the world economy is like a house of cards - once the wind blows, everything will collapse.
no i didnt knew that yet but thanks for letting me know . economy is pretty weak as you define it but every country has its own weakness and strenghts , not all are the same .What does btc have to do with it?
Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
btc is a money and are already part of the economy ever since we knew it . whether you like it or not , there will be btc users and they use thier btc for paying if not for investing .Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
Use it for B2B calculation? Same.
And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
well we knew that is volatile . people just take it or leave it . And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
I will disappoint you, but everyone around you already knows that the world economy is like a house of cards - once the wind blows, everything will collapse. What does btc have to do with it?
Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
Use it for B2B calculation? Same.
And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
Use as a means of payment in the domestic market between the buyer and the seller? There is no infrastructure, slow speed, lack of regulation, and so on.
Use it for B2B calculation? Same.
And you should assume volatility. You bought a pizza for 0.0003 btc which is equal to 10 bucks, and after 5 minutes it is already 15 and you just can't stop crying. Well, maybe that's enough, huh? You are talking about inflation and as an alternative to trampoline offers Russian roller coasters. Everything okay?
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
We already experienced a stock market crash and Bitcoin followed it. An then Bitcoin recovered simultaneously with stocks. If we'll have a true economic crisis, people won't be buying Bitcoin, they will be selling their assets, including Bitcoin, to buy toilet paper, figuratively speaking. People want Bitcoin to be digital gold and a hedge against global economy, but it can't become such thing as long as it is a volatile speculative investment.
There's truth to your words because people invest whan they have an abundance of everything. When they already have a house, a car and a steady job they think about gambling, stocks, bitcoin.
You can see the same situation in cryptocurrencies. When Bitcoin goes to new highs people take some profits and gamble with it or buy shitcoins but when Bitcoin goes down people dump their shitcoins much faster and much harder.
If the world economy crashes both stocks and cryptocurrencies will go down with it.
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
We already experienced a stock market crash and Bitcoin followed it. An then Bitcoin recovered simultaneously with stocks. If we'll have a true economic crisis, people won't be buying Bitcoin, they will be selling their assets, including Bitcoin, to buy toilet paper, figuratively speaking. People want Bitcoin to be digital gold and a hedge against global economy, but it can't become such thing as long as it is a volatile speculative investment.
Crashing of stock markets of those countries which are affected by this pandemic are the main struggle right now. It is not that easy to handle economic issues during this pandemic because it is hard to open businesses right now, but the use of Bitcoin is much easier to do. Bitcoin is a digital currency which we can use without even a single physical transaction.
It can be transferred using connection and I know that our technology is continuously advancing and most of us right now have an internet connections. It is easy for us to adopt bitcoin globally once we try to help its promotion and support the use of it depending on the market situation. After this pandemic, this will probably make a way for some people to invest in bitcoin.
post covid when we know going out is safer. no businesses will likely accept BTC especially if they dont know about it right now. all they'd rather want today are subsidies from government. an assurance that we and our kids dont die in hunger in the coming months.
there is no room for bitcoin adoption today. there are still payment method apart from cryptocurrency which governments will approved. bitcoin isn't on their list.
Indeed. We cannot push for it now just because there is a pandemic, I know cryptocurrencies are made for this situation but so are the other digital payment. Having it with crypto is a great move, but there is just greater for now. Based on the visualization below, I think the adoption of bitcoin as a buffer for the world economy to replace fiat currencies that digitalization is not possible after the pandemic because the more a country's crisis increasingly narrows the choice to be free from the grip of the dollar. We can take the example of Venezuela, an example of the case that the adoption of bitcoin in that country cannot reverse the economic situation in that country. The main goal of humans in the world is wealth but money in any form may not be a solution given the complexity of competition and interests between countries.
Bitcoin adoption is possible if the one who creates and controls the world economic system gives up its hegemony to the blockchain. But I don't think it's possible because the amount of bitcoin isn't enough to accommodate the amount of fiat that has.
https://www.visualcapitalist.com/all-of-the-worlds-money-and-markets-in-one-visualization-2020/
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
We already experienced a stock market crash and Bitcoin followed it. An then Bitcoin recovered simultaneously with stocks. If we'll have a true economic crisis, people won't be buying Bitcoin, they will be selling their assets, including Bitcoin, to buy toilet paper, figuratively speaking. People want Bitcoin to be digital gold and a hedge against global economy, but it can't become such thing as long as it is a volatile speculative investment.
Is global adoption of Bitcoin possible post-Covid?
Global adoption of Bitcoin would increase no matter if covid-19 would happen or not. All this printing money to give to people and companies will once make it faster. We see that the global number of new daily cases is increasing. So much more printing will be needed. Vaccine will not be widely available before winter.
Global adoption of BTC is only possible when the people who invest in BTC treat it primarily as a payment currency and investment asset secondarily.
But this is not the case for us, people, now with bitcoin. As you can see, the price is quite stable in $9K to $10K range, it is just sitting around that price point and that means, the buying and selling is constant, the trading is wild. And the resistance? the holders who want to do a long term investment on bitcoin which I can conclude that people want bitcoin as a form of investment rather than a daily driver currency. Conditions like government approval, economic issues, natural disasters etc will definitely not have a major affect in this case and history has taught us that much.
We only deal with the positivity towards bitcoin because we haven't had that problems yet, if we come to adopt bitcoin then we will surely encounter its problem too. It's been more than a decade since BTC and crypto were introduced into this world and I feel like many more decades need to pass for global adoption of BTC to actually become a reality.
A decade is still a short amount of time for technology like this, you see how services provider being hacked and stolen, that only means that the security is still got a huge room for improvement.
We actually do have data on how much money does USA owe to China and it is around 2.1 trillion dollars. I used to say that it was a huge amount because lets face it 2.1 trillion is a big big amount and their total debt was 20 trillion dollars so around 10% of all their debt was to China.
However they recently printed out 4 trillion dollars for relief which means there is really not that much of a trouble for them to pay something like that. Also there is no reason to actually lease your land to china or whatever, you give treasury bonds that worths that much and they will be able to collect it when the time comes, or they could sell it to willing buyers as well who usually buy for cheaper. Business model of China is not really sustainable but they don't know what to do and how to do it better so all they get is worthless bonds when countries can't pay.
However they recently printed out 4 trillion dollars for relief which means there is really not that much of a trouble for them to pay something like that. Also there is no reason to actually lease your land to china or whatever, you give treasury bonds that worths that much and they will be able to collect it when the time comes, or they could sell it to willing buyers as well who usually buy for cheaper. Business model of China is not really sustainable but they don't know what to do and how to do it better so all they get is worthless bonds when countries can't pay.
Global adoption of BTC is only possible when the people who invest in BTC treat it primarily as a payment currency and investment asset secondarily.
Conditions like government approval, economic issues, natural disasters etc will definitely not have a major affect in this case and history has taught us that much.
COVID has helped make digital payment methods more popular though when compared to physical FIAT. However, it has had low impact on the crypto world clearly which is why global adoption here is clearly out of the question.
It's been more than a decade since BTC and crypto were introduced into this world and I feel like many more decades need to pass for global adoption of BTC to actually become a reality.
Conditions like government approval, economic issues, natural disasters etc will definitely not have a major affect in this case and history has taught us that much.
COVID has helped make digital payment methods more popular though when compared to physical FIAT. However, it has had low impact on the crypto world clearly which is why global adoption here is clearly out of the question.
It's been more than a decade since BTC and crypto were introduced into this world and I feel like many more decades need to pass for global adoption of BTC to actually become a reality.
The biggest development standing in Bitcoin's way to progress is stock markets becoming like shitcoins. Most people enter BTC to make more dollars, they don't give a toss about its qualities but hopefully down the line its true virtues dawn on them.
With new apps like Robinhood and governments signalling willingness to do anything to keep things buoyant people will go straight there.
With new apps like Robinhood and governments signalling willingness to do anything to keep things buoyant people will go straight there.
I get your point,but this still doesn't prove that Bitcoin is going to be globally adopted.
Do you really think that the global "debt trap" problem is going to be solved by the governments adopting Bitcoin and dumping their national currencies?I don't think so.Bitcoin being adopted as a global currency means that governments will lose control over their monetary power.No government in the world would want to lose a part of it's power and authority.
Do you really think that the global "debt trap" problem is going to be solved by the governments adopting Bitcoin and dumping their national currencies?I don't think so.Bitcoin being adopted as a global currency means that governments will lose control over their monetary power.No government in the world would want to lose a part of it's power and authority.
--snipped
Bitcoin might be a good option if the price will go up during these times. Although cryptocurrency, especially BTC, are the major thing for me now, I am not just stopping with it. I am also looking into other assets as well. And I was seeing a news on Cointelegraph today that an allocation from institutions could be driving the market price to $50,000. So, Bitcoin is a really good asset to gold now.Quote
developing economies just run into Hyper-Inflation.
Yes inflation in developing countries could be worst since government can not feed all the people, large population and illiteracy rate is always high in these country which leads to poor management as whole. Businesses are ran by wealthy and employment goes to educated. Again the question arise for illiterate population and they become unsecured in terms of buying even food, consumable and daily needs. Even the educated ones in developing countries hardly gets any job, because they are always biased. And just like you have said, companies are owned by the rich and jobs are usually gotten through the connections. Those that are educated but from poor families finds it difficult to get any job. As for those children from rich families, it’s always just a piece of cake.
Now that, the whole world is in sort of an Economic Outrage due to Covid, It is worthwhile to note that every Government around the world has announced certain fiscal stimulus to boost up the economy once again. Every country has given aroud a 5-20% Fiscal package. Here is a summary of major countries:
So if we look at this metric we would realize that every country has increased liquidity in hands of people by this much percentage. Now where will this money come from? See considering that there won't be much gains in hands of people and less purchasing due to Covid chances are Tax collections which were expected to Increase Y-O-Y might even go down. Therefore countries would be having just two remaining options:
So if it's so easy then what's the problem ?
The problem is once again what it has already been. Creating money out of thin air devalues money and creates Inflation. Now most of the investors around the world are worried regarding the demon of "INFLATION" . Now it's a well known fact that inflation backed without by any Economic Growth could lead the country into a hyper inflationary stage. So, while the Countries are printing money relentlessly to fight economy distortion chances are few developing economies just run into Hyper-Inflation. We have seen such a case happening with Zimbabwe previously. Here is once again when Bitcoin comes into action. Here is how it looked for Zimbabwe :
Now this is not the only issue second issue is: DEBT TRAP. While most of the developing economy have been liberal in giving loans to individual and businesses. Now when businesses won't be able to pay back the loan. Countries are resorting to restructuring their debt by giving them more Debt. So this could create a situation of a debt Trap pretty similar to one we saw in 2008 only that was more specific to housing sector. Now this would be more devastating as Small businesses and unorganized sector is backbone for developing countries. Now once again people would realize how easily the Debt Trap can fall like a house of cards.
Interesting point to note here is China. China has been very aggressive in providing debt to various countries around the world and due to Covid most of the countries now might not be able to repay China. Moreover, External borrowing from some other Country like US would also not be possible due to stressed conditions in almost every country. Here is a map about how much debt does every country has to China :
Now here chances are that countries might have to lease out their territory to China as a repayment of these borrowings.
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
So if we look at this metric we would realize that every country has increased liquidity in hands of people by this much percentage. Now where will this money come from? See considering that there won't be much gains in hands of people and less purchasing due to Covid chances are Tax collections which were expected to Increase Y-O-Y might even go down. Therefore countries would be having just two remaining options:
- 1. Deficit Financing: The most obvious answer for every country. For people who don't know what is deficit financing. It's basically printing of money by the Central bank who then gives it as a loan to the Government. But considering that economies around the world already have a deficit financing of average 3-5% Post covid deficit financing rates may go up to 10% therefore Governments might print a whole lot of money than what they expected almost double. This option is more suitable for Stable Economies.
- 2. Approaching the IMF: Now this is a less preferred option as it is an external borrowing which comes with a cost attached to it. Moreover IMF could also be a bit reluctant in relentless lending. But this is a viable option for developing Economies.
So if it's so easy then what's the problem ?
The problem is once again what it has already been. Creating money out of thin air devalues money and creates Inflation. Now most of the investors around the world are worried regarding the demon of "INFLATION" . Now it's a well known fact that inflation backed without by any Economic Growth could lead the country into a hyper inflationary stage. So, while the Countries are printing money relentlessly to fight economy distortion chances are few developing economies just run into Hyper-Inflation. We have seen such a case happening with Zimbabwe previously. Here is once again when Bitcoin comes into action. Here is how it looked for Zimbabwe :
Now this is not the only issue second issue is: DEBT TRAP. While most of the developing economy have been liberal in giving loans to individual and businesses. Now when businesses won't be able to pay back the loan. Countries are resorting to restructuring their debt by giving them more Debt. So this could create a situation of a debt Trap pretty similar to one we saw in 2008 only that was more specific to housing sector. Now this would be more devastating as Small businesses and unorganized sector is backbone for developing countries. Now once again people would realize how easily the Debt Trap can fall like a house of cards.
Interesting point to note here is China. China has been very aggressive in providing debt to various countries around the world and due to Covid most of the countries now might not be able to repay China. Moreover, External borrowing from some other Country like US would also not be possible due to stressed conditions in almost every country. Here is a map about how much debt does every country has to China :
Now here chances are that countries might have to lease out their territory to China as a repayment of these borrowings.
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
It is be possible for the global adoption of bitcoin post covid 19. But the government is the main problem. Most of the country is democratic in which people have the rights to say something or to ask the government for what they want to know or to happen ,but in overall the government will decide.
At this pandemic situation ,most of the people lost their job and the unemployment keep on increasing as the goes by. Bitcoin could help the people have work in crypto if there will be a proper education regarding the cryptocurrency.It could be an alternative solution for every countries economic and unemployment problem. But we can't avoid the fact that bitcoin is like a flame for the government that they will be burn if they will touch it.
Adoption of bitcoin at the middle of pandemic will only visible if government accept it and allowing people to learn,to educate and to use it like a traditional fiat money.
post covid when we know going out is safer. no businesses will likely accept BTC especially if they dont know about it right now. all they'd rather want today are subsidies from government. an assurance that we and our kids dont die in hunger in the coming months.
there is no room for bitcoin adoption today. there are still payment method apart from cryptocurrency which governments will approved. bitcoin isn't on their list.
Indeed. We cannot push for it now just because there is a pandemic, I know cryptocurrencies are made for this situation but so are the other digital payment. Having it with crypto is a great move, but there is just greater for now. Now that, the whole world is in sort of an Economic Outrage due to Covid, It is worthwhile to note that every Government around the world has announced certain fiscal stimulus to boost up the economy once again. Every country has given aroud a 5-20% Fiscal package. Here is a summary of major countries:
So if we look at this metric we would realize that every country has increased liquidity in hands of people by this much percentage. Now where will this money come from? See considering that there won't be much gains in hands of people and less purchasing due to Covid chances are Tax collections which were expected to Increase Y-O-Y might even go down. Therefore countries would be having just two remaining options:
So if it's so easy then what's the problem ?
The problem is once again what it has already been. Creating money out of thin air devalues money and creates Inflation. Now most of the investors around the world are worried regarding the demon of "INFLATION" . Now it's a well known fact that inflation backed without by any Economic Growth could lead the country into a hyper inflationary stage. So, while the Countries are printing money relentlessly to fight economy distortion chances are few developing economies just run into Hyper-Inflation. We have seen such a case happening with Zimbabwe previously. Here is once again when Bitcoin comes into action. Here is how it looked for Zimbabwe :
Now this is not the only issue second issue is: DEBT TRAP. While most of the developing economy have been liberal in giving loans to individual and businesses. Now when businesses won't be able to pay back the loan. Countries are resorting to restructuring their debt by giving them more Debt. So this could create a situation of a debt Trap pretty similar to one we saw in 2008 only that was more specific to housing sector. Now this would be more devastating as Small businesses and unorganized sector is backbone for developing countries. Now once again people would realize how easily the Debt Trap can fall like a house of cards.
Interesting point to note here is China. China has been very aggressive in providing debt to various countries around the world and due to Covid most of the countries now might not be able to repay China. Moreover, External borrowing from some other Country like US would also not be possible due to stressed conditions in almost every country. Here is a map about how much debt does every country has to China :
Now here chances are that countries might have to lease out their territory to China as a repayment of these borrowings.
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
So if we look at this metric we would realize that every country has increased liquidity in hands of people by this much percentage. Now where will this money come from? See considering that there won't be much gains in hands of people and less purchasing due to Covid chances are Tax collections which were expected to Increase Y-O-Y might even go down. Therefore countries would be having just two remaining options:
- 1. Deficit Financing: The most obvious answer for every country. For people who don't know what is deficit financing. It's basically printing of money by the Central bank who then gives it as a loan to the Government. But considering that economies around the world already have a deficit financing of average 3-5% Post covid deficit financing rates may go up to 10% therefore Governments might print a whole lot of money than what they expected almost double. This option is more suitable for Stable Economies.
- 2. Approaching the IMF: Now this is a less preferred option as it is an external borrowing which comes with a cost attached to it. Moreover IMF could also be a bit reluctant in relentless lending. But this is a viable option for developing Economies.
So if it's so easy then what's the problem ?
The problem is once again what it has already been. Creating money out of thin air devalues money and creates Inflation. Now most of the investors around the world are worried regarding the demon of "INFLATION" . Now it's a well known fact that inflation backed without by any Economic Growth could lead the country into a hyper inflationary stage. So, while the Countries are printing money relentlessly to fight economy distortion chances are few developing economies just run into Hyper-Inflation. We have seen such a case happening with Zimbabwe previously. Here is once again when Bitcoin comes into action. Here is how it looked for Zimbabwe :
Now this is not the only issue second issue is: DEBT TRAP. While most of the developing economy have been liberal in giving loans to individual and businesses. Now when businesses won't be able to pay back the loan. Countries are resorting to restructuring their debt by giving them more Debt. So this could create a situation of a debt Trap pretty similar to one we saw in 2008 only that was more specific to housing sector. Now this would be more devastating as Small businesses and unorganized sector is backbone for developing countries. Now once again people would realize how easily the Debt Trap can fall like a house of cards.
Interesting point to note here is China. China has been very aggressive in providing debt to various countries around the world and due to Covid most of the countries now might not be able to repay China. Moreover, External borrowing from some other Country like US would also not be possible due to stressed conditions in almost every country. Here is a map about how much debt does every country has to China :
Now here chances are that countries might have to lease out their territory to China as a repayment of these borrowings.
People around the world will realize that how easy it is for an economy to crash. I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
It is be possible for the global adoption of bitcoin post covid 19. But the government is the main problem. Most of the country is democratic in which people have the rights to say something or to ask the government for what they want to know or to happen ,but in overall the government will decide.
At this pandemic situation ,most of the people lost their job and the unemployment keep on increasing as the goes by. Bitcoin could help the people have work in crypto if there will be a proper education regarding the cryptocurrency.It could be an alternative solution for every countries economic and unemployment problem. But we can't avoid the fact that bitcoin is like a flame for the government that they will be burn if they will touch it.
Adoption of bitcoin at the middle of pandemic will only visible if government accept it and allowing people to learn,to educate and to use it like a traditional fiat money.
--snipped
Bitcoin might be a good option if the price will go up during these times. Although cryptocurrency, especially BTC, are the major thing for me now, I am not just stopping with it. I am also looking into other assets as well. And I was seeing a news on Cointelegraph today that an allocation from institutions could be driving the market price to $50,000. So, Bitcoin is a really good asset to gold now.Quote
developing economies just run into Hyper-Inflation.
Yes inflation in developing countries could be worst since government can not feed all the people, large population and illiteracy rate is always high in these country which leads to poor management as whole. Businesses are ran by wealthy and employment goes to educated. Again the question arise for illiterate population and they become unsecured in terms of buying even food, consumable and daily needs. Even the educated ones in developing countries hardly gets any job, because they are always biased. And just like you have said, companies are owned by the rich and jobs are usually gotten through the connections. Those that are educated but from poor families finds it difficult to get any job. As for those children from rich families, it’s always just a piece of cake.
Global adoption is possible, no adoption is also possible. The future is full of uncertainty.
But why the narrative always, hyperinflation, crisis, doomsday, and then adoption, while it is not mutually exclusive? You can have global Bitcoin adoption without any of that stuff. And you can have no adoption after those events occur.
But why the narrative always, hyperinflation, crisis, doomsday, and then adoption, while it is not mutually exclusive? You can have global Bitcoin adoption without any of that stuff. And you can have no adoption after those events occur.
Probably yes, there are people right now who are engaging in the use of bitcoin as they are staying at their home. There are also people who are using bitcoin in their transaction because it is contact less and easy to send with the use of technology and connections. The only problem in bitcoin is that it is very volatile in the market.
But people need to deal with that if they are willing to use bitcoin as their assets.
I heard about those Australian post office who already accept bitcoin and I'm hoping for more adoption after or during this Covid-19 pandemic.
Nothing is impossible if we really want to earn a huge profits and grow in life. We can also help and contribute to the global adoption of bitcoin just by using it.
Quote
where will this money come from?
What I understand from the government decisions made into last stimulus package the was actually bought from the bank of reserves (respective country has different names) where they keep portion of money in safe deposits all the time. This is why it's called as reserve bank. They use this money in the same situation as we are in "the emergency". This helps push ahead the economic conditions of country and try to stabilise it.
However each country has limited supply and surely this cause the second problem here as stated in your post and that :- Inflation
Global adoption is possible, no adoption is also possible. The future is full of uncertainty.
But why the narrative always, hyperinflation, crisis, doomsday, and then adoption, while it is not mutually exclusive? You can have global Bitcoin adoption without any of that stuff. And you can have no adoption after those events occur.
It's because if you see the past revolutions have never come during normalcy. For instance if you even see the introduction of Fiat Currency. The world war II was the reason why governments shifted from Gold Pegged currency to US Dollar pegged currency which would be pegged further to gold. But post that President Nixon couldn't find the solution to maintain gold prices and that ended this system also and system got converted to Fiat. Why would you think any government would allow use of bitcoin in normalcy? They can pretty easily ban it China has showed the world how to do it properly.But why the narrative always, hyperinflation, crisis, doomsday, and then adoption, while it is not mutually exclusive? You can have global Bitcoin adoption without any of that stuff. And you can have no adoption after those events occur.
I think these issues are already what Bitcoin is striving to fight with but in current times they seem to be more deadly. Bitcoin is providing a practical solution for it at-least as a stable alternative to Fiat.
Bitcoin was created during the aftermath of the 2008 recession and many assumed it was meant to correct the failures of the banking sector and salvage the economy, these however is not stated anywhere in the white paper. I don't think Bitcoin was created to prevent the collapse of global economies or to thrive in crisis. It's a trustless peer-to-peer payment option that gives the public an alternative. It may or may not be the solution to a global crisis. Pros and cons;
• Bitcoin can be used to prevent inflation caused by debit financing due to its limited supply, but if more people held due to less spending there'll be more demand than supply and could lead to deflation.
• On the debt issue, Bitcoin can only be used to finance debts if it became globally accepted and it would function like any financial tool in this regards. It wouldn't prevent debtors from losing part of their territory if they can not repay their loans.
• It can be used as a hedge fund for those who want to escape the uncertainty of their local currency.
How Bitcoin would function in the future either as a staple currency or an alternative to fiat is yet to be seen and with time and adoption it would mature into the currency of the future
scenario.
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