This is and old and complex subject and always fascinating to discuss
How the world and economy will react when this method can't work anymore?
People are saying a crisis will hit us soon or later, and the consequences will be huge
Now we have BTC and cryptos, the idea of cryptos is opposite to this money created of thin air, how the world is going to react?
Some people are expecting a massive usage of BTC in a crisis
Topic: Proof that bitcoin is needed, even by developed countries such as US of A - page 3. (Read 581 times)
September 18, 2019, 10:40:41 AM
September 18, 2019, 09:58:35 AM
I don't think a small inflation such as 2% is a problem, as long as there is a place to keep your money safe from that (like 2% interest rates)
I was reading recently about deflation problems (this is what bitcoin will be facing soon, as many bitcoins are lost forever and very few created)
Deflation is problematic and it may aggravate recessions.
Bitcoin will be an alternative to fiat,and they will coexist. I believe bitcoin will work much more as a digital gold and cash (for remisses and things that are difficult to buy due to taxes or whatever)
I was reading recently about deflation problems (this is what bitcoin will be facing soon, as many bitcoins are lost forever and very few created)
Deflation is problematic and it may aggravate recessions.
Quote
https://en.m.wikipedia.org/wiki/Deflation
Economists generally believe that deflation is a problem in a modern economy because it increases the real value of debt, especially if the deflation is unexpected. Deflation may also aggravate recessions and lead to a deflationary spiral.[3][4][5][6][7][8][9]
Deflation usually happens when supply is high (when excess production occurs), when demand is low (when consumption decreases), or when the money supply decreases (sometimes in response to a contraction created from careless investment or a credit crunch) or because of a net capital outflow from the economy. It can also occur due to too much competition and too little market concentration.
Economists generally believe that deflation is a problem in a modern economy because it increases the real value of debt, especially if the deflation is unexpected. Deflation may also aggravate recessions and lead to a deflationary spiral.[3][4][5][6][7][8][9]
Deflation usually happens when supply is high (when excess production occurs), when demand is low (when consumption decreases), or when the money supply decreases (sometimes in response to a contraction created from careless investment or a credit crunch) or because of a net capital outflow from the economy. It can also occur due to too much competition and too little market concentration.
Bitcoin will be an alternative to fiat,and they will coexist. I believe bitcoin will work much more as a digital gold and cash (for remisses and things that are difficult to buy due to taxes or whatever)
September 18, 2019, 08:28:24 AM
One possible reason why bitcoin was made is because of the non-transparent and over printing of US dollars. This could be one of the reason why some people are starting to join into the cryptocurrency world and use bitcoin. But it is still too early for bitcoin to replace bitcoin since the world is not ready yet. One day when there will be another global economic recession due to the overprinting of US dollars a big number of the populace will be migrating into bitcoin.
September 18, 2019, 07:06:03 AM
According to this article
"The US Quietly Printed $75 Billion out of Thin Air (For the Banks)."
FIAT, as everyone knows, can be printed out of thin air. They used to back it with gold, but they gave that up some fifty years ago. Real inflation is about 1 percent in Europe and USA but they increase that to about 2-2.5 percent by printing some money every year.
According to this news source, this time, the USA printed an unprecedented amount of money, 75 Billion dollars! Yes, that is with a B and not with an M.
Bitcoin has a limited supply and cannot be governed by governments or presidents. That is why they are afraid of it!
I predict Bitcoin price will skyrocket soon
"The US Quietly Printed $75 Billion out of Thin Air (For the Banks)."
FIAT, as everyone knows, can be printed out of thin air. They used to back it with gold, but they gave that up some fifty years ago. Real inflation is about 1 percent in Europe and USA but they increase that to about 2-2.5 percent by printing some money every year.
According to this news source, this time, the USA printed an unprecedented amount of money, 75 Billion dollars! Yes, that is with a B and not with an M.
Bitcoin has a limited supply and cannot be governed by governments or presidents. That is why they are afraid of it!
I predict Bitcoin price will skyrocket soon
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