Okay, but my point was its never gonna go away (just like drugs and prostitution will never go away)
Dalio sees 'good probability' bitcoin gets outlawed.
- Thread starter Ceiling Cat
- Start date
If a government backed crypto is introduced it will make crypto as we know it undesirable to many people. The crypto that exist today is not backed, just as FIAT currencies are not backed but you have the country backed note that has credibility because of the long history that it has worth. Bitcoin can go belly up at anytime and you will have no place to make a claim or anyone to charge with a crime. Even Canadian Tire money has a longer history of value than crypto. Recently the crypto world was rocked when there was a hint that the U.S. government would crack down on criminal transfers wealth.
If the governments of the world starts to track crypto the criminals will have no use for it.
As I've said. China just signed a five year deal with VeChain for supply chain management. African Nations announcement coming this Thursday with ADA Cardano. New Zealand Govt buying for their pension plan. China mining it. Several NY investment houses adding desks and accumulating it.
Part of this is big players trying to knock out little guys with rumours from big Govt. And an attempt to control it. This isn't a physical commodity that the USA can use their hard or soft power to control.
You can't use the military to invade the internet. Soon crypto will become the currency of choice in many nations with no banking system. And in about five years the prices will stabilize to reflect that. Until them I'm holding and trickling in. And will make money.
Depends on who. African nations are about to adopt Cardano as a payment option and neans to stote wealth. Once its established why switch?
If you ever studied Macroeconomics, you know that deflation and the lost of monetary policy are the two things that can drive a country in a big recession and "limited supply" crypto is exactly that: deflation and loss of monetary policy. So, no stable government will ever give up their currency and allow bitcoin to be used in its place. When they will feel a real threat, they can easily classify its as a commodity and tax the hell of its appreciation (which it already does for any other assets like gold, land, or real estate) and may even tax the transactions (like HST tax). This will make crypto very unattractive and costly to deal with, leaving only China, Africa, and South America being the primary users.
Well, it will definitely not go away in the next few decades, but if the price will decrease by 1000 times and the hype will go away, it will be too small to worry about.
They won't have a choice. Its already being used. Will it replace it? Not anytime soon. Will it be used? Yup.
And The DOJ is presently using a lawsuit against XRP/Ripple to try to classify it as a commodity. And losing steadily. In no small part because of discovered documents that show the SEC said it wasn't one.
Its many things. Its a fundraising tool, a computer program, a currency, an investment tool. And most of all freedom from monetary policy. At the rate nations are printing money it may well end up as more stable than fiat.
Its the future.
Venezuela replaces national currency with bitcoin - Chris Skinner's blog
In a fascinating move Venezuela, which has been a basket-case economy ever since Hugo Chavez died in 2013, has dropped their national currency (the bolivar) and any ties to the US dollar, and decided to link their national currency to bitcoin instead. This follows years of hyperinflation where...
thefinanser.com
Evidently Venezuela has replaced their currency with crypto, the reason they have done that is their old currency the Bolivar was worth less than toilet paper at one point.
And as more nations move towards this model or one where it is accepted along side local currency so will multinational corporations who want to do business in these nations. The same multinational corps who fund the politicians and lobbyists.Venezuela replaces national currency with bitcoin - Chris Skinner's blog
In a fascinating move Venezuela, which has been a basket-case economy ever since Hugo Chavez died in 2013, has dropped their national currency (the bolivar) and any ties to the US dollar, and decided to link their national currency to bitcoin instead. This follows years of hyperinflation where...
Evidently Venezuela has replaced their currency with crypto, the reason they have done that is their old currency the Bolivar was worth less than toilet paper at one point.
Only the countries that have a currency worth less than toilet paper will want to link their currency to any sort of crypto. Any nation that use crypto will lose control of their GDP.
This. But to understand that, people need to learn basics of Macroeconomics, not to self-educate themselves by reading what they chose to read based on the self-confirmation bias. However, on the bright side, If currencies would have being linked to crypto (or most of prices would have set in cryprtos), the will be no economy shutdown during COVID since no government would be able to provide any relief payments and the economy will be dead in a few months and it would took decades to recover. Deflation kills investment.Only the countries that have a currency worth less than toilet paper will want to link their currency to any sort of crypto. Any nation that use crypto will lose control of their GDP.
Bitcoin definitely started something... but it will not be there in the end.
I still think it was a test run for what's coming. They know blockchain works now. The Centralized cryptos are next.
Bitcoin can't process enough transactions per minute to be the next big thing. It has set the stage and got people thinking about it, but the big one is going to be something else.
