Post
Topic
Board Speculation
Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
by
brg444
on 19/10/2015, 05:53:48 UTC
If everyone and their rich friends are using Bitcoin to preserve their monetary sovereignty why would they ever convert their money back to fiat?

Because Scrooge McDuck diving into a vault-full of gold is a cartoon and not real. People with wealth generally want to do things with it. Buy yachts, build Casinos, hookers and blow, all that. And that requires a currency that others transact in.

 Roll Eyes

You cannot be serious....

So savings are not a thing anymore? I guess that's how serious the fiat economy has mindfucked everyone's brain...

I guess you are right if you think of bitcoins as dollars, which they are not but to entertain the idea:

Quote
The problem inflationary currency bestows upon capital allocators is insolvable. They are given money of no certain value (pretty much the only sure thing about the paper currency is that it is, literally, burning in your hands, it ticks away like a bomb, it blows in the wind like dust - all this while you're holding it) and have to do something with it. They always, always, always, absolutely always have more than is in fact needed.

http://trilema.com/2012/the-problem-of-too-much-money/#selection-163.0-163.438

Fortunately we all know this is actually not the case and seeing as Bitcoin is deflationary by nature one should be well advised to consider hoarding that shit as long as reasonably possible.


Bitcoin isn't deflationary. And ZIRP / NIRP is what has killed savings and by extension has changed the rules of capitalism.

Not yet, indeed (but fixed supply and all that...). And no.

I'd suggest you go read the article linked to better understand. It's explained very well. "Capital misallocation" are the key words here.