Post
Topic
Board Economics
Re: Fiat Money is a Bubble
by
ecnalubma
on 07/11/2019, 11:56:45 UTC
Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.
Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.