Post
Topic
Board Economics
Re: Is Bitcoin the future of the global economy or just another commodity like Gold?
by
deisik
on 13/05/2020, 20:38:42 UTC
Imagine having worth $100 now then you wake up with $10 left due to volatility

The other option is as bad

That is, you wake up one morning and Bitcoin has risen x10 overnight. It looks like you have become wealthier but there is no free lunch (for all), and thus someone has to pay for such an increase. In this case it will be producers whose profits, or more specifically, profit margins, turn negative. At first, you will be able to buy more with as many coins but then the production will plunge and you won't be able to buy anything cause you'll get fired