Post
Topic
Board Speculation
Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
by
JayJuanGee
on 23/09/2022, 17:48:34 UTC
Most of the time, I would like to get rid of my fiat rather than holding onto it.. especially in recent times...
Obviously it's better and I agree with your opinion. what you dream of holding only a piece of money for years, of course its value will be lost by several factors such as inflation that cannot be stopped. but you are lucky if you hold 1 BTC for years to come because we know the longer the BTC will be difficult to get due to the limited supply. therefore shop wisely and manage your money for valuable assets in the years to come.

Of course, in that quoted statement I was exaggerating a bit, but in the overall context of my post, you may have realized that I was attempting to highlight a kind of Gresham's law dynamic that almost everyone has built-into them, even if they do not know it and even if they do not know what is Gresham's law.

If people have enough information about short term and longer term likelihoods that various forms of currencies and assets will hold their value, then they are going to spend the one that is least likely to hold its value first, and it sounds easy in theory, but in practice there is a lot of asymmetry of information both in terms of short-to-medium term timelines but also more difficulties in terms of trying to both figure out the future directions and even difficulties for normies to figure out their own time preferences because a lot of people have difficulties with deferred gratification - even if they might think that they are employing deferred gratification practices.

I am not trying to be "holier than thou" here, because everyone has difficulties with these kinds of calculations, even yours truly, and matters become more difficult because we are being lied to on a regular basis regarding money matters - and for sure, the more that we are able to employ critical thinking skills, then the more likely we will be able to employ various kinds of personal protections - and the personal protections are not necessarily going to be the same for everyone, even if some kinds of practices might have superior qualities that would be shared by almost everyone if all of us were to have equal access to the most true of information - and I am not even claiming that I know the truth, either... even if bitcoin does seem to be amongst the truest of possible values since it is designed to be attach value to information in such a way that is both paradigm shifting but quite difficult to corrupt or interfere with - even though it is also tied to human input and there are various way that people try to both gain value from bitcoin but also try to break it.

Of course, bitcoin cannot necessarily be true upon itself because why would any of us value bitcoin if it were not to have potentials to tie back to obtaining material wealth in the real world too.. whether obtaining investment or consumptive goods... whether used by individuals or institutions or governments.. pretty much equally available to friends and enemies.