Ninjastic
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Board Economics
Re: Diversification in Global reserves.
by
slapper
on 17/10/2023, 05:09:27 UTC
Quote from: jaberwock on October 15, 2023, 04:52:41 PM
Quote from: DrBeer on October 14, 2023, 09:57:55 AM
Quote from: RamBahadur.Gurung on October 03, 2023, 04:28:43 PM
At this point, only gold has the capability to be used as the reserve currency of the world. Bitcoin and some of the other cryptocurrencies may rise to that role in the future, but right now they are noway near that. Then there are other bullion currencies such as Silver and Platinum. But the issue with these metals is that they don't have enough liquidity to become store of value.
As history has shown, gold cannot be used as a currency. The value of a currency - money - is in the speed of its movement. I signed the transaction and received the money in minutes. Rhetorical question - how to pay with gold?
Exchange obligations in gold? Voros - how can you be sure that I have in my reserves the 100,500 tons of gold I indicated? Those. a debt obligation in gold is a dummy. However, just like the gold and foreign exchange reserves of countries, there is a nominal indicator, but no one ever allows auditors. The question is why? Smiley
Gold definitely can't be used as a currency, not right now anyway and we are not gold backed fiats anywhere in the world as far as I know which all combine makes it impossible for gold to be used.

But, fiat loses its value due to inflation as well, and this isn't like a single fiat, every single fiat loses its value, some more than others but they all do. That means we need something that can store value as good as gold, but can be easily spent as easy as fiat, what do we have like that? Hmm... Bitcoin? I think so, I believe that I can easily invest into bitcoin, anytime I can spend it then I can, we do need more adoption and more places that accepts it, but all in all I can say that it is the ideal asset right now.
Gold, the timeless symbol of wealth. But as a day-to-day currency? Nah, not happening. There's no gold-backed fiat out there. It's all about trust. Trust in the system, trust in institutions, trust in... well, trust

Inflation, the ever-looming shadow. Each and every currency, and I do mean EVERY fiat, loses value. It must happen. It's in the beast's nature. What then is the solution? What combines the security of gold with the practicality of fiat? Bingo: Bitcoin. Bitcoin is a revolution, not just a digital currency. The time has come. It's revolutionary. But, and this is a big but, we need to increase adoption. There are more outlets for it, more establishments that accept it, and more people who believe in it. Bitcoin may very well become the next big thing once that occurs. Let's embrace the future and write the book on finance