I just want to gauge everyone's knowledge here (please don’t do too much research).
I would like to hear your thoughts based on your existing knowledge and intuition.
How do you think Bitcoin can help countries experiencing hyperinflation such as Venezuela, Zimbabwe, and more recently, Sudan and Lebanon?
We (bitcoin enthusiast) often preach that investing in Bitcoin is a hedge against inflation.
If inflation is the main problem in these countries, how do you think Bitcoin could help solve their economic crisis?
I would like to hear your thoughts based on your existing knowledge and intuition.
How do you think Bitcoin can help countries experiencing hyperinflation such as Venezuela, Zimbabwe, and more recently, Sudan and Lebanon?
We (bitcoin enthusiast) often preach that investing in Bitcoin is a hedge against inflation.
If inflation is the main problem in these countries, how do you think Bitcoin could help solve their economic crisis?
Well, Bitcoin is the next "digital Gold". Right? Its intrinsic properties (low supply, most decentralized crypto in the world, portability, etc) make it the best store of value (and sound money) in the world. Countries can benefit from Bitcoin by investing on it gradually. Sort of like how El Salvador is doing right now. It's been buying and "hodling" BTC without any indications of selling anytime soon. I'd expect market prices to go higher rising in par with rising inflation rates. The higher the inflation, the more "valuable" Bitcoin will be in Fiat terms. "Hodlers" will certainly have more purchasing power as a result.
I'm afraid most governments will enrich themselves with BTC, while the rest of the people will remain living in poverty. So having Bitcoin on their reserves it's not a guarantee the economy will improve. It all depends on the government itself. At least, you can be your own bank with Bitcoin. It's better than holding plain-old Fiat.
