Chinese Economics Thread
- Thread starter Norfolk
- Start date
bitcoin and cryptocurrencies are a threat to the national sovereignty of a nation's ability to mint currency;
there's a popular theory in the cryptospace that BTC is a CIA plot
antiterror13
Brigadier
well, perhaps they have made $$$ enough and selling it fast while the price was high .. good luck who still keep them
Why is Bitcoin better than any of the other of the hundreds of alternatives?
Bitcoin transactions are designed to be slow and electricity-hungry.
Actually BTC is a plot to weaken the gold and silver as true currency and promoting more the fiat currency as an alternative to gold. After 40+ years experiment of temporary suspending the gold standard to a more permanent suspension, the ill effects of removing gold from money are everywhere to see.
-uncontrolled debt; from government expenses down to household expenses down to personal expenses
-because of so much debt, the supply of money of course will increase, which will lead to more inflation. we always hear from the elders how much they can buy for just 1 unit of currency back in 60s or 70s
- astronomical gap between people that have money and dont.
Because the nature of BTC or most crypto is finite, which is similar to gold, there is now an alternative to dilute the importance of gold. and very easily. There are millions of ways to create another crypto, but there is never a way to create gold from magic.
That is why we see the relax US policies with cryptos even if some of the useage are illicit because cryptos help to dillute the importance of gold.
If some major event such as major wars, collapse of USD, people will quickly reliazed how important gold and silver as money. And all of those cryptos and paper money will go back to their inherent value - zero.
Now we see a new cryptocurrency called Chia, which uses storage space instead of processing power.
So far it has sucked up more than 6400 petabytes of SSDs, which currently costs $128 million
These will only last 40-90 days before failure. Plus you have the cost of the other hardware and electricity.
This has already created a shortage of SSDs and high prices in Asia, which is only going to spread globally.
It's completely pointless
So far it has sucked up more than 6400 petabytes of SSDs, which currently costs $128 million
These will only last 40-90 days before failure. Plus you have the cost of the other hardware and electricity.
This has already created a shortage of SSDs and high prices in Asia, which is only going to spread globally.
It's completely pointless
Fixed it for you
I'll expand further, cryptocurrencies and blockchain technology have staying power because they fulfil a need that the current system fails to address: decentralised finance and quality control, for eg VeChain is used for quality control and can count Chinese state backed firms as one of its many clients among other big name brands like Louis vuitton.
I'd say that cryptocurrencies, specifically BTC take away power from fiat currency especially if used for its original purpose to replace fiat rather than the store of value/security that it is becoming.