News for hackers. Stuff that matters.

A comment on $130B wiped off crypto markets in 24 hours. Parent comment

Re:$130B wiped off crypto markets in 24 hours by immibis on Tuesday January 25, 2022 @07:14AM (#30070937)
People speak of the value of bitcoins increasing, as if it's some kind of universal law. If it was a universal law, you could just hold onto 1 BTC for long enough and then buy the entire planet. It's not.
[ Parent | on HN ]
Re:$130B wiped off crypto markets in 24 hours by matheusmoreira on Tuesday January 25, 2022 @09:46AM (#30072294)
It's not the value of BTC that's increasing. It's the value of USD and all other fiat currencies that are decreasing. Governments print trillions of them while fractional reserve banking and loans create even more. If you have a steadily decreasing supply of bitcoin and a steadily increasing supply of fiat, it's only reasonable to expect that more fiat will buy less bitcoin over time.
[ Parent | on HN ]
Re:$130B wiped off crypto markets in 24 hours by immibis on Tuesday January 25, 2022 @05:10PM (#30078845)
This is false. 10000 bitcoins used to buy $10 or a pizza. If USD's value was decreasing, 10000 bitcoins would buy $100 or a pizza. But no. Actually 10000 bitcoins buys $300,000,000 or 30,000,000 pizzas.
[ Parent | on HN ]
Re:$130B wiped off crypto markets in 24 hours by matheusmoreira on Tuesday January 25, 2022 @06:49PM (#30079803)
It's not false, it just means there must also be other factors influencing the price.
[ Parent | on HN ]
Re:$130B wiped off crypto markets in 24 hours by mavhc on Tuesday January 25, 2022 @09:32AM (#30072145)
Not a law, but it's part of the design, because "omg inflation is bad, the government are taking your money!" theories from people who left before Economics 102
[ Parent | on HN ]