- store of value
- unit of account (a measuring stick for value)
- medium of exchange
Allowing the financial system to inflate the money supply destroys two of those fundamental qualities. The fact it can additionally charge interest on the money funnels the stolen value into its hands.
Interest on money loaned out is the only incentive required for putting money to "productive uses". Nothing about hard money affects that. In fact inflation only causes the people at the top of the pyramid to hoard all of the economic value instead. They are buying up and hoarding the entire world with the wealth they are taking from the people.
> Interest on money loaned out is the only incentive required for putting money to "productive uses".
And what is the incentive to loan money in your system?
What if Henry Ford evisaged his Model T being used as a temporary alternative for when your horse is unwell? Or a fairground ride? Bitcoin is what it is.
> And what is the incentive to loan money in your system?
Interest - the age-old solution. Offer me interest that both compensates me for not having use of my money and for the risk of getting it back, and we have a deal.
Non-deflationary currencies encourage hoarding which leads to wild swings in value. Deflationary currencies do much better. Look at the price chart of BTC vs XMR.
As it matures and gets close to it's ultimate value, volatility will naturally reduce.
Once it is used as the unit of account, everything else will fluctuate in value relative to bitcoin, which has more stable fundamentals than anything else on earth (fixed/zero issuance, liquidity etc), but this will be decades in the future when it's dollar value will be 8 or 9 figures in today's money
Yeah, so that can't happen unless it's used for actual trade more than it's hoarded, which can't happen unless it's inflationary.
There's nothing special about gold except that some people think that it's a panacea. It's not, it's still an industrial metal. "Fiat currencies which are collapsing in value" has no basis in fact. It's just mindless ideology at best and no better than a conspiracy theory.
There is something very special about gold. It has the best monetary qualities of any physical substance. It is only bettered by bitcoin which essentially dematerialises gold - stripping away it's physical attributes that hinder it (portability, scarcity, verifiability, divisibility etc).
Where's your evidence?
I can answer that question: you don't have any. Your vague anecdotes don't count as such. You need hard figures and there aren't any showing any such thing.
But back to your "argument". Google "anecdotal" and "non sequitur". But to save you time, here's a summary: you're not providing evidence, but instead a story that you created that attempts to support your augment. Then you deliver a series of non sequiturs, where your claims don't support your conclusion.
So again, please provide evidence instead of nonsensical and unsupported claims, then we can have an actual "good faith" discussion that I'm sure will be very helpful to everyone.
The only story is your condescending description of my reply.
So again, as I said, please GFY.
We have to remember 2008 was 17 years ago. People who were born during the crisis are now adults. The tragedy is there might not necessarily be another huge crisis. We blew it 17 years ago. We didn't fix anything. People stopped talking about financial reform about a decade ago. So now we might just have to live with a system where a few elites are creaming the top of the money supply. A system where the brightest and most talented people go and work for something like Jane Street, spending their days playing games and trading bits of paper with each other, causing real effects for people doing actual work, but adding nothing of value themselves but taking loads.
This Douglas Adams quote explains a lot:
> I've come up with a set of rules that describe our reactions to technologies: 1. Anything that is in the world when you’re born is normal and ordinary and is just a natural part of the way the world works. 2. Anything that's invented between when you’re fifteen and thirty-five is new and exciting and revolutionary and you can probably get a career in it. 3. Anything invented after you're thirty-five is against the natural order of things.
"Why do house prices endlessly rise?"
"Why am I working so hard in such a technologically advanced world yet can't even afford to raise a family?"
Once you see the reason, you can't unsee it.
We also have Gresham's and Thier's Laws on our side.
People will only hoard hard money until they need to buy things after they've run out of the state's fiat tokens to try and sell.
Look up Gresham's and Thier's Laws
https://x.com/saylor/status/1878154748353818932
> "The block chain is, and always was, an extremely inconvenient database. How anyone, especially many intelligent people, thought it was realistic to graft a currency on top of such a unwieldy piece of technology is beyond me."
The answer to your question is humans' inability to resist printing money out of thin air if it's possible to, and the disastrous effects it has on the world. Bitcoin is money that can't be printed out of thin air by anybody. The only way to obtain it is by providing work of equal economic value.
Look up the M2 money supply over the decades and realise that each time it doubles, the value of your wages, savings and pension are halved. Worse still, that value is stolen, sucked out into the hands of the people above you in the fiat pyramid scheme (see the Cantillon Effect).
It's one of the most important inventions in the history of mankind. This is because it shuts down the biggest scam in the history of mankind - central banking. Bitcoin's positive effect on the world is to restore power to the people and end their monetary-based enslavement - the changes will be profound.