81–90 of 405 posts
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Who is hoarding currency on a notable scale? Why would they at the very least not invest in short-term bonds/mmfs
It used to be called "savings".
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Bitcoin has no inflation, there are only a given number of total bitcoins in existence, which many (myself included) would argue makes it a poor currency.
> there are only a given number of total bitcoins in existence, which many (myself included) would argue makes it a poor currency. I have always question who says this. What makes you think deflation would be bad? My conspiracy is that governments require inflation to print themselves out of bad policy. Without government abilities to do this, the government performs poorly. Common citizens do not lose 2-4% of their…
Literally economics 101. Investment grinds to a halt and progress along with it.
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> "Looks like in the future people hoard currency instead of spending and investing it then. That ought to be interesting." That sounds like the current to me. Too much is locked up (in too few hands) instead of doing what currency should do. That is, reduce the friction of trade (i.e., goods, skills, etc.) Currency is a lubricant. It's no surprise things are drying up.
A poor village in africa has starvation. They do not produce enough food to feed themeslves properly. So they are given an aid of 10,000 U$S. So they turn to their own farmers and say "Behold the currency, we were dry of it before and we were dry of food because of it. Now take the money and transform it into abundance and plenty!" The farmers put the bills in the ground, right next to the seeds, but it does not make…
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> "Looks like in the future people hoard currency instead of spending and investing it then. That ought to be interesting." That sounds like the current to me. Too much is locked up (in too few hands) instead of doing what currency should do. That is, reduce the friction of trade (i.e., goods, skills, etc.) Currency is a lubricant. It's no surprise things are drying up.
A poor village in africa has starvation. They do not produce enough food to feed themeslves properly. So they are given an aid of 10,000 U$S. So they turn to their own farmers and say "Behold the currency, we were dry of it before and we were dry of food because of it. Now take the money and transform it into abundance and plenty!" The farmers put the bills in the ground, right next to the seeds, but it does not make…
>You fucking idiots stop burying the money in the ground and use it as a medium of exchange.
And lo, as everyone has more faith in the US treasury than the village tin roof hut a market was opened in the middle of the village and they exchanged the dollars for food grown by farmers less stupid then them.
The villagers then became wealth investment managers and charged fees to the farmers to invest their money, which involved holes in the ground.
According to its proponents, Bitcoin is digital gold. (Interestingly it’s not an “electronic currency” anymore even though that was the original title of the 2008 whitepaper. I suppose Lightning Network or something is supposed to fix that with new transaction layers backed by the Bitcoin gold.) One aspect of gold’s historical value is that it’s traditionally recognized even in societies in collapse. I’ve never under…
According to its detractor, Bitcoin is digital comedy gold, so everybody agrees.
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That’s a rather blatant strawman: it’s literally a textbook example of the value of regulation and laws which make that happen, not the goodwill of bankers.
You mean the laws and regulations written by lobbyists paid by the bankers? Do you mean the regulators who leave their Federal jobs for multi-million dollar per year jobs at the banks they formerly regulated? Are those the ones you're talking about? You seem to be implying that the regulations / laws and the banks are two separate entities. They're increasingly the same. Which means that yes, it is basically their go…
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That's because - and everyone but the uninformed or idealists know this - it's an investment product. It's simply not suitable as a currency, because one, inflation / instability, and two, it can only do what, a dozen transactions a second, if that? That's not nearly enough to become a viable currency.
Speak for yourself. I use bitcoin all the time for payments. Peer to peer using coinbase(email) for free and instant to friends. Shift card for free and instant at merchants. Bitcoin is beyond blockchain, companies have built products to trade BTC instantly, free, using the infrastructure already existing. The transaction time 'problem' doesnt really exist if you are into crypto, you know how to use it. And I dont tr…
Bunkers? Like prepper bunkers? To survive what? If things go __that__ sideways, a hoard of crypto-currency will be the least of their worries. Apparently, even the financially wealthy can be common sense poor.
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Who is hoarding currency on a notable scale? Why would they at the very least not invest in short-term bonds/mmfs
It used to be called "savings".
The implications are big: with the current trend of concentrating wealth to only a small fraction of the population, at least all that money is not 'gone'. Even though the rich probably don't pay much taxes over it, their banks will invest it in other companies. If this bitcoin hoarding ever becomes a trend, the consequences for the economy will be disastrous.
$10B at what point in time?