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Quantitative easing (QE) is when central bank does large scale longer maturity assets financial asset purchases in order to lower interest rates and increase t
by Nokinside 9y ago
Quantitative easing (QE) is when central bank does large scale longer maturity assets financial asset purchases in order to lower interest rates and increase the money supply. This is supposed to stimulate economy. QE exchanges short term asset (cash) for long term assets (bonds and other debt instruments).
QE works by increasing the money flow trough real economy (the part of the economy that is concerned with actually producing goods and services rather than the part that consists of financial services such as banks, stock markets).
Bitcoins is the opposite. It's speculative asset that moves money into financial realm.