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Through this unprecedented money printing, the Fed is devaluing not only the dollar and all pegged fiat currencies but also all institutions which are centered
by cryptica 7y ago
Through this unprecedented money printing, the Fed is devaluing not only the dollar and all pegged fiat currencies but also all institutions which are centered around it. It's not surprising then to see cryptocurrencies outperforming stocks over the past couple of days.
The Fed's QE program back in 2008 was one of the main incentives which drove the creation of Bitcoin and its subsequent adoption.
The Fed has a real problem now. People are beginning to realize that not everyone has to work as hard to get the same amount of money, but the truth is even worse than that; not everyone has to deliver the same amount of value to society in order to get the same amount of money... The root of the problem is the Fed and the mechanism by which this newly printed money enters the economy. It's not a fair process.
The real intrinsic value behind fiat money is based solely on its ability to:
- Deceive people into thinking that it has value backed by real economic contributions.
- Forcibly coherse people into accepting its nominal value even if some of those people doubt it.
In other words, the intrinsic value of fiat is rooted in lies and manipulation. Smoke and mirrors. Then it follows logically that every institution which derive their value from it is also rooted in those same lies and manipulations.