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What’s the advantage of bitcoin against holding a diversified bundle of global equities or foreign currency in the event of a localised financial collapse?
by bioipbiop 6y ago
What’s the advantage of bitcoin against holding a diversified bundle of global equities or foreign currency in the event of a localised financial collapse?
- Taek 6y agoBitcoin can be sent and received anywhere in the world needing no than a raspi's worth of computing power. Not many banking hoops to jump through, sanctions aren't at play, very difficult / impossible for a non-superpower country to exert control. Greece and Venezuela are both recent examples of countries where people who owned Bitcoin faired substantially better than their peers who did not.
- tim58 6y agoDid people in Greece and Venezuela fair substantially better than peers that had holdings of multiple foreign currencies?
- DarthGhandi 6y agoYes, easily, though the crisis in Greece started about the same time Bitcoin was created and lasted a few years after that. The capital appreciation on this basket of global currencies has not moved an inch, interest rates worldwide are even lower today. Meanwhile BTC has averaged 250% gains annually.
- dharma1 6y agoNot necessarily anything, but collapse of the dollar would have systemic impact, it wouldn't localised. And I suppose there is always some counter party risk with bank accounts or brokerage accounts, unless you hold the gold - or private keys
- bioipbiop 6y agoWhy would bitcoin be spared this systemic impact?