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Is a "populist fiction" not precisely what any currency, that is traded in place of tangible things, is?
by not_knuth 6y ago
Is a "populist fiction" not precisely what any currency, that is traded in place of tangible things, is?
- jariel 6y agoUnless you think your government, your constitution, you financial system are a 'populist fiction' then no. USD is legal tender, a contract, backed by assets (US TBills), with a ton of laws, rules and regulations. BTC is digital Monopoly Money.
- hfsp 6y ago>USD is legal tender, a contract, backed by assets (US TBills) So the USD is backed by USD equivalents? Circular logic error found. The USD was backed by gold. Until it wasn't. >BTC is digital Monopoly Money. The USD is the definition of monopoly money. By definition, printing of monopoly money costs peanuts, which eventually creates inflation. Creation of free market money like gold, or btc on the other hand requires economic input, which does not cause inflation. The above does not take away the medium of exchange status of the USD, at least locally. It does however signal that it would behoove one to consider if the USD can be used as a savings instrument.