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> Moving away from an inflationary currency that the government is able to keep printing more of and devaluing everyone's hard work, to something closer to the

by brazzy 5y ago

> Moving away from an inflationary currency that the government is able to keep printing more of and devaluing everyone's hard work, to something closer to the gold standard. That is Bitcoin creating a problem, not solving one. Inflation does not "devalue everyone's hard work", deflation does, by pumping up the value of debt relative to labor, i.e. making the rich richer and the poor poorer. > hopefully in the future the price of the major crypto currencies stabilizes. Given that their price is 100% based on speculation: not bloody likely.

throwaway248329 5y ago
The rich does not hoard fiat, they own assets which go up in price as the money supply increases. Meanwhile the poor has its savings eroded, their paychecks have less and less buying power and they are forced to negotiate to get a raise to simply stop becoming poorer.
- brazzy 5y ago
  If you have substantial savings, you are not poor. "The poor" generally is in debt. As are states. And that debt in turn forms part of the assets held by the rich.
  - throwaway248329 5y ago
    The rich are also in debt, because the debt is cheap, especially if you're already rich. So inflation benefits the rich not only by increasing the value of their assets but also by wiping out their debt.
127 5y ago
Government flooding the market with cheap money has so far gone mostly to inflating asset prices. Who owns the assets? The rich. Who does not? The poor.
- brazzy 5y ago
  Note that I did not mention assets, I mentioned debt. Who is in debt? The poor. Who owns that debt as creditors? The rich.
azth 5y ago
> by pumping up the value of debt relative to labor, i.e. making the rich richer and the poor poorer. In other words, interest based debt is bad because it is exploitative. Something we've known for a long time now. Interest based lending is prohibited in Islam for that reason (as well as in Judaism and Christianity).
- brazzy 5y ago
  Whether it's interest based or not makes zero difference in regard to how it's affected by inflation and deflation.

by brazzy 5y ago

throwaway248329 5y ago

The rich does not hoard fiat, they own assets which go up in price as the money supply increases. Meanwhile the poor has its savings eroded, their paychecks have less and less buying power and they are forced to negotiate to get a raise to simply stop becoming poorer.

brazzy 5y ago
If you have substantial savings, you are not poor. "The poor" generally is in debt. As are states. And that debt in turn forms part of the assets held by the rich.
- throwaway248329 5y ago
  The rich are also in debt, because the debt is cheap, especially if you're already rich. So inflation benefits the rich not only by increasing the value of their assets but also by wiping out their debt.

127 5y ago

Government flooding the market with cheap money has so far gone mostly to inflating asset prices. Who owns the assets? The rich. Who does not? The poor.

brazzy 5y ago
Note that I did not mention assets, I mentioned debt. Who is in debt? The poor. Who owns that debt as creditors? The rich.

azth 5y ago

> by pumping up the value of debt relative to labor, i.e. making the rich richer and the poor poorer. In other words, interest based debt is bad because it is exploitative. Something we've known for a long time now. Interest based lending is prohibited in Islam for that reason (as well as in Judaism and Christianity).

brazzy 5y ago
Whether it's interest based or not makes zero difference in regard to how it's affected by inflation and deflation.