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It's a complex situation. On one hand, I understand why it's not right to buy a specific cryptocurrency which will disproportionally benefit a specific set of p
by jongjong 2y ago
It's a complex situation. On one hand, I understand why it's not right to buy a specific cryptocurrency which will disproportionally benefit a specific set of people. But on the other hand, cryptocurrencies such as Bitcoin are provably scarce assets backed by a ledger which is far more robust and far more auditable than anything else we have at the moment.
A publicly auditable, decentralized monetary system is necessary in this day and age. Money is just too important to be entrusted to any specific political party. There needs to be a reliable mechanism to limit spending. Scarcity is one of the most important characteristics of money to ensure a level playing field for everyone; our current monetary system completely neglects this essential property and has no mechanism to limit government spending. We have an extremely centralized system which is unaccountable to the billions of citizens who are increasingly forced to participate in it as it is becoming increasingly unappealing, asymmetric and inefficient.
I think if the government launched a new cryptocurrency, distributed it evenly to every citizen, made it legal tender then started buying it up with fiat USD (intentionally causing hyperinflation of the fiat USD). That would solve a lot of problems. Every country should also do the same and they can agree on maintaining forex rates so that the hyperinflation is even and not too noticeable. Only people who refuse to move to the fairer system would lose; which is fine. Wealthy people who understand the benefits of a scarce money system will be able to maintain much of their wealth by transitioning early and buying up tokens from people who do not understand the benefits... Or they can just hold onto their assets (if they're confident that their assets are productive in real-terms and not just nominally in fiat terms).