BITCOIN LOTTERY RICHES COULD BITCOIN TRIGGER US RECESSION
Let’s start with what BITCOIN is and isn’t. First and foremost BITCOIN is not currency for this simple fact it does not represent a store of value. It is simply too volatile at the moment. As with a Government currencies, it can be used as a means of exchange. You can buy stuff if vendors accept its use. Its closest relative comparison is the Traveler’s Checks. The reason it is volatile is that the bitcoin is short supply both by present intent and demand. BITCOIN LOTTERY RICHES COULD BITCOIN TRIGGER US RECESSION.
Governments don’t like it and Banks don’t like it:
That may well be the reason why most people like it and why it is becoming more popular. First and foremost transactions with Bitcoin are untraceable. Don’t lose your encryption code or your bitcoins vanish forever. Laughably Governments with their corrupt currencies complain that the black market and organized crime transactions could not be traced.
Then you have the Politician excuse for everything these days that Terrorist Transactions could not be traced. Of course, none of these talking heads values YOUR PRIVACY as you are standing in line being strip-searched and cavity searched by some TSA attendant. Perhaps you might like to spend your money privately. It is your money after all. Oh but IRS wants to know. Tough.
In the last 100 years under the watchful eye of the Federal Reserve Bank, your dollar has lost 97% of its purchasing power. That’s the good old US Dollar.
LOL the Government suggesting their currency is a better store of value is laughable. In fact, the Government rips you off daily and erodes your dollar value each and every day you hold the currency in your hands. Why? Their currency represents debt. Bitcoins are not debt instruments. Fractional reserve banking legerdemain does not increase Bitcoin numbers. The US Dollar is the scam, not the BitCoin.
The reason Bitcoin and other cyber currencies were invented was in answer to Corrupt Governments and their toxic currencies.
The Bitcoin pulls the rug out from under these stinking con-artist politicians and Wall Street Currency Manipulators. Of course, they don’t like a currency idea that is removed from all government control and all central banks of the world. But people of the world love the idea of being untethered from filthy corrupt governments. People love freedom. Bitcoin is the currency of true capitalism free from Government control and free from private control too.
The secret is that the methods of exchange and tracking are open source computer processing. In fact, if you lend computer power to bitcoin transaction processing you can earn or mine bitcoins.
The chief problem with Bitcoins is they lack liquidity.
Until they reach a point where the currency is fully distributed there will be liquidity issues. While I think of it, it might be worth noting that Gold is not currency for the same reason. Fist only 1% of the world trades in gold. Currency needs to be up around 90%. Secondly, if you took all the gold ever mined in the world, it would only be worth 8 Trillion dollars. That is simply not enough gold to distribute. US current debt is $22 Trillion so all the gold in the world could only cover 1/3 of the US CURRENT Debt!
Let’s talk about value. One bitcoin today is worth about 10,000 US Dollars.
There was a mini flash crash of the Bitcoin today and it dropped to $8500 but came back again. But the good news is that no Government can interfere with it and the Global 1% can’t manipulate it either. This is why it is so compelling. Imagine having some form of asset that the Government and the Billionaire shysters can’t corrupt! That is simply compelling.
Some have called BitCoin the new Tulip Bubble:
I don’t think it a bubble. If you lived in Argentina or Venezuela would you want the local currency inflating at 60% a year or would you prefer the Bitcoin knowing that no government and no George Soros type could manipulate it?
One of the true beauties of the Bitcoin is that Governments all shunned it. So it literally had to be born outside of the realm of government and outside the realm of the billionaires.
Let’s say your government declared marshall law and you just wanted to get the hell out.
No problem, you could memorize your encryption code and leave with all your bitcoins even if you walked out of your country naked as a jaybird. Bitcoin is a perfect currency for refugees and expats.
Privacy and the right to be left alone by the government despot is worth its weight in gold times ten.
The Genie is out of the bottle now and it will never go back in again.
The Bitcoin is liberating individuals from the tyrants of the world. It is quite possibly the first tangible definition of FREEDOM. You can put up with a lot of garbage as long as you know you can always pull the ripcord and get the hell out.
So to answer the question posed as to whether the Bitcoin could cause a US Recession; the answer is no. And it may actually save you from the next recession and keep corrupt dishonest governments out of your business.