Posted on 10/21/2021 12:24:25 PM PDT by DUMBGRUNT
Bitcoin crashed and burned 87% ?! Good riddance I say.
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Agreed, “ If you don’t hold it ( in your hands) you don’t own it”. Fact, Bitcoin and digital “ money” owners of those electrons are in for a huge surprise. Sovereign digital currencies ( in the works by many nations- think Great Reset) will NEVER allow competing E money. Only a matter of time.
—”Your not referring to the U.S. dollar...are you?”
Same mother different brother?
When biden is done not much will be left as inflation eats and eats...
Good point. Scary part for us is having a fair amount sitting in cash. I have no interest in delving into the stock and bond markets further.
All your assets are tangible? No financial accounts which send you "statements" about how much money you theoretically have your name attached to, as long as the system functions?
The system will cease to function, sooner or later. It's built on unsustainable debt. The system is only viable as long as interest can be artificially held at zero or negative. CBDC just makes things worse, because negative rates will be imposed on your account automatically. You can't keep CBDC under your mattress and out of their reach.
Only idiots would position their wealth in an account which automatically shrinks. CBDC will make BTC look better than ever before. If they could make a ban on BTC stick, it would have happened years ago and this discussion would not be taking place. The price tells the story, the market is speaking.
“At the same time, you can borrow money against the coins”
wait ... you’re talking about borrowing REAL money, right?
“or it will crash dramatically because nobody left who wants to buy them.”
the classic “greater fool” theory in which eventually you run out of greater fools ...
Actually, yes I am. I know a guy who has done extremely well, on paper, by slowly accumulating bitcoin over many many years. He never sells them. There are actually lenders who will take your coins as collateral for real American cash. No capital gains taxes. No income taxes. He puts the coins in their exchange and they lend him real money. It’s not free, and it comes with risk. But so far, he hasn’t lost and he hasn’t paid any taxes.
Yes, greater fool theory. And it is impending because unlike most other commodities this one is limited. I could be mistaken but it’s something like a total of 11 million coins that are possible to be “minted” (mined). Maybe it’s 22 million but I am confused because I recall reading they were going to do a reverse split. Which IMO they should do the opposite they should do a forward split of like 100:1. Make more of them, without actually increasing the “real supply” just making more of them available to more people while also making them more ubiquitous.
I know they can trade in tiny fractions but that is very confusing to 99% of the people. If it is worth $70,000 - split it 1000 times and each is then worth $70 which makes it more accessible to more people. But for whatever reason they went the other way, making it less accessible to the average person. If they want wider adoption they need to constantly make it more accessible not less. But they don’t want that.
Don’t get me all wrong. I am a fan of crypto and blockchain in general. Done right they can reduce transaction costs greatly, and properly and transparently organize commerce and commercial transactions. But I am not really a fan of BTC. Nobody even knows who created it. It is genius, but it is also imo doomed to fail. It is just a machine that other machines work with. And crazy humans just bum-rushed into them. Tulipmania.
We used to call them ‘fat finger’ trades. They’re usually a mistake. I used to trade e mini Russell futures. Have had big money trades (for me) canceled because someone did this and they’d cancel all the trades from there to a certain point. Used to peeve me off. Not a usual occurrence but happened a few times here and there.
That's what I always thought, but we both failed to understand how "the system" works.
Every time you (generic you) buy something with a credit card, powerful computers assign your projected future payment streams AS ASSETS to someone else.
Yes, there are many steps between your "card issuer" and some guy enhancing the defenses of his redoubt on the South Island, but the "flip side" of every debt, INCLUDING the so-called "national debt" is making a shrinking but still substantial group of people wealthy both on paper (ultimately meaningless) but in reality as they hoover up land, buildings, firearms, and other useful and valuable things.
Credit card and credit loan adverts that my kids get all start now "see how wealthy you really are", meaning, "see how much disposable trash you can buy on credit".
The system does not care that you, or I, or the Treasury pay off our debts. In fact (anyone can try this as an experiment) - if you owe "money" to any creditor, pay it off and see what happens. You are immediately inundated with credit offers, credit ads, credit phone calls, quite sophisticated credit schemes that don't look like credit schemes, etc.
Even one little person paying off debt sends the response arms of the "system" into panic mode.
The debt is in fact SUSTAINABLE. It will be sustained, even to the point of accepting payment in your blood, until the small group of people who designed and are living off the system meet their deserved fates.
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