And most of that came about as soon as our currency was not backed by silver (1965) and gold (1971).
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Posted on 02/08/2021 12:50:32 PM PST by E. Pluribus Unum
Gold mining companies could create their own currencies.
Instead of say selling an ounce of gold for $X, a gold mining company could collect residuals as well.
A 2021 1/100th gold certificate might get backed by .01 ounce of gold going down by .0001 ounce per year.
“ Deflation is not really a business friendly phenomenon.”
Agree, mostly
Inflation is a thief, sanctioned by government fiat.
“ Or could it collapse?”
It could collapse like most currencies in history.
How does that differ from what the Federal Reserve does?
Congress has been printing trillions of dollars out of thin air.
We are headed for Venezuela territory.
Evidently you haven’t figured that out yet.
I am talking at the production level, not at the asset based backing level. To produce a bit coin is much more energy intensive. You do not need a powerplant and a computer to exchange a dollar.
The globalist oligarchs want to do away with physical currency.
They want all your wealth to be in 0s and 1s on their servers.
That way when you don’t do what they want you to they can just zero you out.
They won’t be able to do that with bitcoin.
We are going to be forced into a digital currency whether we like it or not.
I’ll take one that they can’t zero out.
You go ahead and trust them.
First, let me say that I'm in complete agreement that everyone needs to keep some ready cash, and even a some US pre-1965 silver on hand for insurance. Because the world is getting weirder everyday!
But that said, try to withdraw any sizeable amount of funds from your bank if the internet or power is down.
Everything depends upon a functioning internet nowadays. We've allowed it to become another existential treat to our normal way of life.
“How does that differ from what the Federal Reserve does?”
The Federal Reserve stuff says “THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE”.
Anyone with a mortgage will want the Federal Reserve stuff.
https://www.youtube.com/watch?v=Lx9zgZCMqXE&feature=youtu.be
Many have gotten into tax trouble because they have hundreds of thousands of dollars in "paper-profits", when the actual value isn't nearly enough to cash-out and pay their tax debt for the year.
Concerning government taxing unrealized gains, it's something some democrats are discussing. Hopefully even they aren't that stupid. If they are, it won't be just crypto that gets taxed. Such a tax would reduce the middle class to serfs. Nancy will then need those crew-served machine guns for sure.
What about losses in value?
I had a significant paper loss trading 'bout 2 years ago. I traded LTC for ETH, this gave me a nice deduction (exchanges of different cryto are a taxable transactions) and held the ETH for two years. Now that the price is up, I'm pulling some out to lock in a nice profit for '21.
I had a large natural disaster loss in '20, so I sold BTC to offset the profit. Much success depends upon managing gains, losses, and tax obligations. But I'm sure you and most reading know this.
Like someone above recommended, having some crypto is like having one more basket you can go to if things get bad.
Paypal now offers about 4 types of crypto for sale now. I bought $20 of ETH, in support, a few months ago. It's now worth about 3-4 times that.
I don't recommend anyone mortgage their home, tho. It's a very volatile asset! Hope this is helpful.
“They won’t be able to do that with bitcoin.”
This is a prison cell, bitcoin creator. The only way out is with the decrypt key.
Big Brother probably knows every keystroke I’ve typed on this computer.
No Islamic terrorist has ever been able to stage a major attack in the USA since 2001. The CIA and NSA have mastered computer sleuthing.
Every big tech company is big because Uncle Sam wants them to be.
Beware of anything connected to the Internet.
“ I’m going to have to educate myself on bit coin.”
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I’m not. I have no intention to buy a Tesla.
Don’t type your bitcoin key. Keep it in KeePass or something similar to copy-and-paste it.
They can’t keylog what you don’t type.
“They won’t be able to do that with bitcoin.”
It would shock me if the federal government does not fully track the computer usage of every freerepublic user.
You are almost certainly being recorded. This would include all bitcoin interactions.
The computer usage monitoring activities of the federal government probably cost in excess of $30 billion annually.
Uncle Sam is very observant.
It's not Bitcoin, but both houses have doubled market value since purchase. Low risk, low volatility. House #2 is just 2.5 miles away, so monitoring it is easy.
Most cryptocurrency transactions are entirely tracked. And open. It's an open distributed ledger system. Btc, Ltc, Eth, ..., are the last assets you want to go cheating on with tax obligations.
And most of that came about as soon as our currency was not backed by silver (1965) and gold (1971).
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