joenakamoto on Nostr: Who wants to reply to my colleague about bitcoin vs fiat? 💭 I’ll send sats to ...
Who wants to reply to my colleague about bitcoin vs fiat? 💭 I’ll send sats to the responses of course!
“I don't think it's worse, I just don't think it is particularly better. I think that the idea of deflationary money being inherently better is based on a narrow scope of what money is and how deflationary currencies have worked (or not worked) in the past.
The gold standard was incredibly volatile, or at least no less than its absence.
With a Bitcoin standard, credit would be difficult if not impossible. And I doubt that if Bitcoin had mass adoption in a year that the powers that be would redistribute ownership of land/housing etc. Now those things would be permenantly out of reach, more than they are already.
The ability for governments to respond to crises (like during the pandemic with monetary stimulus) would also be completely hampered.
Money that can be backed by debt is better at responding to these things, but is more prone to control, less suitable for international p2p, etc. Btc, at least rn, also has the role of serving as a hedge (kinda) for when shit hits the fan.”
“I don't think it's worse, I just don't think it is particularly better. I think that the idea of deflationary money being inherently better is based on a narrow scope of what money is and how deflationary currencies have worked (or not worked) in the past.
The gold standard was incredibly volatile, or at least no less than its absence.
With a Bitcoin standard, credit would be difficult if not impossible. And I doubt that if Bitcoin had mass adoption in a year that the powers that be would redistribute ownership of land/housing etc. Now those things would be permenantly out of reach, more than they are already.
The ability for governments to respond to crises (like during the pandemic with monetary stimulus) would also be completely hampered.
Money that can be backed by debt is better at responding to these things, but is more prone to control, less suitable for international p2p, etc. Btc, at least rn, also has the role of serving as a hedge (kinda) for when shit hits the fan.”