"It's Not Really About Bitcoin Price Surging, It's Fiat Currencies In Free Fall" ;-)
Content adapted from this Zerohedge.com article : Source
Authored by Joseph Young via CoinTelegraph.com,
According to Stefan Molyneux, a highly regarded Canadian podcast host, it is more important to recognize the free fall of fiat currencies, more so than to acknowledge the exponential growth rate of Bitcoin.
Molyneux says:
"It's not so much that Bitcoin is going through the roof - it's that fiat currencies are in free fall, but only Bitcoin is noticing."
The decline of fiat currencies
For many decades, governments have had absolute control over the global finance sector and monetary policy through the fiat currency system. Through it, central banks such as the US Federal Reserve have obtained the ability to inflate the supply of reserve currencies and to manipulate the world's most widely utilized form of money.
In an interview with Fox Business, major electronics retailer Overstock CEO Patrick Byrne stated that fiat currencies will continue to fall over the next few years, as investors and the market move onto separate money and state.
As fiat currencies decline, the only form of decentralized currency that is Bitcoin and other cryptocurrencies in the market, will eventually overtake reserve currencies.
"You think that's a bubble? What do you think that fiat currency you carry around in your purse is? This dollar stuff, it's just some fiat currency based on … the surplus taxing authority of the US Treasury of which I assert there is zero ... It's about time the world switches to real money. Either gold or Bitcoin," said Byrne.
Currently, the two forms of money or assets that are not subjected to the control and manipulation of governments are Bitcoin and gold. But, as demonstrated by the Indian government in late 2016, because of its physical attributes, gold can be confiscated and repossessed by the authorities at their will.
With Bitcoin, confiscation of user funds and assets is not possible, if users store their Bitcoin on a non-custodial platform in which they have full control over their private keys and funds.
One major advantage Bitcoin has over gold is its transportability. Gold is a viable store of value given that investors can store large amounts of money in the asset. But, it is difficult to transfer gold, especially through borders.
Bitcoin will continue to prosper as fiat currencies decline
Considering that Bitcoin remains as the only viable alternative to fiat currencies, the decline of government-issued money will continue to lead more investors and general consumers into the Bitcoin market.
As such, Byrne noted that Bitcoin price could reach $1 mln in the long-term if Bitcoin begins to take over reserve currencies and challenge the gold market.
"We have all these currencies since Bretton Woods, fluctuating against each other, and maybe the dollar hasn't gone to zero against these currencies but all of them have gone down 95 percent ... versus something that they can't control like … gold and Bitcoin. So Bitcoin may be on its way to a million for all we know," adds Byrne.
Fiat is shit, and finally people are moving out from it.
FED: Scamming people since 1913
Don't forget hidden taxation via inflation.
This is something that is going to crush the present banking system. That is why the government hacks are out in full force threatening to make holding bitcoin illegal. The bankers know their time is done and their place threatened.
The fiat scam that enslaved humanity is now being exposed. All new money created first went through the banks who passed it out in the form of debt. You want money, sign a note and pass us it back with interest. With crypto, new money is put in the wallets of the average person, not a bank. This is a remarkable change in the system.
Thanks as always zer0hedge for posting this and keeping us informed.
Bitcoin isn’t a bubble. It’s just the place where all the value is flowing as the fiat bubble bursts.
Indeed it is
Hard for a bubble to exist before Wall Street shows up...they are the ones who create the bubbles.
Wait until they are done with the crypto market...then you will see a bubble.
F**k yeah someone who knows his stuff
Give that man a upvote
Wait and see. When Stock market bubble will touch his peak, when bond returns will decrease because of huge demand pumped by central banks... Then we will see a huge capital inflow into cryptos. Simply, big funds and investor will look for higher return to escape a frozen market.
This will be the time of BTC and crypto economy to moon and reach new unexpectable milestones.
Yes, I often enjoy googling "USD to BTC" instead of the other way round:
Love this chart. No arguments required after looking at this relentless depreciation. Btc for the win!!!!
Byrne is right but fiat currencies are based on debt so who controls the money doesn’t want bitcoin, which is something everyone can have equally access to, to succeed...first real attempt to crush it will be the futures, institutional investors can easily outperform the free market, Ether might become a safe heaven these days, I hope I’m wrong.
Crypto currencies might get support from un expected places.
Source
nice
Bitcoin is a much sincere currency than paper money.
I know that the Euro devaluates between 2 and 3% every year, and all other currencies lose value. Frankly, any investor who understands things a bit will rather invest in bitcoin than in a bank. There will be a complete breakdown of the old way of doing business, there will be only banks for Bitcoin and other currencies. Bitcoin's value is still small , it is estimated that there are about 2 million bitcoin owners. Now, England has announced the recognition of Bitcoin, it will slowly all countries to accept new currencies. My opinion is that Bitcoin at a moment will only be a measure of the value of other currencies. Because it does not have all the technical capabilities to replace the money. Bitcoin can in real terms be worth $ 1 million in 3-4 years.
Expand your view @dobartim to cryptocurrencies instead of just bitcoin. Add that to what you said and you see really how penetrating all this is. The fiat/bankster sector is under attack from all currencies that will have "staying"power. I am not one who believes there will be just one winner although there will be main ones everyone uses.
Bitcoin will be a reserve currency...past that I am not sure. And with many different blockchains coming to prominence, you will see those currencies act as money in those arenas. I fully expect steem to have commerce on it meaning people can spend their steem for goods and services they normally use fiat for.
I believe in Steem, Steem have a big power
I kinda agree with this. Fiats are on their way down while cryptocurrencies are just gonna have to save the day. It's a new world order of financial system. The wonders it provides beyond finance is why cryptocurrencies will continue to go high and fiats down.