How Will You Pay Your Mortgage When Fiat Collapses?
The First Rule Of Fight Club is.........
DO NOT TALK ABOUT FIGHT CLUB
The premise of this glorius book/movie by Chuck Palahniuk (very simply) was that if you blow up the credit card buildings and destroy all the debt records.........everyone goes back to zero. Despite all the mayhem associated with it, zero is a liberating thought.
Everyone here in the crypto-space is here (maybe subconsciously) because they sense that our current system is failing. Our system deserves to fail. We need another store of wealth other than our fiat dollar.
My generation (I'm 38) is the generation that was told Social Security would run out for us despite our having to pay into it for our entire lives. Inflation (per the Fed) steals a minimum of 2% of our wealth a year via purchasing power. For food it is higher 5%-8% "We are the all-singing all-dancing crap of the world..."
With the rise of cryptocurrencies growing in momentum, the collapse of fiat might be rather closer than we anticipated.
But...
What does our reset look like? Practically speaking. We still value everything based on the dollar. At the moment of this writing BITCOIN is $2,857.21 DOLLARS
If our beloved crypto goes supernova in price...
We still will value it in DOLLARS? If Bitcoin is $18,000 in a year? And the Federal Reserve realizes (if they haven't already) that they cannot manipulate it like fiat? What will the inflation of the dollar be? What will the accounting system be if the dollar outlives its practical wealth application? This is a very real possibility. Most mortgages are either 15 or 30 years. When there is a fixed dollar amount attached to your house and you owe the bank so many DOLLARS for it. And those DOLLARS inflate to become irrelevant. What happens then? Who decides what the new value is? And what is it measured in?
I am Jack's smirking revenge...
We are so completely programed to think in terms of dollars that it is uncomfortable to think any different way. Your big win on holding crypto might be worth hundreds of thousands of dollars. But those dollars are not a true measure of wealth anymore. Then what?
Blockchain Technology will absolutely change our world. It has already begun.
But the DOLLAR mindset is a hard crutch to shake.
Project Mayhem
What do you think? Home mortgage value is just one of the obstacles we have to find a solution to. Will land deeds be tracked on a blockchain? Will my medical records? Will "OLD MONEY" families like the Waltons become a relic of the past like the dollars they hold so dear? Will the stock market be transitioned to a blockchain and will the valuations be in BTC?
I am not going to lie, I will not miss my bank squeezing me at every single possible transaction. Or my Government taxing me into oblivion. But the growing pains of such a transition cannot be painless...
What are your thoughts? This community is filled with vastly smarter people than I. Lets hear your thoughts.
Steem on, Friends. Steem on.
,HM
I was asked about "how do I get my money out"? (of steem) and I was saying, there's really no point in getting your money out. Pay with bitcoin for everything. Right now it's tied to the dollar, in the future it will all be satoshis and nobody will want your worthless dollars..
And all other altcoins are tied to either the Dollar or BTC or they are a commodity. Eventually there will be no "taking profits" as the coins themselves will be the profits.
I hope we see steem up 7.50$ or euro
Its at $2.41 right now. I think it has the potential to go way higher than that. But you and I are still thinking in terms of DOLLARS!
Yes...but not soon no more :)) The United States is bankrupt. And when his own people will understand it, then there will a very, very dark future for be.
anything we ALL agree upon can become "money", or "hard currency", the Natives used seashells at first I believe..anything we can count will do..I just know I am tired of carrying debt notes! :)
Something tangible like gold/silver is what comes to mind first. But crypto has its own biases to overcome as well. Most people still think its Monopoly Money.
I am not too familiar with it, but am excited to be here!
In the immortal words of the Notorious BIG "If you don't know, now you know......" @azracer2000 you are already part of the solution.
Thanks! I want to be!
Great informative post! If history teaches us anything, the banks will revalue your debt to the value of the currency at the time, ie. Wiermar Republic. Only precious metals and cryptos can save your financial ass! Followed and upvoted
When has the government taken over anything and made it better? I think maybe banks in their current form could be obsolete. If you don't need them to transact anymore and there is no need to hide money for tax purposes in them, they might have outlived their usefulness. Thanks for the follows/votes!
Never! I think banks are outdated dinosaurs living off the backs of society. They are obsolete and worthless. The sooner they go the better.
Not thinking in terms of Dollars is going to be difficult. Its analogous to MPH and kilometers. I have thought in MPH my whole life and anything else is foreign. Plus you guys drive on the wrong side of the road...