It crypto currencies gaining value or we have fiat free fall?steemCreated with Sketch.

in #cryptocurrency7 years ago

In my porst Have the dollar hyperinflation start already? 5 days ago I start to think that Bitcoin and other cryptos are not gaining value. There is fiat currencies which are in free fall.

In article from Cointelegraph "It’s Not Really About Bitcoin Price Surging, It’s Fiat Currencies In Free Fall" the same theme is discussed. Politicians can do a lot of harm with his pour understanding of crypto paradigm. US establishment already is asking themselves how to act against dominance of crypto currencies on the global markets. Their thinking goes like that: We have to do something when this cryptos are not grown up, because if we don't act now tomorrow will be to late.

But what is the purpose of stopping the cryptos as a sovereign monetary system? The final purpose is controlling the society. But who effectively control society? The society can be controlled if you control issuing of money, that means that monetary authority is most important function of ruling.

In old days kings mint coins and control money. Even children perfectly understand this when hear this in tales. But in present real world things get a little bit more complicated. In modern states another layer is added. Beneath controlling money a political power is added in state organisation. Those who control money control also political power and jurisdiction power of the state. And every children can tell you again that bankers are those who deal with money, that mean they control it. Bankers are greedy and want more and more capital to accumulate power and consolidate their positions.

Greed for more drive economy wild and consequences are overuse of natural resources, pollution of environment and destroying of our beautiful planet. 

This ruling system need just small rearrangement of competencies. The essential is making money independent. Money must work for people and for the government elected by the people. Money must become a tool for transferring the wealth between people and between people and government payed to run a society by paying fair taxes.

This is what this crypto revolution is all about. Crypto currencies implemented in decentralized blockchains is invention of free money or open source money as you like. They have a property to be free of control by anybody and this is the key property in upgrading our democracy to the democracy version 2.0.

Rising of price of crypto currencies in fiat money or decreasing of price of fiat money in crypto currencies is sign of diluting of value of fiat currencies and is the first sign that crypto revolution began.

Every revolution has its counter revolution and this counter revolution forces are bankers and capitalists which is trying to maintain control over the monetary system. But new kind of free money is already born and it start is long walk to the freedom.

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Image sources: cointelegraph.com

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The rising price of a crypto currency represents price deflation in anything else that's priced in that currency. Right now, anyone who uses Bitcoin to buy things is experiencing hyper-deflation. This means that their house, car and everything else they may own is going down in price.

With this in mind, it is incorrect to say that the price of Bitcoin is the result of a fiat currency going into free fall. If the fiat currency is stable against non-money assets and Bitcoin isn't, it's obvious that the crypto currency is unstable.

You make a right point. This is reality in the present time. But things are not fixed. A manipulations are much more probable with fiat currencies.

Bitcoin is also acting as asset more then a currency. Evolution of decentralized free money is just started and I hope that one day, one of candidates from crowd of cryptos will start to serve as currency and true money.

Increasing of fiat money in circulation is for sure not a good sign.

The latest price uptrend in the crypto space is a clear reflection of FOMO (fear of missing out) a great investment opportunity knowing that the fiat world is on its rapid decline.

This FOMO is funny guy. Its very hard to resist and not fell under his influence. But not to be sucked in is ability of experience traders.

Somethimes we have to develope skils against out intuition.

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