FritzTheKat

Crypto is no different than fiat currency..backed by nothing and no intrinsic value..just a bunch of 0s and 1s..precious metals I can hold in my hand baby..

redolas

You can hold money in your hand. That's not why it's worthless. Inflation makes it worthless. And inflation is not reserved to fiat currencies alone.

Gold is only valuable because it's relatively rare. And difficult to mine. If somebody would find a new, easy source for gold, inflation would set in, the same way as with fiat currency.

Gold inflation has happened before. Just right after Columbus returned from America with ships filled to the brim with the stuff. The price of goods in gold went up.

Cryptos are rare and difficult to mine. Their number is finite. Once all bitcoins have been found, there will be no more, holding their value indefinitely. They have problems, of course. But their backing is not one of them.

catfishjones

This really did open my eyes more to crypto, though I'll probably have to re-watch a couple of times to absorb everything laid out. The best point I think came at the end. No matter what you do, diversify.

o0shad0o

I wholeheartedly disagree. It has nothing to do with how corrupt banks are generally. It has a bit to do with the value of government-issued currencies being manipulated by central banks and being at the mercy of the governments, which have ruined their own money by turning on the printing presses and printing more banknotes until they're worth less than the same volume of toilet paper. It mostly has to do with governments restricting the ways money can be used, and yes, it works well with the black market because that's what many of those restrictions are aimed at.

llegendary

Even the process that you describe is corrupt.....and illegal.

salvia_d

Agreed that government control is a huge part of it as well. Earlier in the video, at around 33:02 or so , governments and corporation preventing funds from flowing into Wikileaks was a major issue and pushed more people towards cryptocurrencies.

BlowjaySimpson

This is exactly it. The price of bitcoin right now is a direct reflection of our failed fiat central bank systems.

o0shad0o

Uhhhh, no, that's a bit of it, that's what inspired the idea of cryptocurrency, and is a reason why some people are buying and holding some bitcoin; and some people are buying bitcoin as an "investment" because they're idiots, relying on the price to go up; that's like calling cash under the mattress an "investment" and not "savings". But the main value behind money of any sort is its utility, and people buy bitcoin because it's useful to buy things in ways credit cards or banknotes or gold coins don't work or don't work as well.

redolas

Just to clarify: the current financial system isn't corrupted (as in broken). It works as designed. And it was designed to suck the wealth out of ordinary people. It can't work forever, but it will be kept alive for as long as possible.

whitehawk

  • suck the wealth out of countries.

redolas

Central banks suck money out of whoever is using its currency. Those can be both countries and people.

Then again, countries are just groups of people. They may have a different legal status, but a country can do nothing without its people doing it. A country doesn't pay its debts. Their citizens do.

New_FoundingFathers

Cryptocurrencies and digital assets are the key to making it through the upheaval

derram

https://hooktube.com/watch?v=recv92rwfMQ | https://hooktube.com/embed/recv92rwfMQ :

Personal Finance: Cryptocurrencies & Blockchain, How & Why They Work, Visualize Bitcoin Need [ASMR] - YouTube

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