The Achilles’ Heel of Cryptocurrency
A close friend of mine has worked in the financial sector for decades. He’s the CEO of several fintech companies, and he’s patented a number of processes that use distributed ledger technology. Blockchain is one application of distributed ledger technology. It seemed inevitable that it would one day be applied to currency. Blockchain is well suited to some applications, but not all. Its application to currency comes with a number of flaws that few people have considered.
To understand the flaws inherent in the application of blockchain technology to currency, we must first understand the function of currency itself. In its simplest form, currency is a thing of value that can be traded for another thing of value. Thousands of years ago, people conducted commerce by trading livestock, produce, and manual labor. Items made of silver and gold have been used as currency for millennia.
Currencies may have both intrinsic and extrinsic values. Intrinsic value is the value a thing has in itself. Extrinsic value is any value that is not intrinsic. A rare silver coin may have a high extrinsic value to a coin collector, but it also has an intrinsic value—it can be melted down and used in industrial applications. A one hundred dollar bill has high extrinsic value—our culture assigns value to it because it can be used to purchase goods and services, but it has no intrinsic value, being made of paper. A one hundred dollar bill would have greater value if one could take it to a bank and obtain an amount of silver or gold for it. And in fact, in the 19th century, you could do exactly that. U.S. paper currency was once backed by precious metal. You could take a bill to the bank that issued it and trade it for gold or silver. Today, paper currency is backed by nothing and has no intrinsic value.
Cryptocurrencies (all of them) exist as bits of digital code residing on computers connected to the internet. They have no intrinsic value. And without computers and internet access, they have no extrinsic value. These highly valued currencies would become worthless if the internet suddenly became inaccessible. A few years ago, few people worried about losing internet access, but just this week, many internet sites around the globe went offline temporarily. With increasing ransomware activity, internet outages may become more common, putting all cryptocurrency assets at risk.
There is an expectation by many that the widespread acceptance of cryptocurrencies will lead to the downfall of the Federal Reserve and the global central bank system. That seems both unlikely and unnecessary. If and when Donald Trump returns to the White House, he will likely continue his plan to defang the Federal Reserve and the central bank system. His plan appears to hinge on a gold-backed dollar rather than the widespread adoption of cryptocurrencies.
For more information on this subject, check out my book A Kingdom View of Economic Collapse.
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Dave, your argument is that Crypto could become worthless if the internet is down. Long term, that seems far less likely to me than a house fire burning your paper currency or it getting stolen or inflation eating up the value of fiat currency. I do agree there is risk with Crypto but it seems to me to be worth the risk in light of it’s propensity to counter inflation and the possibility for increase in value especially as there are built in throttles on the creation of more coins, in many cases. Thoughts?
Inflation is a transitory inconvenience. Hyperinflation destroys financial markets. Due to the massive monetization of our debt, we are well past the point of no return and headed toward a hyperinflationary crisis. Thousands of years of history show that when financial disaster happens new markets are always run on food, fuel, bullets, gold and silver.
Post “Great Depression” there were men who purchased entire New York buildings for a double Eagle…a $20 gold piece (St Gaudens)….
That is why my crawlspace is filled with gold. Well, it isn’t full, but that’s where I keep it. Paper money will be usless when the crash comes. Electric money will evaporate with the internet. When the race wars start, my bowie knife will be worth so much more than all these crazy fake money fantasies.
Hi Dave, loving your work, not so much this piece.
You have failed to mention, millions of us do this everyday or paycheck. We invest in either our pension or stock or some other asset, whether it makes it or not, will not be our choice. The big difference is WE control it, instantly. We can research, knowing that the investment has gone to where its supposed to, not to a subsidiary or just to line the pockets of the boards.
I believe the gold backed dollar will return, crypto will then be pegged in some form (probably also gold or perhaps silver). Just like we’re seeing now, all those trillions being printed off, distributed, but there only so much gold, so that gets more value per oz.
Some countries will have little to no gold, you can’t give them yours, there isn’t enough, but you can value any resource as you indicated. But how to then back a gold dollar? CRYPTO. I honestly believe Dave, this will end 3rd world status. Imagine a cocao grower, best quality in his country, he can create his own currency, we research him, he’s sound, ethical ,plenty of product buyers. We buy his currency, fund him, his product grows more, but must be bought in his currency, hence demand pays out to us as we sell that currency to his buyers, he gets it back, rinse and repeat, the small man wins, the middle men are gone. And in between all that, merchants see this and will accept the growers currency for goods at retail level. That’s the value I see Dave, and to me, that’s priceless.
God bless you and your family, keep safe, we’ll and always happy.
I like this theory!… is it yours?… where does it come from??
Material:
Gold >> Dollar (Cash)
Immaterial:
Bitcoin (Gold) >> Dollar (Digital)
It’s that simple.
Well, it’s not about crypto, but about “quantum”, so the argument is moot.
(And what is “quantum”? It’s knowledge on a higher level than the purely physical one. It’s another dimension. Hard to understand with your brain. Easy to understand with your heart.)
We do know that real quantum computers exist. (The rest is left as an exercise to the reader.)
Anyone pushing “quantum financial” as the solution is selling snake oil to the gullible.
blockchain like other neat new tech is Gov surplus. When they are done with it we get it.
What “quantum” technology (and the implementations of it) really means, can’t be researched unfortunately, because it’s one of the best kept secrets. So, since you are “just” a Q researcher, you don’t (can’t) know anything about it. This doesn’t mean that it’s not real though…
I am aware of quantum and QFS that is already in operation and may become our universal money system soon. Also understand that the nature of Quantum is consciousness, not AI and that integrity is built into it by design.
What isn’t clear is how our existing fiat money will translate into QFS and… how our crypto will be exchanged for gold backed dollars in QFS. I’d love to have some inside info on these items
I heard Charlie Ward and Simon Parkes refer to the Quantum Financial System, and they also say that it will be managed by [angels and aliens?] I can believe that maybe someone has had a glimpse, in a dream or vision, of something roughly like they describe – at least what I’ve heard them say. And they kept saying it is not blockchain, but it is obvious that neither of them have much knowledge at all of computer technologies.
At this early stage of the Seventh Millennium, even when we get Trump back in the presidency, there may be some awesome economic surprises coming for Americans — I certainly believe there are — but we are fooling ourselves to believe that God’s People are ready for a supernatural financial system to be established, except the Power of the Holy Spirit to Cleanse America from the cloud of witchcraft that makes it five times harder to do good works and serve each other, and the determination of an awakened people to expose all the ways an un-auditable network of thieves have been robbing us blind for all of our lives and much worse over the last 20+ years (so that we can replace the arcane system with, yes, DLT and blockchain technology and give the working class a fighting chance.)
So I got a little bit weary of listening to them — not that they aren’t freedom fighters in their way, but I didn’t have time for everyone and there are lots of other good updates coming out.
Now HERE is my MOST IMPORTANT POINT: I follow Patrick Byrne, and Patrick had an interview with Charlie Ward. So I listened to the whole thing.
When Charlie brought up the subject of QFS, he tried to explain a little bit of the technology to Patrick, who is a pretty savvy tech guy. Charlie called it DLT. The **QFS is Distributed Ledger Technology.** NOW I can get onboard and give him some credit that some of his Intel buddies are telling him that there are new systems that they have developed and they aren’t necessarily “Blockchain”, which a specific type of DLT.
Whether DLT or blockchain, if they have developed a TRANSPARENT WAY to track money flow that removes all the tools from these organized crime syndicates called “financial institutions”, and if Trump (rather, I hope, “when” Trump) gets a powerful bully pulpit to force REAL GOVERNMENT CHANGE, we need to do away with the IRS and simply TAX CONSUMPTION.
That way, the rich will pay tax on everything they buy; corporations will pay tax on everything they buy; and those who may less and spend less will pay less tax. If we want to help folks below a certain income level, we can VOTE on reasonable ways to do that, or leave the States to do it since they are much more qualified (after they rid themselves of organized crime in their governments…) This may be too simplistic — but it’s a starting point.
In the MEANTIME, I totally believe in Blockchain and cryptocurrencies, but I understand Dave’s point. Personally, I am not so sure that Bitcoin is going to be worth nearly as much as many crypto proponents expect.
I do not own ANY bitcoin, but I have a collection of other cryptocurrencies that have real-life functions and real-life business propositions — some of which already have earnings. And the price-to-earnings ratio of a lot of the more popular “altcoins” is more like a mining stock, like 1 to 4, unlike so many tech stocks today.
The “four-year bitcoin halving cycle” is beginning to look like it may diverge into something that looks VERY different this year. However, unless bitcoin just totally tanks, I am hoping (no crystal ball here) and so far have had peace from the Holy Spirit (but no direct word one way or the other) that some of the promising technologies in the altcoin world will do very well. In my IRA’s, I have a mixture of mining stocks (as in silver, gold, copper, and other metals) and also crypto stocks, plus a few other tech stocks.
I wish you all well! The LORD is with us, to prosper us as a nation. But I have not heard of the Holy Spirit sending folks a lot of details about how He intends to do it or on what kind of timetable. (He’s particularly vague about time tables most of the time.)
Thanqs for the good read. The whole crypto thing is too nebulous for me. Every time I try to read about it I just recoil from it. It feels like a sinkhole getting ready to open up.
If what you say is true in your email today, it would suggest that people with ordinary dollars would be able to convert them to the new gold backed dollars created by the new Trump regime.
This in turn suggests that people would do better converting their crypto to dollars since then they would wind up with gold backed dollars.
I’m assuming that the new gold backed dollars would be issued to people who have the old worthless paper dollars but we don’t yet know in what denomination or what amount of credit towards the new currency people would receive for their dollars.
Personally, I do not believe that all cryptos will suddenly disappear or become worthless because they don’t have an intrinsic value. There is already massive “agreement” in the world on the worth of many crypto coins and I don’t see this going away immediately. There is likely to be a transition period in which all things will convert to the new dominant currency becomes. All comments welcome.
Thank you for pointing this out. I see a lot of people pushing cryptocurrencies on line, but have always felt they were pushing air. I was wrong. They’re pushing something less than air!
Based on the convos I have had with the Lord, I would not trust Bitcoin (he didnt talk to me about the others), and also, the dollar most certainly collapse with or without Trump. It is necessary, I think, to help set us free from the Babylonian system. Besides the things I do know for certain from the Lord, I have since noticed that governments are getting more interested in crypto. And I believe based on scripture and prophets I trust that there will be a digital currency forced on people along with the mark of the beast. So, why would Christians so blindly embrace crypt, I do not know.
It didn’t talk to you at all. Do you also talk with Casper the Friendly Ghost? I wish people would grow up.
Paul, do you feel threatened by someone talking with a being that you cannot see?
If not, why must you belittle him? Does it make you feel intelligent?
I can only belittle him if he allows it. If the shoe fits. . .
Crypto is fine for transactions, but it’s not currency. It’s hilarious to me how clueless zoomers and millenials try to push crypto yet have no idea how it works.
I could be wrong. It seems to me the future of blockchain is not with currency, but as a “Letter of Credit”. In centuries past an LC was used to avoid business travel with precious metals or jewels. As a store-of-value it would perform as both intrinsic and extrinsic, absent the speculative value.
If companies would issue Stock Certificates as a Blockchain based ledger system, it seems to me this would be the highest and best use to reduce signficantly the chance of fraud/NAKEDHEDGING.
Achilles’ heel. You need an editor.
Enjoyable comment. I am an editor/editorial assistant. I was born noticing. I don’t bring such items into the public for my friends, of whom I count Dave one.
After the 1929 crash my dad’s parents survived because they had property from which they collected rent. In fact my grandfather, who was a carpenter, basically built the present house I live in.
When he was building the house in 1935, people would come around to see it being built because it was in the middle of the Great Depression when essentially no building was going on. My uncle who used to live in this house said that at that time townspeople would give directions using this house as a reference point because there were no new houses being built locally.
Of course there is no surefire way to prevent personal financial collapse, but I have never made much off of the stock market. My grandfather said that he was not knowledgeable about the stock market, so he stayed out of it.
The government of NJ knows what has intrinsic value all too well. That is why property taxes are so high in this state.
I can tell you that when the stock market collapses it’s similar to a businessman not receiving what he is owed because his debtors have gone bankrupt. Yet the businessman still has to meet his financial obligations if he wishes to remain solvent and continue operations.
The best explanation in my opinion as to how the fractional banking system works was given by Jimmy Stewart in “It’s a Wonderful Life” when there is a run on his bank. It is brilliantly brief and to the point.
The very term “Crypto” makes me very leery about getting involved in this type of currency.
Paper dollars are certainly risky too since they are not backed by gold nor silver anymore and have no intrinsic value.
When I was a youngster, if you found a quarter in the street you had almost enough to buy a gallon of gasoline.
If you smoked you could buy a pack of cigarettes along with a booklet of matches from a vending machine without proving your age.
If you found a dime, you could go to a vending machine and get an 8 oz. bottle of carbonated soda (6-1/2 oz. if you preferred Coke). And if you returned five empty glass bottles to the store at two cents apiece, you had enough for another soda. That was when coins were 90% silver. And when a silver coin was dropped on a hard surface, it had a nice ring to it, whereas the present-day silver plated copper coins emit a quasi clunk..
Inflation itself would suffice to run the federal government if it wasn’t so out of bounds with its spending.
The deep state globalists are doing everything they can to sink worldwide markets and create a global financial panic and collapse. The unending harping and fear mongering from their MSM puppets about the C-19 virus is their desperate attempt to do this.
They would like to rip everybody off like was done in 1932 when the banks were closed for a “holiday” and gold was outlawed for American citizens to own. Of course the rest of the world was allowed to buy and sell our gold. As President Trump has said, the United States has been the world’s piggy bank.
I certainly hope that these slimy New World Order creeps fail in their mission.
They will ultimately fail of course, but that is in the future when I won’t be around for the fireworks of the Apocalypse. I would at least like to see them get a setback from which they will not recover until after Last Great Awakening is over and the Church has been taken to a better world.
Lovely story, thanks for posting
According to an inside source (one of the Q team) the new currency was already printed (with photos to prove it) and ready to go into effect in Trump’s second term. When that occurs, our present paper currency will be exchanged 1:1. Crypto non-essential.
A very wise socio-economic expert said that with the amount of currency in circulation, the value per ounce of gold will need to be set initially at 10 – 25 K in this country for the transition back to the gold standard to work. (So anyone holding physical gold…yeehaw.) Other countries will have to deal with it and set the value of metals in their own countries as they see fit. Because the USA will effectively still be the economic engine of the world and the military super power, we will maintain dominance among the world economies who are friendly with US.
The transition will be turbulent with non-friendly nations and hence, a short (7 year) tribulation period will occur as things are jostled back into plumb. It remains to be experienced how things will shake out with China, since the leftists let the CCP build up their military, among other advantages they were allowed to get over us. This is where God comes in to particular importance…pray.
Within each country, existing paper money will be used for commerce as per usual. The value of gold will be dickered and utilized among countries for commerce.
This wasn’t going to be a big deal transition back when Trump had our economy steaming full ahead coming into 2020. Trump had also ‘tamed’ certain global economic players behind the scene (London, Vatican, Saudis and …) to effectuate the transition. But the globalist cabal couldn’t allow things to transpire in an orderly fashion, and hence the FF virus hoax (planned in advance) was unleashed upon us and Trump lost the election; a hick up.
But be of good cheer, as: 1) Trump is still commander in chief of the military (complete with the football) 2) the military tribunals are in full swing and besides GITMO, Guam and Tierra Del Fuego have been ‘fitted’ for the prison population that will result. 3) Hillary was tried, convicted and executed 5/26/21. And here’s something fun, 4) JFK, Jr. will be Trump’s next VP. Yep!
I was with you until your last paragraph. Can’t work out if you are being sarcastic or not.
No private comms. Ever.
Sorry, not buying it, though it’s a happy dream.
I recently did a post about Bitcon which may peak your interest…
https://www.unschooling.com/t/bitcon/1399
Any recommendations on where to buy gold would be appreciated. ☺️
There are coin dealers in most cities. Expect to pay a few dollars over the current spot price.
Thank you
Food for thought: Why is the [Federal Reserve Note] dollar bill relatively unchanged, compared to the larger bills? Some argue a public/private side and the [eventual] ability to exchange the dollar bill (perhaps at FED banks, that used to have an exchange window for the citizenry) for its constitutional definition in hard currency (e.g., Ag). Some have been known to cite Matthew 13:12 …
Hmmmmm…..
Yes agreed very simply stated. Thanks Dave that is what i was thinking. If the internet goes down no trading crypto. And as you know, 45 said also that he doesn’t like bitcoin
IMHO- Forget about gold backed dollar. That ship has sailed and never coming back nor should it. Why would you trust going back to that. The problem with gold is it can be controlled or confiscated because gold lives in the physical world.
The reason we are off the gold standard is because of gold being physical not like Bitcoin.
Bitcoin is digital gold. It cannot be controlled by any one person or entity. It is decentralized and open source. Everyone can see all transactions on the ledger.
It is the most powerful combined computer system the world has ever seen and only increasing in power. That makes it the most secure system ever created.
You can’t inflate it. It is 21million coins only that are
divisible by 100 million.
The reason Bitcoin will win is because it does not exist in the physical world. So it cannot be controlled or confiscated. Big difference compared to gold.
You need to do your due diligence because based on your article and most of the comments you are missing it.
I would suggest putting the time on YouTube and listen to everything from Michael Saylor CEO of Microstrategy.
He understands what Bitcoin is and can explain it in layman’s terms.
It’s early don’t miss it because you did not really understand it.
Did you understand personal computers when they came out?How about email?windows? Search engines?, e-commerce?
This is your chance to still get in the game.
It’s early
Its doubtful that any fiat will ever be tied to a fixed amount of gold as it was before 1971. What may well happen is that the gold price ( physical only) will be allowed to find its level in a free market. This is called reference point gold, freegold or gold as an indicium. See FOFOA for an explanation.
The arguments about there not being enough gold hide the fact that the current price is incorrect. Oddly enough a lot of goldbugs see its return into the monetary system when what may be happening is the opposite. It’s moving even further out of the system to take its rightful place as a revealer of the true value of fiat.
All conjecture till it isn’t
Gold is a good store of value proven over thousands of years. However, because of its physical attributes it is not easily used as a currency or medium of exchange. To move large sums of gold is not easy to do. And, thats why it was pegged to paper currency.
But history has shown that this did not work or we would still be on a gold backed dollar.
The problem is and will continue to be people with power changing the rules of the game for their own gain or cause.
Unfortunately all’s it takes is one moment in time like 1971 when Nixon took us off the gold standard and the U.S. defaulted on its promise to pay back all the countries their gold. This isn’t the first time because you probably already know when FDR in 1933 made it illegal to own gold and confiscated citizens physical gold paying them $20.00 an ounce and then when confiscated setting the price at $35.00 an ounce. Sound fair? How do they get away with this? Power…
Might makes right philosophy.
That is why the idea of the dollar backed by gold can never be trusted again.
So let’s say Trump becomes president again and manages to put the dollar pegged to physical gold. How long do you think before some big government types/Socialists would end that peg to gold because it’s to restrictive?
How long do you think our government would stay on a budget or possibly having to shrink the Federal government because the dollar is pegged to a scarce asset such as gold?
The problem is it is too easy for a federal government like ours to print money. Their is too much incentive to do so.
Because of the money printer they are able to pay for all their inefficient social programs, foreign policies that control other countries, corporate welfare and endless wars for the military industrial complex to name a few things that are done with printed dollars.
The main reason why gold has value is because it is relatively scarce.
But, how do you trust governments to audit their gold reserves?
Without knowing exact amount of physical gold in the world having gold backed currency means absolutely nothing.
Again, because gold is physical it can be manipulated and controlled. And, worse case scenario governments can outlaw possession and confiscate physical gold.
With Bitcoin you don’t have these problems.
Bitcoin is trustless. You do not need to trust someone or some entity to audit it. It is open source. You can see all transactions in real time on the blockchain.
Bitcoin is decentralized. Meaning no one person or entity controls it. There are thousands of computers across the globe that have to have consensus for all transactions that happen on the blockchain. The blockchain is a ledger that can’t be manipulated.
Bitcoin is unconfiscatable.
You can keep the 12 word password in your head because it’s not physical. Try moving about the country or world with your wealth in physical gold.
Also because Bitcoin is on the internet it can be moved across the globe at the speed of light. You can move a billion dollars as easily as $1 dollar for a few pennies.
Bottom line is Bitcoin is an algorithm on the internet that cannot be controlled by any one person, entity or government.
Bitcoin cannot be inflated to silently devalue your wealth away like fiat money(the dollar).
Bitcoin is hard capped at 21 million coins divisible by 100 million per coin.
You can buy fractions of a coin like $10.00 or less.
IMHO- Fiat currency(the dollar)I think is the main problem in the world today.
Socialists and Communists love fiat currency because they never run out of money.
You probably heard the saying Communism works until they run out of others people money. The problem is if you have the power to print money, you never run out.
Our current federal government Is doing this today.
So this crazy upside down bizarro world is directly the result of our current fiat currency system. Take away the printing press and they do not have the power to manipulate people to say the sky is red, that up is down and down is up.
I believe Bitcoin is the only peaceful solution
to end all this corruption.
People say gold is God’s money. I am a Christian, and maybe that’s true. I think Bitcoin is God’s money too and I think better money than gold.
God made math and electricity. Bitcoin is math and electricity on the Internet.
It just took some person(s) to use his God given brain to code Bitcoin into existence.
Over the next 6 to 12 months Bitcoin will be attacked ruthlessly by all the same people who attacked Trump. The Deep State and MSM. I think the first reason is to destroy it outright but if that doesn’t work, it is to front run it, to drive the price down to get as much cheap Bitcoin as they can before it eats up a lot of other types of assets store of value. Gold being one of them.
Bitcoin has been around for 12 years. I think it is beyond being destroyed. It will be a bumpy ride(volatile)but I think in the end will be one of the best store of value assets one could own.
Also, when you buy Bitcoin you are voting for a new transparent monetary system, not like our current voting system.
The powers that be cannot steal your vote when you buy Bitcoin. It’s outside of their control.
You can wait until the dust settles or you can buy some Bitcoin today.
I think Bitcoin has a good chance of being the reserve asset of the world. I feel this way because Bitcoin does not have any borders. Other countries and people around the world are already embracing it.
Time will tell.
This is not financial advice, just my opinion.
Do not trust what I say. Due your own due diligence. YouTube is a good source but be careful of fake news and other scams.
Trump said that bitcoin seems like a scan and he supports the dollar. SO, Trump himself said it not just the deep state and MSN the Real President, Trump “Bitcoin, it just seems like a scam”.
.
https://www.bbc.com/news/business-57392734
Keyword is “seems”.
What happened when Trump promoted hydrochloroquine as possible cure for COVID.
Hydrochloroquine was discredited by MSM as quackery and therefore very hard to get.
What do you think would have happened if he said Bitcoin “seems“ like a great asset to invest in to store value?
Maybe Trump is playing possum…maybe not…
Trump is not an expert at everything. Trump is not infallible.
Also, I don’t blame Trump for sticking up for the dollar. He is the President of the United States.
Interesting ideas. I’m wondering apart for thousands of tons of gold and billions in foreign currencies how many bitcoins do the central banks have ? If what you say is true then a significant % would be in crypto at this stage.
What did I write that makes you think Central Banks own Bitcoin in the reserves?
Maybe they do but I doubt it.
Bitcoin is a free market solution and real price discovery. I don’t think Central Banks are interested in that. What would be the purpose?
Maybe you see something I am missing.
If so, please let me know.
Thanks
Oh no! The internet went down. I panicked and quickly checked if my physical gold coins were OK. Relief all round, they were right where they should have been. Like the song goes ‘ Believe in God and then Believe in Gold’. To misquote Mrs. Thatcher ‘You crypto if you want to but this man is not for cryptoing’.
Thanks Dave, I look forward very much to your next Q book and , as time passes, I realise that I give much more credence to your dreams than I do to that once great news outfit – the BBC.
Your gold and silver will be the last thing you will be thinking about if the internet goes down for any significant length of time. I don’t think you have to worry about that “The Internet” it is here to stay,
Be careful of compound ignorance. It’s when you think you know but you don’t know.
Btw- Bitcoin can still keep its ledger intact if the internet goes down. Bitcoin is also broadcasted by satellite in case internet went down.
And if the Internet AND the satelites are taken out by an X-class Coronal Mass Ejection? You keep your bitcoin; I’ll hang onto my gold.
you cant even carry it
@Paul Smith I don’t know what an X class Coronal Mass Injection is, but it doesn’t sound good.
An X class coronal mass injection is what the Illuminati is planning! Get educated and get prepared!
Do some research…don’t be Stephen.
Hi Jim You well may be correct. A lot of ‘The Internet of things’ is over my head but I do understand that a bird in the hand is worth two in the bush. I’m old school in that way. Some people have made small fortunes betting on the price of Bitcoin and I’m pleased for them, it’s just not for me. I’m happy in my recividism. These are interesting times and I sleep well
Gold backed currency will live on in infammy.
Modern Gold Bitcoin backed currencies travel to Tomorrowland easier!!
We are still chasing Mayan Gold, Civil War Gold, even the ark!!
Dave your close. very close.
Who has gold backed currency? Let me answer that for you….nobody.
In tommorowland trading will be quicker and easier but it will be yesterdayland ( 1500 and earlier) that will set the rules that determine value.
Gold’s intrinsic value is only 5% of it’s monetary value… 95% of gold’s value is its “store-of-value” value. In other words, the reason gold is valuable is NOT because of its intrinsic / utility value, but rather, 95% for the same reason that Bitcoin is valuable.
Gold is a good store of value proven over thousands of years. However, because of its physical attributes it is not easily used as a currency or medium of exchange. To move large sums of gold is not easy to do. And, thats why it was pegged to paper currency.
But history has shown that this did not work or we would still be on a gold backed dollar.
The problem is, and will continue to be, people with power changing the rules of the game for their own gain or cause.
Unfortunately, all it takes is one moment in time like 1971 when Nixon took us off the gold standard and the U.S. defaulted on its promise to pay back all the countries their gold. This isn’t the first time the rules changed because as you already know in 1933, President Franklin D.Roosevelt made it illegal to own gold and confiscated citizens physical gold paying them $20.00 an ounce and then when confiscation was complete set the price of gold at $35.00 an ounce. Sound fair? How do they get away with this? Power…
Might makes right philosophy.
That is why the idea of the dollar being backed by gold can never be trusted again. History always repeats itself.
Hypothetically…let’s say Trump becomes President again and manages to put the dollar pegged to physical gold. How long do you think before some big government types/Socialists would end that peg to gold because it’s to restrictive to stay in power?(meaning free stuff)
How long do you think our federal government would stay on a budget or possibly having to shrink the Federal government because the dollar is pegged to a scarce asset such as gold?
The problem is…it’s too easy for a federal government like our own to print money. Their is too much incentive to print money. (Imagine if you could do that without facing jail time.)
Because of the money printer they are able to pay for all their inefficient social programs, foreign policies that control other countries, corporate welfare and endless wars for the military industrial complex to name a few things. Not to mention lining their and their friends pockets in the process.
The main reason why gold has value is because it is relatively scarce.
But, how do you trust governments to audit their gold reserves?
Without knowing exact amount of physical gold in the world, total supply, having a gold backed currency means absolutely nothing.
Again, because gold is physical it can be manipulated and controlled. And, the worse case scenario is governments can outlaw personal possession and confiscate physical gold.
With Bitcoin you don’t have these problems.
Bitcoin is trustless. You do not need to trust someone or some entity to audit it. It is open source. You can see all transactions in real time on the blockchain.
Bitcoin is decentralized. Meaning no one person or entity controls it. There are thousands of computers across the globe that have to have consensus for each transaction that happens on the blockchain. The blockchain is a ledger that can’t be manipulated.
Bitcoin is unconfiscatable.
You can keep the 12 word password in your head because it’s not physical. Try moving about the country or world with your wealth in physical gold.
Also because Bitcoin is on the internet it can be moved across the globe at the speed of light. You can move a billion dollars as easily as $1 dollar for a few pennies.
Bottom line is Bitcoin is an algorithm on the internet that cannot be controlled by any one person, entity or government.
Bitcoin cannot be inflated to silently devalue your wealth away like fiat money(the dollar).
Bitcoin is hard capped at 21 million coins divisible by 100 million per coin.
You can buy fractions of a coin like $10.00 or less.
IMHO- Fiat currency(the dollar) is the main problem in the world today.
Socialists and Communists love fiat currency because they never run out of money.
You probably heard the saying “Communism works until they run out of others people money”. The problem is if the Big government/Socialists have the power to print money, they never run out.
Our current federal government Is doing this today.
IMHO- This crazy upside down bizarro world is directly the result of our current fiat currency system. Take away the printing press and they do not have the power to manipulate people to say the sky is red, that up is down and down is up and genders can be chosen.
I believe Bitcoin is the only peaceful solution
to end all this corruption and the shredding of our Constitution.
People say gold is God’s money and maybe that is true.
I am a Christian. I also think Bitcoin is God’s money.
God made math and electricity. Bitcoin is math and electricity on the Internet. I think Bitcoin is a lot better money than gold.
It took some person(s) to use his God given brain to code Bitcoin into existence.
Over the next 6 to 12 months Bitcoin will be attacked ruthlessly by all the same people who attacked Trump. The Deep State and MSM. I think the first reason is to destroy it outright but if that doesn’t work, it is to front run it, to drive the price down, so the elites can get as much cheap Bitcoin as they can before it skyrockets, eating up all other types of assets that people use to store their wealth. Gold being one of them.
Bitcoin has been around for 12 years. I think it is beyond being destroyed. It will be a bumpy ride(volatile)but I think in the end will be the best store of value asset a person could own.
Also, when you buy Bitcoin you are voting for a new transparent monetary system, not like our current voting system.
The powers that be cannot steal your vote when you buy Bitcoin. It’s outside of their control.
I think Bitcoin has a good chance of being the reserve asset of the world. I feel this way because Bitcoin does not have any borders. Other countries and people around the world are already embracing it.
Time will tell. You can wait until the dust settles when the opportunity is over or you can buy some Bitcoin today.
This is not financial advice, just my opinion.
Do not trust what I say. Due your own due diligence. YouTube is a good source but be careful of fake news and other scams.
Trump himself said, “Bitcoin, it just seems like a scam”. So, it is not just the deep state and MSM that attacked bitcoin.
Keyword is “seems”.
What happened when Trump promoted hydrochloroquine as possible cure for COVID.
Hydrochloroquine was discredited by MSM as quackery and therefore very hard to get.
What do you think would have happened if Trump said Bitcoin “seems“ like a great asset to invest in to store value?
Maybe Trump is playing possum…maybe not…
Trump is not an expert at everything. Trump is not infallible.
Also, I don’t blame Trump for sticking up for the dollar. He is the President of the United States.
BTW- The MSM asked Trump the question about Bitcoin. Ask yourself, Why do you think they asked Trump of all people about Bitcoin? It’s not like he’s important in the minds of MSM. You think the MSM really care about Trump’s opinion about anything unless they can use it to for their end goal. It’s one of those gotcha questions. “Like when did you stop beating your wife?” Either way Trump answered it was bad news for Bitcoin. And, the timing of the question reveals their agenda. Slow down Bitcoin.
MSM do not do anything without an agenda, by creating a narrative with a goal to front run their target.
MSM are good at what they do “fake news”.
I trust President Trump. As an aside, maybe there is a reason why the name Trump is associated with gold towers?
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I also trust the Prophets like Hank Kunneman. I heard Hank talk about gold and silver at least one time this year. Not sure if Hank as talked about Bitcoin specifically.
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Anyone else have any insight to what the prophets have said about Bitcoin or gold?
As a Christian, I have learned to stop listening the the MSM and instead listen to the Prophets for information or direction. In other words, issues like bitcoin/gold gets filtered to see what lines up with the Prophets I trust (my wife and I have about 10 we listen with maybe 5 often and 5 infrequent — all 10 support D.J.Trump).
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I have heard Hank Kunneman talk about gold/silver this year once. Anyone else please chime in on what they have heard from the prophets and help prepare us for the wealth transfer.
I had a dream that angels picked up Donald Trump and flew him to Washington DC and sat him on a giant Throne in the White House. And it was a throne of GOLD, not bitcoin. I think that tells us everything we need to know.
Don’t worry what happens “after Trump.” Once Trump is reinstalled, he’s not leaving. Everything will change. He will be the permanent president of the FREE USA. He will name a hand-picked successor to take over for him after he dies to ensure that his right-thinking, god-fearing, anti-illuminati, Q-based policies continue.
Larry, what are you doing to protect yourself from the mind control drugs in the chemtrails? Educated yourself and protect yourself!
You’re not doing nearly enough. Eating right, exercising and taking multivitamins does nothing to get or keep the toxins from chemtrails out of your body. You need liquid zeolite, selenium, chlorella, spirulina and milk thistle. I take all of the above every day and I’m 1000% sure that my body is free of the chemtrail mind control drugs.
This is basic stuff. I’m surprised you’re not doing it. Beware. The chemtrails can turn you into docile sheep, easily manipulated. Protect yourself!