When fractional reserve lending breaks and the world has to collapse to fit within the hard money savings instruments people hold (Bitcoin, Gold, productive Land+guns), Bitcoiner’s will have to think about lending out their Bitcoin for productive projects (eg helping a farmer buy seed corn in the winter). We will be the only ones left to do it and if we fail to rise to the occasion of keeping the world turning some Keynesian will step in with a horrific CBDC that promises short term relief. Probably best from an opsec perspective if this lending is indirect so people don’t turn on us.
Discussion
I won't lend. I will invest. my bitcoin is too valuable to risk on lending. i will get a stake.
I run businesses now and the management is intense. I personally can’t wait to be a “passive” investor. But the CAGR has to reliably outpace Bitcoin appreciation or the business has to be essential in someway to keeping the wheels of the world turning during the transition.
absolutely. we'll see local and regional business ventures that will grow fast and will be worth the investment. people will always have ideas for meeting society's needs. it might be a small chain of butcher shops or an awesome raw milk dairy. i think there will be plenty of opportunties.