Subnostr

Why wouldn’t companies producing actual goods just get repriced in Bitcoin? If your business is producing more capital than it’s using, currency denomination is irrelevant. Plenty of countries hyperinflate their currencies and the equity in productive companies doesn’t just go to zero.

MAHDOOD 2y ago

the equity doesnt go to zero but is your money manager obligated to pay you in bitcoin when you choose to collect your profits?

Reply to this note

Please Login to reply.

Discussion

plebiANON 2y ago

I would move my stock somewhere where I can get paid out in real money. If the company switches to a Bitcoin standard, someone will pay me in Bitcoin for the cash flow streams coming from the company. It’s a return to actual value investing. If the company is producing a return on capital, your ownership interest will be salable for real money.

Additionally, your money manager doesn’t pay you out. There are market makers that match buyers and sellers. If you don’t offer your stock for sale in dollars (they are worthless anyways), and demand Bitcoin, your money manager will either steal the buyer’s Bitcoin, or give it to you for your sale.

Where people will get crushed is the passive investing into companies that don’t actually have a return on their capital.

MAHDOOD 2y ago

Too much trust in 3rd parties required for me personally

plebiANON 2y ago

I agree with that, and prefer to hold my wealth elsewhere as well, but the premise that dollar denominated assets will go to zero just because the dollar hyper inflates, is a faulty one.