Subnostr

That's not the argument being made. If I made a contract with you that states I will pay you the equivalent of an asset in dollars, then why do you think I would pay you in bitcoin in the future just because you asked me to? I am not obligated to do that. I could decide to pay you in bitcoin if I wanted to be nice but I only owe you the dollar amount of your stocks. Even if your stocks start working in bitcoin, they'd pay dividends to me in bitcoin and then I can convert it to dollars and give you that.

Your apple stock that im holding for you could 20x and I can give you $200k per share but if no one wants to trade your dollars for bitcoin or gold later then your stock ownership essentially went to 0.

Now if you held custody of the stock certificates yourself then that's completely different and I agree it wouldnt be worthless from hyper inflation.

plebiANON 2y ago

There is no contract to pay you in dollars if you sell your claim. It is a claim on the ownership in the business. There is a contact to hold your ownership rights. Yes it is a claim, and an IOU for the actual stock certificate, and why self custodied assets are better, but you’ve created a straw man argument where the contract you are suggesting doesn’t actually exist.

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Discussion

MAHDOOD 2y ago

my argument is that if you don't hold your stock certificates then you may not get paid in any other currency but dollars when it comes time to sell. Unless you think the government can magically convert all the 401ks and IRAs into bitcoin.

plebiANON 2y ago

I agree that you have counterparty risk when not holding your own certificates. However, the premise of your original post was that stocks will become worthless due to hyperinflation because they are denominated in dollars. And that is not accurate.