The offensiveness is only going to accelerate, as the fiat system breaks down.
Not as fast as Balaji thinks, but over time.
Discussion
Weather is fine here in Nostr-land.
You really should join our zapathons, #[3] 💜
chances are between sigma +3 and +4
I’d love to hear your thoughts on the deflationary aspects if BTC
Deflation is inherently good, with a sound money. It means increasing productivity/technology is making prices lower.
But a high-debt system built upon inflation, cannot withstand deflation.
Assuming you are talking about price decreases. Deflation is a decrease in money supply…prices will get lower for existing things…as they get commoditized. But new tech and innovation will be in higher demand at new prices. Ever accelerating innovation and abundance. So net net there will be no deflation (price decreases), just increase in abundance and time. Time also for art, beautiful architecture and muse.
Fiat fights this
It can withstand deflation if the unwinding of the debt is done slowly along with partial refies. We have to start with the spending though. There can not be another penny of deficit spending which just gets monetized with additional borrowing on top, exasperating an already stressed finance system. That means real gov't budget cuts to all Agencies of the gov't. You're now mandated by the taxpayer to live within your means. Bitcoin is an important part of this situation too.. Rand Paul has his 6 cent plan.. His plan taxes 6 years to a balanced budget. Maybe we should research his ideas. But 6 years??
Correction: Paul's plan takes 6 years to balance the budget.. I oughta proof read a whole lot more than I do..
I kind of believe that, as one of these ERE types, but time and chance happen to us all, how is debt managed and restructured in a world with deflationary money?
Can we have a fractionalized banking system on a deflationary currency? What would discourage hoarding of a scarce asset like Bitcoin? Just trying to understand the counter arguments ..
"In due course."
do you think there will come a crunch time where as the banks fail bitcoin becomes a stranded asset?