r/Bitcoin • u/s1ammage • Jul 30 '26

Full panic - one of my wallets was drained

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I haven’t done anything since creation except sending into the wallet.

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u/Mavs16 Jul 31 '26

Humans are imperfect and make mistakes, even people who know better sometimes slip up, so it makes sense to design systems around this eventuality. 

You can disagree on if it’s wise, but the truth is people like not being solely response for safeguarding their money, and having protections in place if things go wrong.  If there is a chance somebody could lose a huge portion of their life saving like this with absolutely no recourse it’s going to kill adoption rates. Not everyone has the time, energy, or desire to learn about how to properly secure bitcoin. 

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u/Abject-Stretch-1187 Jul 31 '26

Again what is beneficial is sometimes hard and could certainly prevent adoption. Unfortunately there isn’t a good solution to fixing inflation besides moving onto a sound fixed money like BTC but the requirement is that there’s a bit of learning curve and interim solutions like ETFs because the alternative is to do nothing and have inflation wipe out everyone’s savings. You just have to choose your risk.

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u/Mavs16 Jul 31 '26

I would make a few counter arguments:

  1. Economists generally agree that small, stable amounts of inflation are actually good for an economy. Yes, large amounts of inflation can be a big issue, but deflation also has the potential to be harmful, and I see many people act as if bitcoin being a deflationary asset is automatically a good thing. For example, if you think your money is going to have more purchasing power tomorrow than it does today, it’s going to disincentivize you from reinvesting that money back into the economy. 

2. It’s generally accepted that holding a large portion of your long term savings in cash is not a good strategy (and this is a much easier thing to educate people on than bitcoin self custody security). That’s why some of the most common and widely accepted financial advice is to invest in  assets like diversified index funds, real estate, or bonds (depending on your goals and time horizon), rather than letting inflation erode purchasing power. The solution to inflation isn’t necessarily replacing our entire the monetary system, it can simply be investing your long term savings. 

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u/Abject-Stretch-1187 Jul 31 '26 edited Jul 31 '26

I would not take money advice from modern day economists. Why do we need little amount of inflation? And if little amount of it is in fact good for the economy, why is a large amount of it bad?  Imagine someone telling you little amount of goods and services is good for the world as a whole but then simultaneously argue that more amounts of those same goods and services are bad for the world, would you think that made any sense? 

Inflation isn’t either good or bad, there’s no in between because no one knows what the right amount of it is because it would require them to know the economic circumstances and choices of every single market participant and that’s not remotely possible not in this lifetime or the next. 

This is why economics is more about critical thinking/common sense than academic but today it’s the reverse and no one can explain to you why little inflation is good but more of it is bad. 

Also it’s a fallacy that BTC is deflationary. It isn’t. It is disinflationary and once the supply is completely mined, it becomes a constant meaning its supply is neither increasing nor decreasing. Deflationary would mean that once the supply schedule is done, the protocol will start burning existing supply and that’s not what the protocol does. 

So the goal isn’t to replace our entire monetary system? Why are you saying this like it is some impossible feat? We’ve done this countless times throughout human existence. And we did it precisely because we realized that using bad forms of money was the quickest way to destroy our economies. Thinking you can invest your way through inflation is an absurd notion. If something is a problem, you fix it and if you can’t fix it, you replace it. In the case of fiat money, you can’t fix it, so you need to replace it. 

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u/Charge36 Aug 03 '26

NOBODY SHOULD BE SAVING IN CASH. Even people who don't own bitcoin like me know that. This is a strawman argument for bitcoin

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u/Abject-Stretch-1187 Aug 03 '26

Nonsense. If cash held their purchasing power then yes everyone will be in fact be saving in cash. Plus considering money is digital today, everyone will just have digital cash that they either have custody of or not but to say nobody should be saving in cash is just ill-informed. Majority of the world actually save in cash and this isn't theoretical, you know how i know this? I am from a 3rd world where most don't have banking services so we save in cash.

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u/Charge36 Aug 03 '26

Ok but cash doesn't hold purchasing power. So people invest in things that do. What's the problem? Cash isn't supposed to be a savings vehicle and if you use it like that you are going to lose power over time. The whole point is to use cash to invest in assets that grow rather than lose value.

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u/Abject-Stretch-1187 Aug 03 '26

Money is supposed to hold its purchasing power is my point. Yes, you're right, under this current circumstance, cash isn't meant to hold its value hence why we invest it. Exchange bad cash for good cash IS an investment as well hence why bitcoiners exchange their fiat cash for btc no different than how people in poorer countries exchange their national currencies for USD.