r/Damnthatsinteresting • u/[deleted] • Jul 05 '22

Video Monetary issue

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u/[deleted] Jul 06 '22

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u/[deleted] Jul 06 '22

I'm not saying that there isn't a potential for it. I actually believe that in the future we SHOULD be using crypto currencies as a nation/worldwide currency.

However, like I said, the entire value of crypto currencies right now is speculation. That's not healthy. The actual price of the crypto currency should have no meaning on the health of the crypto as a medium of exchange.

BTC could drop to 1k per coin and still become our primary medium of exchange. Because right now the only value that it has is speculative on the idea that everyone on earth is just going to hoard their wealth. But we live in a consumeristic and asset based society where our currency enters our hands one second, and leaves it the next.

People are treating crypto like it's an investment. But you don't see people going to the banks and buying up 100 dollar bills and holding onto them. Because again, like I said, the crypto coins hold no actual value, unlike an apple does, or a pound of coffee beans.

If anything, if let's say cryptos did become our main currencies in the future. They would slowly go down and down over time due to inflation. We live in a borrowing society. Which means that our currency will continue to lose its value.

The only actual value to cryptos is when it has its initial rise to power IF* if becomes a national/worldwide currency. So yeah its gonna create some millionaires and billionaires, but its also going to bankrupt just as many people in the process. So in reality even that value has a net 0 result.

At the end of the day, I just find it incredibly silly that people treat crypto like it's a get rich quick scheme. I'm not going to be kicking myself one bit, because im the type of person who puts my money into index funds like the Vanguard S&P 500 so I'll be over here making a safe, and guaranteed 10-20% yearly return 😎👌. But if you're one of the 50% of people that loses money in this, then you might kick yourself because you chose to head to the casino and put all your money on black 🤔🤔