Already as Bitcoin (BTC) feeds on the ECB’s and the Fed’s banknote printing, it could even become the central bank of the future. The gold standard may be dead, but the Bitcoin standard could be the future of fiat currencies.
Bitcoin: the currency of the future or the future of money
The author of the bestseller ” The Price of tomorrow »And co-founder of the company BuildDirect, Jeff booth, believes that in the near future, all national currencies could be pegged to Bitcoin.
In an interview with Cambridge House International, Booth describes the scenario that could lead to Bitcoin to become the reference currency.
The scenario envisioned by Booth is based on the monetary policies adopted by most governments which lead to sharp depreciations of the fiats.
According to him, citizens seek to protect themselves from the devaluation of fiat currencies and, Bitcoin could be one of the solutions to solve this problem.
Sew Bitcoin into your clothes?
Booth also argues that technological advances are inherently deflationary in nature: this progress automatically produces a certain degree of efficiency which reduces prices.
Technology is the opposite of lax monetary policies, oppositions that create competition between these two elements.
According to Booth, while technology tends to reduce prices, the debt inflates them: by extension, this swelling leads to an increase in the price other assets – stocks, real estate, etc..
When the level of debt becomes unsustainable at some point, thecollapse of society is then foreseeable.
Booth also referred to the status of gold as a reserve asset: taking the example of WWII refugees who sewed gold into their clothes, he believes that Bitcoin is much safer in disaster situations because of its portability.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.
Try to imagine a Satoshi Nakamoto designing Bitcoin and thinking to himself: I want to create a world central bank. No matter what anyone says about Bitcoin, he’s awesome and his daddy is just a genius. Bitcoin’s disruptive force is enormous, and nothing has been seen yet because the current changes just seem to be the premises for the emergence of a new monetary, economic, financial, technological and even political paradigm. The next 10 years are promising. Happy are the men and women who lived in the era when Bitcoin was born and took its first steps: they will have witnessed the origins of a revolution.
Litecoin, welcome in the Silver Age