ADVERTISEMENT
Saturday, January 28, 2023
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms & Conditions
Involve Africa
  • Home
  • All African News
  • Politics
  • Technology
  • Entertainment News
    • Travel
    • Tourism
    • Arts
  • Finance
    • Food & Agriculture
    • Business & Economy
  • Crypto News
  • Energy & Environment
No Result
View All Result
  • Home
  • All African News
  • Politics
  • Technology
  • Entertainment News
    • Travel
    • Tourism
    • Arts
  • Finance
    • Food & Agriculture
    • Business & Economy
  • Crypto News
  • Energy & Environment
No Result
View All Result
Involve Africa
No Result
View All Result
ADVERTISEMENT
Home Business & Economy

The Dollar Is Inflating Against Bitcoin

Involve Africa by Involve Africa
June 12, 2022
in Business & Economy
0
The Dollar Is Inflating Against Bitcoin
585
SHARES
3.2k
VIEWS
https://web.facebook.com/involveafricanews?_rdc=1&https://twitter.com/involveafricanews

You might also like

Total Telecom takes highly successful Connected event series to the U.S.

Africa: AI Tool ‘98% Correct’ to Predict Mosquitoes’ Age

Nigeria: Officer Who ‘Shot’ Bolanle Raheem Attempted to Flee From Scene, Police Witness Tells Court



It is my fervent wish that hyperinflation never reaches our shores. The probability that we will avoid that outcome is extremely slim. Put another way, our chances of experiencing hyperinflation are extremely high; the only question is timing. When will it happen? Many hope it’s a long way off. Some believe it’s here already and has been for quite some time.

The U.S. Dollar Is Drastically Inflating Against Real Estate

Some argue that hyperinflation is already here in real estate. Many Americans (and other people around the globe) are feverishly overpaying for real estate that, in some areas, is causing housing prices to nearly double in just one year. I don’t mean to be a buzzkill, but no, the value of your home didn’t just double in a year. Your currency is rapidly inflating against a hard asset like real estate. Are there other signs?

Is Bitcoin An Inflation Hedge?

There are plenty of people saying bitcoin isn’t an inflation hedge. They point to last year of record amounts of inflation while the bitcoin price has remained about the same or has moved lower since November. How can that be?! Well, the only people who try to measure inflation month-by-month or a year at a time are central bankers and people who operate with high time preference. Is that you? If so, zoom out!

Let’s make a fair comparison of the U.S. dollar and bitcoin since the day they reached parity. Most people including Bitcoiners have no idea when that happened. Do you? A quick search reveals that on February 9, 2011, one bitcoin was equal to one dollar. Now we have a measuring stick for inflation for the past 11 years. Measuring inflation by the decade strikes me as a low time preference way of thinking. So, what do we learn?

The Dollar Has Drastically Inflated Against Bitcoin

If you zoom out as I suggest, you will notice that bitcoin is now 29,000 times more valuable than the U.S. dollar. Viewed through that lens, I think it’s safe to say bitcoin is telling us a different story about inflation. It’s telling us that the U.S. dollar is drastically inflating against the hardest form of money ever invented or discovered. Anyone who tries to argue otherwise doesn’t understand money, the banking system or our financial system. Oh wait, that’s pretty much all of us.

I take no comfort in pointing this out, but I roll my eyes at the morons in government, the press, Wall Street, Silicon Valley and yes, even die-hard Bitcoiners who view inflation through the wrong lens. If your unit of account is the U.S. dollar and you view bitcoin as an investment then your framing is plausible, if misguided. Maybe I’m the one who is delusional, but I think the experiment of a decentralized form of money that governments, corporations and billionaires can’t devalue has been working very nicely since 2009, and I’m sure more people will discover the blinding flash of the obvious this year, and for many years to come.

To all those Bitcoiners who believe they operate with low time preference and wonder why bitcoin hasn’t moved in lockstep with reported inflation numbers, check your financial blind spot: You’re using the wrong unit of account. You suffer from fiat disease. If your unit of account is bitcoin, the U.S. dollar has been rapidly inflating against bitcoin for 11 years. No, it hasn’t been a smooth ride.

No need to panic but newsflash: The U.S. dollar has been drastically inflating against bitcoin for quite some time now. I admit this reality is a tough pill to swallow. You might want to get some just in case the dollar keeps inflating.

Bitcoin Is Savings Technology Not An Investment

There is a reason why many companies and people keep accumulating more bitcoin while the price goes lower. Even the framing of bitcoin as being in a bull or bear market is completely off the mark because it implies bitcoin is an investment. There are plenty of people who believe bitcoin is an investment. I’m not one of them. However, if you view bitcoin as savings technology, then the current season is a value-discovery period for the only digital money that has existed for at least a decade and has gained 29,000 times more value than the world’s reserve currency. You might want to get some just in case.

“Humanity and our world has many problems … bitcoin isn’t one of them.” –Erin Crawford

This is a guest post by Mark Maraia. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc. or Bitcoin Magazine.



Source_link

Previous Post

Heatwave forecast: 35C Africa plume to hit UK in DAYS- one of hottest blasts for 130 YEARS | Weather | News

Next Post

16 Wonderful Things To Do In Lisbon

Involve Africa

Involve Africa

Related Posts

Total Telecom takes highly successful Connected event series to the U.S.
Business & Economy

Total Telecom takes highly successful Connected event series to the U.S.

by Involve Africa
January 27, 2023
Africa: AI Tool ‘98% Correct’ to Predict Mosquitoes’ Age
Business & Economy

Africa: AI Tool ‘98% Correct’ to Predict Mosquitoes’ Age

by Involve Africa
January 27, 2023
Nigeria: Officer Who ‘Shot’ Bolanle Raheem Attempted to Flee From Scene, Police Witness Tells Court
Business & Economy

Nigeria: Officer Who ‘Shot’ Bolanle Raheem Attempted to Flee From Scene, Police Witness Tells Court

by Involve Africa
January 26, 2023
How will Satya Nadella handle Microsoft’s ChatGPT moment?
Business & Economy

How will Satya Nadella handle Microsoft’s ChatGPT moment?

by Involve Africa
January 26, 2023
Ghana: Improvement On Mining Laws Will Attract More Investment
Business & Economy

Ghana: Improvement On Mining Laws Will Attract More Investment

by Involve Africa
January 25, 2023
Next Post
16 Wonderful Things To Do In Lisbon

16 Wonderful Things To Do In Lisbon

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Harmony Offers to Reimburse Community By Minting Billions of Tokens, Sparking Backlash

Harmony Offers to Reimburse Community By Minting Billions of Tokens, Sparking Backlash

July 27, 2022
Tips on managing mastitis control programmes

Tips on managing mastitis control programmes

September 11, 2022

Categories

  • All African News
  • Arts
  • Business & Economy
  • Crypto News
  • Energy & Environment
  • Entertainment News
  • Finance
  • Food & Agriculture
  • News Videos
  • Politics
  • Technology
  • Tourism
  • Travel

Don't miss it

No Insurance? Here’s How To Get Cheap or Free Eye Exam and Prescription Glasses
Finance

No Insurance? Here’s How To Get Cheap or Free Eye Exam and Prescription Glasses

January 28, 2023
Astar launches new HRMP channels with Equilibrium
Crypto News

Astar launches new HRMP channels with Equilibrium

January 28, 2023
Photos from Everything We Know About Ted Lasso Season 3
Entertainment News

Photos from Everything We Know About Ted Lasso Season 3

January 28, 2023
14 Very Best Places In Provence To Visit – Hand Luggage Only
Travel

14 Very Best Places In Provence To Visit – Hand Luggage Only

January 27, 2023
AFRICA NEWS ROOM – Sénégal: Promouvoir la propriété immobilière à travers le PSE (2/3)
News Videos

AFRICA NEWS ROOM – Sénégal: Promouvoir la propriété immobilière à travers le PSE (2/3)

January 27, 2023
Total Telecom takes highly successful Connected event series to the U.S.
Business & Economy

Total Telecom takes highly successful Connected event series to the U.S.

January 27, 2023

Social Bar

Welcome to involve Africa The goal of involve Africa is to give you the absolute best news sources for any topic! Our topics are carefully curated and constantly updated as we know the web moves fast so we try to as well.

Categories

  • All African News
  • Arts
  • Business & Economy
  • Crypto News
  • Energy & Environment
  • Entertainment News
  • Finance
  • Food & Agriculture
  • News Videos
  • Politics
  • Technology
  • Tourism
  • Travel

Site Links

  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms & Conditions

Recent News

No Insurance? Here’s How To Get Cheap or Free Eye Exam and Prescription Glasses

No Insurance? Here’s How To Get Cheap or Free Eye Exam and Prescription Glasses

January 28, 2023
Astar launches new HRMP channels with Equilibrium

Astar launches new HRMP channels with Equilibrium

January 28, 2023

INVOLVEAFRICA.COM

No Result
View All Result
  • Home
  • All African News
  • Politics
  • Technology
  • Entertainment News
    • Travel
    • Tourism
    • Arts
  • Finance
    • Food & Agriculture
    • Business & Economy
  • Crypto News
  • Energy & Environment

INVOLVEAFRICA.COM

What Are Cookies
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT