Bitcoin Forum

Money is printed and destroyed.
Physical money is destroyed.
Digits are deleted.
This process is happening every 10 years.
Money what is destroyed is usually collected dirty money the dirty money is exsessive capital in society what get destroyed after Economic Boom
Just Before the Economic crisis Now year 2020 been year when record ammount of Physical and digital money been been burned aka destroyed from the system.
To destroy money the exrssesive money is best Method to Fight against inflation.


In Cryptocurrency world we call it coins been burned.
That's Why the thether Will burn usdt coins to keep inflation stable!

To Get new money the money aka fuel, blood, it has to be borrowed on social security collateratel backing.

I hope you guys got clear how the monetary sysyem Works

Your explanation makes it all so clear now.

We know examples of removing the cash money from circulation. Have cryptocurrencies ever been burned?

I am sorry but I don't understand this, maybe you can give an example of how this works. I thought when central banks are printing money inflation is actually going up, so that is why in the last 10 years the governments all around the world printing money to try to increase inflation. In many of the developed nations the inflation rate was below the 2% target, even with low interest rates and printing money. So how is money being destroyed now by the government? I thought they are adding new money each month.

Yeah,definitely.I can understand how the universe works now. ;D
By the way,Tether doesn't burn their coins.They just keep them in reserve and use them again,if someone wants to exchange fiat or other coins for USDT.
The paper money aren't exactly destroyed(unless they are damaged and have to be recycled).The amount of paper money in circulation isn't that big,but fractional reserve banking multiplies the amount of money in circulation a lot.

In my opinion, not all countries implement this, because many countries, after implementing quantitative easing, face hyperinflation. What strategy is wrong? or just because the government is not successful in implementing quantitive tightening?

I think that what causes inflation is not the printing of money but the purpose of printing money, if printing money is to pay off debts, printing money for imports, it will actually end in inflation, but if printing money is for independent productive projects whose raw materials are national, the national workforce and in the sector industrial manufacturing then inflation will not occur. China is a country that prints renminbi to generate dollars, they also burn renminbi regularly to maintain economic stability.

Venezuela Zimbabwe... Those Kind of currencies are Good examples what happens When You Don't destroy the Money.
Best way to destroy is to take it from the tax fraudsters who run big companies count how much taxes they have not payed and destroy either equal ammount of cash or delete some digits.

Right now in this bitmex case a lot money been also destroyed.

If its not like that the USA dollar would be same worthless has Zimbabwe currency!

To Undestood better the World need to first how its all working! 

I love the sarcasm lol :D.

As far as I know, they really don't have any intentions of destroying a certain amount of old money as the new ones are entering the circulation. Their main goal is to increase the supply of their money so that every citizen of their country could easily have one thus have more purchasing power. However, things don't work out well. They thought printing more money would resolve the problem but it's not. It served as a sort of temporary solution but the drawbacks hits harder in the long run.

You don't necessarily need to destroy/burn money in Crypto unless maybe it's crime, dirty or invalid money.   I think I would prefer cryptocoins to continue to be in circulation and taken out of circulation until the coins are no longer good to use.

You must be a higher being because I do not understand it. Can you interpret your holy findings to a pleb like me?

Well the destroying the quantity of money is what actually makes inflation Lower.
Its kinda limited supply thing
This is Why we have so strong and getting Even stronger the aml/kyc and anti money loundering rules its becouse to track the money to keep book keeping by law the money is liquidity asset the liquit means sea the banks are both sides of the river to Control cash Flow the money is water what goes Where is enoght shape. Or space to stay.

Anyways the money is destroyed to make sure there is not too much money its best way to protect money value.  

The Old money the dirty used in the system Will make the whole Currency high inflation like zimbawe and those Kind of countries.

That's Why you can print a lot money if you destroy after Some quantity of the Money.  


Same thing its with cryptocurrency the hacked cryptocurrency is destroyed in burner.

The World is designed to serve money!!
That's Reality we live in.

Printing money happens every year and the central bank controls the flow of money on a specific country so technically they are not just burning fiat money as easy as we think, economist are working very hard to control inflation but its sad that some of the countries are suffering from a hyper inflation which is too impossible to recover in the next 10 years.

In cryptocurrency, one the supply got burned, there's no way to recover it or resupply it and this is the big reason why the price keeps on growing because of a limited supply yet the demand is increasing, I guess you miss this point.

A sarcastic reply honestly and I don’t know what’s the point of this post too.
Anyway, I have to figure this one out and I’m pretty sure money works for everything nowadays so its also good to know how they print money, how the supply affect inflation and how the cryptocurrency with a limited supply can support the whole world especially bitcoin. The law of supply o demand tells a lot, this can be a very basic guidelines to understand the market.

This destruction of physical money is different from cryptocurrency burning. Or the purposes are not the same. Cryptocurrency is burnt when the supply is too much and when that is done, more investors purchase and the price go up. But for physical cash, it is basically defaced money, dirty etc.

not all countries experience inflation when printing large amounts of money.  I have also written before (in other topic) countries like the US and Australia will not experience inflation when they print a lot of money, who use their currency not only their own country but almost the entire world.  US dollars and Australian dollars are needed for international trade (oil purchases and others)..

for poor and developing countries printing a lot of money will only cause their economy to enter into inflation because there is no use of their money other than in their own country and that is dangerous.  and they (developing countries) must destroy the money circulating in society (usually broken & old money) when they print new money, so the value is stable..

Or you can also call it burnt when those leftover Bitcoins are never ever touched nor moved? If I was to consider Satoshi's BTC, I'd consider them dead coins because I believe Satoshi is never going to sell his BTC because either he lost his privkeys or something unusual might have happened or he's too much patient to hold his coins. Nonetheless, there are many like Satoshi who kept BTC, but forgot about it. If any of those BTC's owners are either dead or have lost their possession on that BTC, I'd call those BTC as burned.

And yeah, there are cryptocurrencies which get burnt in numbers but it has nothing to do with inflation or hyperinflation, as it only happens with the projects which are extremely helpful to the real world aspects. About Fiat, they print it for their own good, to save their ASSets from being auctioned due to the debts they are coating on themselves day by day. Printing new money and burning old ones is good only when the Government had plans in mind, unlike what happened when demonetization occurred in India.

Crypto currency was the best platform to inverse your money. May be you was faced any loss with your investment and that was the reason for this thread.In some country,the bitcoin and cryptocurrency was a illegal one.I think you are from the country where cryptocurrency was a illegal one.

In very very short. Yes this can be said as the monetory system but yes it's much more complicated than this. If it was this simple every economy would have been booming today. It's just that tether has the target to keep the value it's coin tethered to one usd so for tether it's not that difficult because it has data over it's chain. But the same thing isn't that easy for governments. Usually no government today resorts to deleting additional money as means of reducing inflation. They generally just try to cut that money from circulation and not necessarily burn it. Moreover interest rate management is the primary way to fight with inflation. There really are hundreds of macro economic variable in the market.

Crypto currencies do constantly get destroyed from the circulation but not bitcoin. BNB is probably the biggest one I can remember, they constantly get BNB and burn it to make it more valuable, but the logic is slight bit lacking because they idea would be to burn them and make them more valuable but they are also used to make the trading fee lower as well which means we will always need it, if you keep burning BNB at one point we are not going to have too much and the idea to spend half on trading fee would become very difficult and expensive to buy as well (even though it is always 50% of what you would spend otherwise) so they should stop somewhere.

Aside from that there are other coins that does burning as well but since it is not utilized as well it doesn't become a big deal.