Bitcoin Forum

Hello there.

Hypothetically speaking, what if BTC was the world’s leading currency during the Covid pandemic? How would it affect the financial world? We can’t print more BTC, so how would people get more money? Alt-coins? What would the circumstances be like? BTC has a fixed supply.

Regards

If it was the worlds only currency, then the countries who did well economically wouldn't see the benefits, and the countries who did badly would have a lifeline.

It would basically spread the pain.

It would almost be Socialism  :o

Purchasing it with fiat. That's simple as that.

And it's up to them how they would budget it for their purchase but the reality speaks that many considers it as a store of value. And that makes everyone or the majority to hold instead of using it as a currency.

Supply isn't an issue, each person can have it in smaller portions or mbtcs or satoshis.

Remember that not only bitcoin has a feature of transacting online, but we also had different e-money that can be used and bitcoin only is an alternative to use during the pandemic. Your assumption will surely not happen since bitcoin isn't regulated in most countries, it's very far that bitcoin will replace fiat.

I don't think bitcoin becomes a leading currency and used as payment, we have a problem of having high fees and low transaction speed. Otherwise, people treat this as a valuable asset that can be profitable while you are holding in a long term.

If we say, put the situation in a utopian setting where evryone just had enough bitcoin with them to get by, even those that are on the upper echelons of the society, I can say that bitcoin becoming the leading currency will offer sustainability, among other benefits, since bitcoin has a higher purchasing power, and because everyone is sure tp transact with them. However in a real world setting we all know this isn't the case, so it actually might turn the other way around. With the scarcity of bitcoin, people may fight over it like the toilet paper craze that happened at the start of the pandemic, although of course, there's the possibility of using altcoins.

Though we are not thinking hypothetically but soon we will think really about BTC. In pandemic situation if BTC was leading currency i think people was less affected by nCOVID because at present money if it end from our hand we must have to go Bank or any other financial organisation that not happened in BTC. So that we may save more life and more dreams.

If the economic theory that favors inflation, market interjections, monetary stimulus, etc. is correct, then having Bitcoin as widely used currency could be bad, we'd enter a deflationary spiral when no one invests in business during pandemic and everyone just hoards Bitcoin instead. But if this theory is wrong, then governments would have to just redistribute taxpayers money to help those affected by pandemic, instead of making everyone poorer by devaluing currency - so in this case Bitcoin would be more efficient.