Rising inflation forces investors to look for defensive assets.

[palle11]

The problem of inflation is probably more clearly felt recently when many items have increased in price and many of us out there still do not have a stable income to adapt well to life. It may be a bit harsh,

Lack of access to finance is why people notice and complain of inflation. If people has access they won't complain of the rate of inflation. As usual it is the poor who feel this hardship more because they lack purchasing power.

but I think the purification of each economic period makes the gap between rich and poor even more obvious.

Or I think it is the inflation growth that is continuously widening the gap between the rich and poor. The rich still manage to get access to good life even on high cost but the poor doesn't because of lack of funds, you can see the gap gets wider for this reason of inflation. The percentage rate of increase in the last two years from covid-19 (2020) is higher than before now, that is the big problem.

[Pejoh Asu]

Never feel safe from inflation, because it is certain that it will continue to occur and repeat, factors that usually affect inflation are the cost of products that continue to increase and the more difficult food ingredients so that it is more expensive and becomes the initial trigger of inflation.

[sana54210]

Inflation may be inevitable but it could be under control if hard assets were used directly to buy products and services, examples of this are bitcoin and gold, or this could be done by backing paper money with those solid assets, the issue is that if the latter option is adopted the temptation for the government to eventually abandon that system is too great as the benefits they get by doing so are enormous, but the consequences everyone else has to pay come in the form of high inflation and eventually hyperinflation follows as well.

We have been long away from the gold standard and I do not think that we could ever even consider going back there with how the finances are these days. I mean you are not wrong, we could limit inflation and even poverty to a certain degree if money had value because it gives people the right to save money and then do something with it, compared to today where you save money but the pace you save it is slower than the value it loses to inflation.

I could save 1k a year today, and in 50 years I would have 50k, but in 50 years, 50k may not buy what 1k buys today, or at least it wouldn't be 50k of today for sure, hence if gold standard was a thing, we would have been much closer.

[Japinat]

What can crypto offer them?

As almost everyone around us is talking about inflation both on news, social media and on the internet and with so rising inflation hitting investors has been a topic for discuss.
Literally, some assets has been going down in value including fiat and cryptocurrency due to inflation and other issues around the world.
So it's a little difficult to recommend crypto for invertors to hedge their funds since all almost every crypto asset is going down in value too. But I still believe that investment in digital asset (cryptocurrency) like Bitcoin is indeed the best and secured place currently for investors to look forward for defense and to hedge their funds.

      Hedging funds into crypto will be a very good option for them because when we have enabling ground for market recovery after this geopolitical distractions, history has shown that Bitcoin (cryptocurrency) has proven to be one of the best performing asset when it comes to return on investment (ROI) for over the past few years for investors when compared to other asset. This is thus, making it a safe heaven for investors to hedge their funds right now. Therefore investors are seeing it as digital Gold and it almost taking the role of Gold.

I know bitcoin has been very profitable in the past years and even at the present, but as long as its very volatile, i don't see it as a safe haven. I guess there's no safe haven when it comes to majority of investments, as there's no guaranteed profits in the end. However, if you compare investing in fiat than crypto, well there's higher chances that you will gain more profits in crypto that will hinder you from the endless effects of high inflation. But always manage the risk so you won't experience losses more frequent.

[Doan9269]

Literally, some assets has been going down in value including fiat and cryptocurrency due to inflation and other issues around the world.
So it's a little difficult to recommend crypto for invertors to hedge their funds since all almost every crypto asset is going down in value too.

Why not make recommendation? this is cryptocurrency and bitcoin for that matter is worth investing even at the time, remember that bitcoin works by price volatility and no matter how inflation looms the economy, it's effect can be withstand by bitcoin before its an incomparable asset that stand out of all other assets which can be affected by inflation.

Cryptocurrency has no collateral.

I like this point you just mentioned, no KYC requirement on bitcoin investment assets and maximum security and privacy well considered, one can decide making a decision on his crypto investment any time without having to consider any drawback of terms and conditions required in other form of investments.

[South Park]

Inflation may be inevitable but it could be under control if hard assets were used directly to buy products and services, examples of this are bitcoin and gold, or this could be done by backing paper money with those solid assets, the issue is that if the latter option is adopted the temptation for the government to eventually abandon that system is too great as the benefits they get by doing so are enormous, but the consequences everyone else has to pay come in the form of high inflation and eventually hyperinflation follows as well.

We have been long away from the gold standard and I do not think that we could ever even consider going back there with how the finances are these days. I mean you are not wrong, we could limit inflation and even poverty to a certain degree if money had value because it gives people the right to save money and then do something with it, compared to today where you save money but the pace you save it is slower than the value it loses to inflation.

I could save 1k a year today, and in 50 years I would have 50k, but in 50 years, 50k may not buy what 1k buys today, or at least it wouldn't be 50k of today for sure, hence if gold standard was a thing, we would have been much closer.

I realize the gold standard is not coming back as governments are too happy with their fiat currencies, but at the same time people are feeling the consequences of that system and they are suffering because of it, so even if they do not want to the people could eventually force their hand by instead switching to a hard asset that cannot be printed and outside of their control like bitcoin, which is why governments are so worried and they are trying to do what they can to slowdown bitcoin adoption.

[Lubang Bawah]

Inflation makes a serious problem for anyone, investors certainly understand that the small level of profit from investment commodities will be avoided for the long term, and the best thing now is to try investment in crypto which has proven to be very profitable even when many investments die since Covid emerged.