Financial collapse means Bitcoin boom?

[Coffee135]

I am cocksure that one of the things that led Satoshi into establishing bitcoin was the global financial meltdown in 2008. It really was so chaotic that firms, companies and institutions shut down because they couldn't meet up. In 2009, bitcoin came up as an alternative to the traditional financial institution. With the Cyprus scenario a few years later, the strength of the bitcoin was tested and that proved its effectiveness. Bitcoin is above traditional financial institution and that's what scares China. The Chinese feel it's going to permanently floor their Yuan. Hence, the dramatic ban on it. Yes, that should be a boom for bitcoin.

One bans the bitcoin issue can not be solved. I think the Chinese understand this. There is a notion that if a problem cannot be solved it must lead. Probably China will go this way. The rumors that China bans crypto, the market will remain only rumors.

[manselr]

Somebody explain to me why a system that can't even handle low volumes like we have now would boom?

Something that solves a problem can boom. Bitcoin can't even handle current transaction volume, which is like 0.00001% of global transactions.

People aren't even using bitcoin to complain about capacity problems, as exposed by the research on mempool spam:

https://bitcoinmagazine.com/articles/curious-case-bitcoins-moby-dick-spam-and-miners-confirmed-it/

Nobody is even using bitcoin anywhere enough to demand a rushed hardfork that would put incompetent developers in charge of the main branch coupled with a price crash. Jeff Garzik and the rest of NYA signers will be responsible of billions in loses. They should run for cover.

[Bellator]

Somebody explain to me why a system that can't even handle low volumes like we have now would boom?

Something that solves a problem can boom. Bitcoin can't even handle current transaction volume, which is like 0.00001% of global transactions.

People aren't even using bitcoin to complain about capacity problems, as exposed by the research on mempool spam:

https://bitcoinmagazine.com/articles/curious-case-bitcoins-moby-dick-spam-and-miners-confirmed-it/

Nobody is even using bitcoin anywhere enough to demand a rushed hardfork that would put incompetent developers in charge of the main branch coupled with a price crash. Jeff Garzik and the rest of NYA signers will be responsible of billions in loses. They should run for cover.

The expected boom could not elimimate tha said fork due to bitcoin isn't yet recognized woldwide, but more selected  individuals were starting to learn how to adopt this currency. I don't think it will significantly affects the economy financial collapse as well. Speculations is getting more negative we as a people who trust bitvcoin must not be afftected a lot.

[Rahar02]

Financial collapse mean a government can not run the country, only 2 reasons; corruptions and huge debts to central bank.
At least, a country without debts can not bankrupt and that's why citizens should choose the right person to run the government.
Bitcoin will be one of many precious assets during economy crisis in a country, but doesn't mean bitcoin boom I guess, unless one or two big countries going collapse. If somehow most countries facing economics crisis, many people will cash out bitcoin, which mean the price will constantly decline.

[jamids]

Financial collapse mean a government can not run the country, only 2 reasons; corruptions and huge debts to central bank.
At least, a country without debts can not bankrupt and that's why citizens should choose the right person to run the government.
Bitcoin will be one of many precious assets during economy crisis in a country, but doesn't mean bitcoin boom I guess, unless one or two big countries going collapse. If somehow most countries facing economics crisis, many people will cash out bitcoin, which mean the price will constantly decline.

I do agree with this. Bitcoin is a big help for those people who experience hyper inflation and as what I understand, Satoshi Nakamoto was able to think of bitcoin because of his experience in the 2008 financial crisis so he think of a solution that will not be inflationary and thus the birth of bitcoin. There are still so many debates as to what is the use of bitcoin and I believe one of its original purpose is to beat the inflation and observing that it thus help the people who are actually experiencing it, Satoshi Nakamoto may be happy that his idea has been fruitful.

[Kyraishi]

It may not be value of bitcoin booming when a financial crisis hits since even though on paper it seems like the price is absolutely skyrocketing the fiat is actually hyperinflating so much that you probably wouldn't really see a major difference in bitcoin value.

However, bitcoin will hold its value against inflation.

And, when a financial collapse happens, bitcoin adopters will grow drastically as it is the most convenient non-central bank backed currency available.

[magneto]

I am cocksure that one of the things that led Satoshi into establishing bitcoin was the global financial meltdown in 2008. It really was so chaotic that firms, companies and institutions shut down because they couldn't meet up. In 2009, bitcoin came up as an alternative to the traditional financial institution. With the Cyprus scenario a few years later, the strength of the bitcoin was tested and that proved its effectiveness. Bitcoin is above traditional financial institution and that's what scares China. The Chinese feel it's going to permanently floor their Yuan. Hence, the dramatic ban on it. Yes, that should be a boom for bitcoin.

Precisely. Bitcoin naturally is a store of value as it has a controlled and slow inflation curve that cannot be altered or sped up by any central entity. This is what makes bitcoin a special investment, it is basically "digital gold".

When financial collapses happen, people look for a store of value. In this digital day and age i think that most people will turn to bitcoin.

And this is proven, as Zimbabweans as well as Venezuelans have enjoyed bitcoin and there is a huge increase in btc users in those countries.

[alyssa85]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

[manselr]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

Im surprised to not see any threads about this. If they actually go through with it and declare Independence unilaterally, it could cause a lot of problems. If it becomes an international problem outside of Spain, it could escalate quickly to an European crisis, in this sense, BTC could become a very strong safe haven, as it always is thanks to Bitcoin being a neutral store of value/currency.

[CoinsCoinsEverywhere]

It may not be value of bitcoin booming when a financial crisis hits since even though on paper it seems like the price is absolutely skyrocketing the fiat is actually hyperinflating so much that you probably wouldn't really see a major difference in bitcoin value.

However, bitcoin will hold its value against inflation.

And, when a financial collapse happens, bitcoin adopters will grow drastically as it is the most convenient non-central bank backed currency available.

As long as bitcoin maintains its current overall upward trajectory, even during a financial crisis, it's still going to be gaining more value than fiat currencies that are experiencing hyperinflation.  Even in the rare situations where inflation in a country is hundreds or thousands of percent per year, those numbers are usually measured against reserve currencies like USD, and if bitcoin is appreciating with respect to USD, its value will be appreciating even more with respect to those hyper inflating currencies.

[alyssa85]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

Im surprised to not see any threads about this. If they actually go through with it and declare Independence unilaterally, it could cause a lot of problems. If it becomes an international problem outside of Spain, it could escalate quickly to an European crisis, in this sense, BTC could become a very strong safe haven, as it always is thanks to Bitcoin being a neutral store of value/currency.

Have you seen the news? The Spanish police are attacking civilians, and the Catalan firemen have come out to try to protect civilians from the Spanish police. Rubber bullets have been fired and over 300 injured.

Because ballot boxes are being snatched by the police, they'll probably not be able to count the ballot - but I wouldn't be surprised if the Catalans just said, "Eff this, we're declaring independence". If they do, they are out of the EU and the euro might be in trouble (as Spain is a eurozone member). It should in theory make the bitcoin price rise as it is an independent store of value.

[magneto]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

This could be possible... But i don't think that political instability alone is enough to make people flood in bitcoin.

However as i've said, when financial situations get real bad, so bad that people cannot transact on a daily basis for their basic needs since their national currency is in a hyperinflationary mess, they will look for an alternative.

An alternative that is a store of value. So it's really only either bitcoin or preciosu metals. Bitcoin is gaining popularity as a safe haven like this.

[alyssa85]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

This could be possible... But i don't think that political instability alone is enough to make people flood in bitcoin.

However as i've said, when financial situations get real bad, so bad that people cannot transact on a daily basis for their basic needs since their national currency is in a hyperinflationary mess, they will look for an alternative.

An alternative that is a store of value. So it's really only either bitcoin or preciosu metals. Bitcoin is gaining popularity as a safe haven like this.

Bitcoin's price has jumped today. It was about $4200 yesterday morning, and it's now $4435.

If I was a Catalan I'd be buying bitcoin especially as the Catalan govt has announced it will declare independence on Oct 6th. The financial markets are going to be roiled, so it makes sense for Spanish and Catalans alike to put some money in bitcoin to preserve their savings.

[illyiller]

Bitcoin's price has jumped today. It was about $4200 yesterday morning, and it's now $4435.

If I was a Catalan I'd be buying bitcoin especially as the Catalan govt has announced it will declare independence on Oct 6th. The financial markets are going to be roiled, so it makes sense for Spanish and Catalans alike to put some money in bitcoin to preserve their savings.

Seriously? I doubt Bitcoin is on anyone's radar in Catalan right now. It's barely scratching the surface of mainstream investment in general. Cryptocurrency may be one of the hottest investments of the year, but it's obviously one of the riskiest asset classes available on the markets from looking at volatility.

If I was worried that my savings were in danger due to economic collapse/disruption, I would put them into safe assets like gold and US dollars. Especially considering the recent gains in crypto. Sure, we could see new highs soon, but the price could also drop in half in a few days.

[alyssa85]

Bitcoin's price has jumped today. It was about $4200 yesterday morning, and it's now $4435.

If I was a Catalan I'd be buying bitcoin especially as the Catalan govt has announced it will declare independence on Oct 6th. The financial markets are going to be roiled, so it makes sense for Spanish and Catalans alike to put some money in bitcoin to preserve their savings.

Seriously? I doubt Bitcoin is on anyone's radar in Catalan right now. It's barely scratching the surface of mainstream investment in general. Cryptocurrency may be one of the hottest investments of the year, but it's obviously one of the riskiest asset classes available on the markets from looking at volatility.

If I was worried that my savings were in danger due to economic collapse/disruption, I would put them into safe assets like gold and US dollars. Especially considering the recent gains in crypto. Sure, we could see new highs soon, but the price could also drop in half in a few days.

It all depends on how easy it is to buy US dollars or gold, isn't it?

For the Catalans, not at all - they won't be able to open US dollar bank accounts. Buying gold is hard too - not may places sell gold coins, mostly it is jewelry that is marked up. Some might just withdraw euros and keep them at home in case something happens to the banking system. Buying bitcoin by contrast is easy and quick, and you can simply hide your wallet.dat on a USB stick.

[matuson]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

This could be possible... But i don't think that political instability alone is enough to make people flood in bitcoin.

However as i've said, when financial situations get real bad, so bad that people cannot transact on a daily basis for their basic needs since their national currency is in a hyperinflationary mess, they will look for an alternative.

An alternative that is a store of value. So it's really only either bitcoin or preciosu metals. Bitcoin is gaining popularity as a safe haven like this.

Bitcoin's price has jumped today. It was about $4200 yesterday morning, and it's now $4435.

If I was a Catalan I'd be buying bitcoin especially as the Catalan govt has announced it will declare independence on Oct 6th. The financial markets are going to be roiled, so it makes sense for Spanish and Catalans alike to put some money in bitcoin to preserve their savings.

I very much doubt that Catalonia will ever be recognized as an independent state. The world does not recognize and to be independent in isolation is unrealistic. Bitcoin you won't help you. Now the world really is a crisis of democracy.This leads to the fact that the influence of uneducated people and the world plunged into chaos.

[alyssa85]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

This could be possible... But i don't think that political instability alone is enough to make people flood in bitcoin.

However as i've said, when financial situations get real bad, so bad that people cannot transact on a daily basis for their basic needs since their national currency is in a hyperinflationary mess, they will look for an alternative.

An alternative that is a store of value. So it's really only either bitcoin or preciosu metals. Bitcoin is gaining popularity as a safe haven like this.

Bitcoin's price has jumped today. It was about $4200 yesterday morning, and it's now $4435.

If I was a Catalan I'd be buying bitcoin especially as the Catalan govt has announced it will declare independence on Oct 6th. The financial markets are going to be roiled, so it makes sense for Spanish and Catalans alike to put some money in bitcoin to preserve their savings.

I very much doubt that Catalonia will ever be recognized as an independent state. The world does not recognize and to be independent in isolation is unrealistic. Bitcoin you won't help you. Now the world really is a crisis of democracy.This leads to the fact that the influence of uneducated people and the world plunged into chaos.

Well the United States said they won't recognise Catalonia.

But Brexit Britain might, especially if the brexit negotiations go badly, we'd have nothing to lose by recognising them and it would piss off the Spanish royally.

[manselr]

Tomorrow Catalonia will try to vote for independence, and Spain will try to stop them (looks like they might get violent).

IF the Catalans vote to leave and declare independence, then all hell will break loose, and we might see a flight to safety towards bitcoin. It depends entirely on how ugly it gets.

Im surprised to not see any threads about this. If they actually go through with it and declare Independence unilaterally, it could cause a lot of problems. If it becomes an international problem outside of Spain, it could escalate quickly to an European crisis, in this sense, BTC could become a very strong safe haven, as it always is thanks to Bitcoin being a neutral store of value/currency.

Have you seen the news? The Spanish police are attacking civilians, and the Catalan firemen have come out to try to protect civilians from the Spanish police. Rubber bullets have been fired and over 300 injured.

Because ballot boxes are being snatched by the police, they'll probably not be able to count the ballot - but I wouldn't be surprised if the Catalans just said, "Eff this, we're declaring independence". If they do, they are out of the EU and the euro might be in trouble (as Spain is a eurozone member). It should in theory make the bitcoin price rise as it is an independent store of value.

It for sure will go up if that happens, but Catalonia wouldn't be recognized by anyone with political and economical weight which is why they are better off in Spain, and I see it as very unlikely that their politicians are stupid enough to go on with this. The polls are weak, there isn't a clear majority of people that want to leave. It would be a mistake for them to keep pushing this nonsense. They wouldn't be any more free and they will not enjoy being part of Spain which is a recognized place. Most people doesn't know where Catalonia is compared to Spain. Their politicians would also be responsible for causing a civil war by declaring a republic over a weak referendum. The rest of people that want to remain in Spain aren't going to sit down and watch as this unfolds. I hope a peaceful solution is achieved.

[ReLieD]

It's not at all necessary that financial crisis means Bitcoin boom. Forget about Bitcoin there are many examples out there where w company has to face alot of loss but with the hard work of employees and also innovative ideas , the company was back on its foot. So even Bitcoin will face major drops but still I'm confident enough that it will rise back

[JanpriX]

Taken from here...

There are people who are wondering what can happen to Bitcoin if there would be economic and political chaos? Will it mean that Bitcoin will surge in price or will it withered and be likewise chaotic? I think what is happening in Venezuela right now is just a foretaste of what can happen when an economy can go down to the bridge...Bitcoin can come to the rescue and can be a source of some stability and access to the outside world.

While, of course, we are not wishing any country's economy to go down the floor, having some Bitcoin and getting involved in Bitcoin can be an insurance just in case something like a Venezuela will happen to our country. This has evolved to be one of the many functions of Bitcoin as we see it.

I've been seeing this trend lately especially when there is some crisis in a country. People tend to transfer a percentage of their fiat to BTC to preserve the value of their money. The monetary value of a country who's under in a crisis goes down and to avoid the loss accompanied by it, people buy BTC. We can't hide the fact that this is really happening right now but it doesn't necessarily mean that BTC will boom and go to moon because of it. This just proves that many people are starting to put value to BTC and see this as a currency that can't be affected by economic crisis whatsoever.