Fiat Money is a Bubble

[Murat]

Definitely, Fiat is also a form of Bubble, if inflation is true then obviously Fiat is related to the bubble. when you have money for the deposit purpose then this value of money will decrease so the capacity of your money must lessen, in this sense, every form of money is more or less bubble, but the perception about Bitcoin is getting changed day by day, people still have a shallow idea about platform and this is why they are talking about negativity of this platform, they only compare with fiat money but they even don't know how it could help for the personal as well as whole economy. time will explain about the real scenario of Bitcoin.

[Bitcoin Seller]

Its not a bubble because its value don't seem to skyrocket and pop. It only bubbles due to its infinite supply but the value keeps on inflating and not backed by anything. Bitcoin is the real money with proof and hard to faked fiat money should be inspired by it.

I think they only believe that it was bubble cause they believe that when it become huge like a bubble or I mean the price will be more expensive then it will die sooner I think that is they want to say for that bitcoin is like a bubble.

You can't predict a future but you can make a theory on it so it is depend on a people if they believe on it or not.

Everything here might depend on the country. If we speak about Venezuela and Turkey, their national currencies resemble a bubble too much. The USA dollar is far from it. Euro is also the currency, which is stable. I do not mention here pound, which still remains one of the most respected currencies in the world.

[wxa7115]

When the global crisis arrives, cryptocurrencies will be the perfect instrument to escape from a decline in value, because is not based on import and export. It is not known, when the fiat money bubble will burst, because the US Central Bank is still printing dollars on which the world economy is based. It will happen someday, but it may take many years...

Gold and silver will be another way to protect yourself from the crisis that is coming, unfortunately many people are living paycheck to paycheck and do not have any money left to invest, that would be bad enough but most people that I know are slaves to the bankers and they just do not know it, they are indebted and they will probably be this way for the next 20 years if not for life and they seem to live in the assumption that the system cannot fail.

And we know this is not true, we have seen the economy of single countries fail spectacularly just in the last decade and it is likely the fiat system will fail as well at some point in the future and yet they have no way to protect themselves from this obvious danger.

[keyscore44]

When the global crisis arrives, cryptocurrencies will be the perfect instrument to escape from a decline in value, because is not based on import and export. It is not known, when the fiat money bubble will burst, because the US Central Bank is still printing dollars on which the world economy is based. It will happen someday, but it may take many years...

Gold and silver will be another way to protect yourself from the crisis that is coming, unfortunately many people are living paycheck to paycheck and do not have any money left to invest, that would be bad enough but most people that I know are slaves to the bankers and they just do not know it, they are indebted and they will probably be this way for the next 20 years if not for life and they seem to live in the assumption that the system cannot fail.

And we know this is not true, we have seen the economy of single countries fail spectacularly just in the last decade and it is likely the fiat system will fail as well at some point in the future and yet they have no way to protect themselves from this obvious danger.

Talk about what is better security - gold or Bitcoin, has been going on for years. But in my opinion, you can't just stand for one of them. I think that the best form of escape in the event of a financial crisis is diversification in several different independent ways: gold, Bitcoin, real estate, works of art, diamonds, and may be even less known forms, such as stamps. The more of them the better. But ofcourse it all depends on form of the crisis. For the fiat money crisis for sure Bitcoin will be the best form , because his value will be rising proportionaly to the dump of fiat value.

[wxa7115]

When the global crisis arrives, cryptocurrencies will be the perfect instrument to escape from a decline in value, because is not based on import and export. It is not known, when the fiat money bubble will burst, because the US Central Bank is still printing dollars on which the world economy is based. It will happen someday, but it may take many years...

Gold and silver will be another way to protect yourself from the crisis that is coming, unfortunately many people are living paycheck to paycheck and do not have any money left to invest, that would be bad enough but most people that I know are slaves to the bankers and they just do not know it, they are indebted and they will probably be this way for the next 20 years if not for life and they seem to live in the assumption that the system cannot fail.

And we know this is not true, we have seen the economy of single countries fail spectacularly just in the last decade and it is likely the fiat system will fail as well at some point in the future and yet they have no way to protect themselves from this obvious danger.

Talk about what is better security - gold or Bitcoin, has been going on for years. But in my opinion, you can't just stand for one of them. I think that the best form of escape in the event of a financial crisis is diversification in several different independent ways: gold, Bitcoin, real estate, works of art, diamonds, and may be even less known forms, such as stamps. The more of them the better. But ofcourse it all depends on form of the crisis. For the fiat money crisis for sure Bitcoin will be the best form , because his value will be rising proportionaly to the dump of fiat value.

Diversifying the way you protect yourself in the case of a crisis is a good idea but historically people have used precious metals to protect themselves from the mismanagement of the economy by the governments simply because it has too many advantages over the rest of the methods, for example if you try to use real estate to protect yourself you'll find out that one of the assets that begins to lose value immediately in the middle of a crisis is real estate.

And there are many other problems with real estate, you need a lot of money to buy it on the first place, it is not mobile so your wealth is tied to a particular place, it can be subject to vandalism and in the case of a crisis it can be very difficult to sell.

[crossabdd]

if you understand like that. I think everything is bubble. You will lose your money when something you have can't use. Bitcoin has value because of its benefits, because of its usefulness. and when Bitcoin is useless. then the value will be lost. same as money, when it is broken, it has no value. clothes, tv, motorbike, etc. so something we have is of value, because it has benefits. so we live on something that is essentially 0.

[monineklutak]

if you understand like that. I think everything is bubble. You will lose your money when something you have can't use. Bitcoin has value because of its benefits, because of its usefulness. and when Bitcoin is useless. then the value will be lost. same as money, when it is broken, it has no value. clothes, tv, motorbike, etc. so something we have is of value, because it has benefits. so we live on something that is essentially 0.

even though everything is 0 we also have to have a strategy so that we don't live at 0, if you lose everything then what is your destiny ?,
I think that we should call a bubble there is a crypto currency, especially bitcoin, bitcoin broke during ATH in 2017, and now it's hard to pump,
that's a fact, but I'm sure everyone here hopes that the bubbles will come again before breaks in the future

[KrisAlex18]

if you understand like that. I think everything is bubble. You will lose your money when something you have can't use. Bitcoin has value because of its benefits, because of its usefulness. and when Bitcoin is useless. then the value will be lost. same as money, when it is broken, it has no value. clothes, tv, motorbike, etc. so something we have is of value, because it has benefits.

No, Fiat currency is exceptional. Money these days are printed out of thin air that literally has no value at all but the government declared to us its monetary value. America could print USD as much they want without affecting its value. All we have is representative money, we don't have commodity for our money like gold or any tangible precious things, it is classified as separated value now.

so we live on something that is essentially 0.

Absolutely, we are running after money yet it does not contain any value. It makes me think that being rich is just an illusion. Money is an illusion. Isn't it the reason why we have crypto?

[Vishnu.Reang]

Absolutely, we are running after money yet it does not contain any value. It makes me think that being rich is just an illusion. Money is an illusion. Isn't it the reason why we have crypto?

The same can be said about any asset, including gold. What if I say that gold is just like any other metal and it is not worth anything? The value of a particular asset arises from its scarcity. The fiat currency is also scarce, when we take in to account the number of people using them. It may be an illusion, but the central banks are very good in maintaining that illusion.

[wxa7115]

Absolutely, we are running after money yet it does not contain any value. It makes me think that being rich is just an illusion. Money is an illusion. Isn't it the reason why we have crypto?

The same can be said about any asset, including gold. What if I say that gold is just like any other metal and it is not worth anything? The value of a particular asset arises from its scarcity. The fiat currency is also scarce, when we take in to account the number of people using them. It may be an illusion, but the central banks are very good in maintaining that illusion.

If there is one characteristic that I will never use to describe fiat currencies is that they are scarce, the big problem of fiat currencies is that governments cannot stop printing them and creating huge piles of them for no reason at all, however something is not valuable only because it is his scarce there must be demand for it, and in order for that demand to exist at all then that something needs to have a set of characteristics that people find useful.

And fortunately for us bitcoin is useful, not only it is a decentralized currency, it allows you to be your own bank, it cannot be printed it will, governments cannot control it and you can move it very cheaply all around the world.

[Apes]

maybe the meaning of bubbles can be interpreted in various ways, but in my opinion the bubble in the economy means something that suddenly jumps and falls. and in my opinion fiat cannot be equated with bubbles in cryptocurrencies, because in fact they are more stable in buying goods, the more appropriate sentence might be financial inflation in fiat. all fiat paper money currencies in my opinion are very stable in buying goods inflation currency and the amount of currency inflation each country rarely touches 5%.

[EdvinZ]

maybe the meaning of bubbles can be interpreted in various ways, but in my opinion the bubble in the economy means something that suddenly jumps and falls. and in my opinion fiat cannot be equated with bubbles in cryptocurrencies, because in fact they are more stable in buying goods, the more appropriate sentence might be financial inflation in fiat. all fiat paper money currencies in my opinion are very stable in buying goods inflation currency and the amount of currency inflation each country rarely touches 5%.

Your point of view clarifies the definition of an economic bubble. Otherwise, anything with any capitalization could be called a bubble. I agree with you, a bubble is something that grows rapidly in value and also quickly loses value a little later.

[BitcoinTurk]

Since many people try to convince us that Bitcoin is a bubble and how we will lose our money eventually, I wonder if money is not a bubble actually. There exist economies in which money has a positive value in spite its market fundamental is zero. That means fiat money has zero value. Fiat money is a social contrivance. We take money from other people because we know other people will take it from us. In theory and practice the fiat money is a bubble.

The topic was quite nice and accurate. Actually yes, fiat money is completely a bubble. The reason is very simple; can be printed continuously and, recently, central banks have issued money without any reserve or provision. Nobody should respond to the depreciation with the increasing supply here because almost every country's central bank is printing more money than it should be, and these moneys suffer very small value losses. Sometimes even the opposite can happen and uncontrolled currencies can also gain value. Supposedly there is control, but unfortunately not in action.

[CarnagexD]

Absolutely, we are running after money yet it does not contain any value. It makes me think that being rich is just an illusion. Money is an illusion. Isn't it the reason why we have crypto?

The same can be said about any asset, including gold. What if I say that gold is just like any other metal and it is not worth anything? The value of a particular asset arises from its scarcity.

No, gold is not alike with any other metal. What makes gold valuable is its physical-chemical composition. It is malleable and ductile enable to become a jewelry and gold has the highest corrosion resistance out of all the metal that is why it is valuable. You cannot compare it to fiat with just looking at it as if you can just print it out od thin air.

The fiat currency is also scarce, when we take in to account the number of people using them. It may be an illusion, but the central banks are very good in maintaining that illusion.

The purpose of fiat is to make trades in standard manner, that is why we need to work for it in order to earn it. What we have now is a representative money that has nothing on its back but the rules of central bank for its value.  It is not an illusion, we are running after money because we need it. As if we have anything left to choose.

[AndySt]

The gold standard is a solution to the problems of inflating bubbles in fiat money. This is the best solution when the economy of any country lies in ruins. But then it begins to interfere with the development of the economy so at the moment this model is not popular. But Central banks ' games with the inflation model are once again causing the specter of the gold standard to walk the world

[Naida_BR]

Definitely, Fiat is also a form of Bubble, if inflation is true then obviously Fiat is related to the bubble. when you have money for the deposit purpose then this value of money will decrease so the capacity of your money must lessen, in this sense, every form of money is more or less bubble, but the perception about Bitcoin is getting changed day by day, people still have a shallow idea about platform and this is why they are talking about negativity of this platform, they only compare with fiat money but they even don't know how it could help for the personal as well as whole economy. time will explain about the real scenario of Bitcoin.

Every economic system that is built based on inflation is a bubble.
When someone has the authority to change the supply again and again this creates debt. As a result the bubble becomes bigger and when the time passes it blows on the poor people.

[X-ray]

if you understand like that. I think everything is bubble. You will lose your money when something you have can't use. Bitcoin has value because of its benefits, because of its usefulness. and when Bitcoin is useless. then the value will be lost. same as money, when it is broken, it has no value. clothes, tv, motorbike, etc. so something we have is of value, because it has benefits. so we live on something that is essentially 0.

Definitely agree, all those stuff that initially have really high value and when the food crisis come they are all become worthless.Everything have value based on the circumstance and the condition of the world and it's all about the supply and demand law.
Money itself just a tool to bridge for convenient trading and when there's something important than just having the convenience it will definitely loss its value and the hard truth is, basic needs will change overtime and we don't know what the future holds.

[Triffin]

Absolutely, we are running after money yet it does not contain any value. It makes me think that being rich is just an illusion. Money is an illusion. Isn't it the reason why we have crypto?

The same can be said about any asset, including gold. What if I say that gold is just like any other metal and it is not worth anything? The value of a particular asset arises from its scarcity.

No, gold is not alike with any other metal. What makes gold valuable is its physical-chemical composition. It is malleable and ductile enable to become a jewelry and gold has the highest corrosion resistance out of all the metal that is why it is valuable. You cannot compare it to fiat with just looking at it as if you can just print it out od thin air.

The fiat currency is also scarce, when we take in to account the number of people using them. It may be an illusion, but the central banks are very good in maintaining that illusion.

The purpose of fiat is to make trades in standard manner, that is why we need to work for it in order to earn it. What we have now is a representative money that has nothing on its back but the rules of central bank for its value.  It is not an illusion, we are running after money because we need it. As if we have anything left to choose.

Money is the only thing that can allow us to meet our basic needs. Without it, we definitely cannot buy food or pay taxes of services offered by governments. But fiat cannot bring us an improve in financial standard. It is inflationary in nature because the amount can be increased by authority any time they wish to. Therefore, we should focus on bitcoin and other coins to not only earn profits but solve inflation issues for ourselves too.

[waitforme]

Fiat money is a bubble but the probability of bursting and bubble bursting rate is very low. Money FIAT is a unit representing the economy of a country. The country's economic sectors and the type of assets it owns are guaranteed for the currency they issue. It could be called that. If the economy develops stably, the political situation is stable and they have good monetary management measures, the bubble market will not break. They may be timeless but regulated. Like some ICO projects that sell airdrops. At first the airdrop will be diluted into the market but then they will rise again.
Crypto currencies are mined or released more fragile because the individuals behind them are a group of people, a startup company. They may cancel the project or they will resell the project to another individual or company. And the FIAT money represents a nation and they seek a way for their country to exist.

[wxa7115]

Fiat money is a bubble but the probability of bursting and bubble bursting rate is very low. Money FIAT is a unit representing the economy of a country. The country's economic sectors and the type of assets it owns are guaranteed for the currency they issue. It could be called that. If the economy develops stably, the political situation is stable and they have good monetary management measures, the bubble market will not break.

But that is precisely the issue, you are believing their lie that somehow it is possible to have money that is not backed by anything and that they can print at will and that they do not have to communicate to their citizens how much of it are they printing and that somehow this is not going to affect the economy of the country, all governments around the world believe their own lie and think that they have perfected the way to keep printing money forever and getting away with.

Only to discover too late that what they believe was a lie and that they cannot keep violating basic economic principles and keep printing as much money as they want, it is not possible, at some point the bubble will have to burst.