For those who keep asking about Economy ~ BTC Relationship!

[wantjokull]

Recently found that many articles are asking about the same question over and over again and thats whether bitcoin is affecting the world economy or not.

Now to understand this issue first let us know that World Economy is driven by different Businesses and Investment opportunities in the world in relation with the different continents and country's.

This can be anything from crude oil supply to gold digging of world or even a tsunami unfortunately can bring such disaster as to shook the world and hamper its economy ! These all things are connected and thats what defines and models the economic structure in the world.

It starts from individual of a country who earns money for his life, pays a % of share in taxes and using which government develop their country's. If the country infrastructure goes perfect then business can develop and it can contribute to the national economy. Same business and country if capable of doing this overseas then they start the international trades or business and contribute to world economic model.

Now the question is where does bitcoin stands in this model?

Bitcoin is a crypto currency with huge market capitalisation being held in the virtual nods and accounts. However we should not forget that the real money (fiat) still stays in the bank accounts of different holders. Whether it is the Exchanger or an individual user when he transact for a bitcoin then fiat just represent the virtual value but in reality it is transferred from one account to other bank account and thus money circulate in the country itself.

Now this would affect the world economy only if there was any real trade among the physical thing. The physical thing would cost them money to create and thus it will add the value. But on the other hand crypto currencies are just mathematical formulae for which value grows due to more and more investors puts money in it.

This doesn't count for any healthy circulation of the money at all. Its not at all helping the world economy grow that the conclusion for it.

Any open discussion is welcomed.

[googs84]

Yes, that is something we dont really recognise in the day today life because we all are focused about our salaries and paying taxes for it at the end. However, there is almost everything on which government impose taxes and thus gets benefited with it. I am sure that they do this because they want money from the public as share of profit which will be used for the development of nation. Now when it comes to the bitcoin then it is really tiny stuff around the world currently and I see no effect of it over the national economy. It would be effective when it will be more liquid in use and very abundant in the nature. A good try of explaining how the relationship works out in reality.

[SunJAB]

Yes, that is something we dont really recognise in the day today life because we all are focused about our salaries and paying taxes for it at the end. However, there is almost everything on which government impose taxes and thus gets benefited with it. I am sure that they do this because they want money from the public as share of profit which will be used for the development of nation. Now when it comes to the bitcoin then it is really tiny stuff around the world currently and I see no effect of it over the national economy. It would be effective when it will be more liquid in use and very abundant in the nature. A good try of explaining how the relationship works out in reality.

The rate of the poor and ordinary people is very high. Most are people who work as wage earners. The majority of people in society and the rich make up less. They are fundamentally different from thinking to acting and the results will be different. Change your mind to be successful and wealthy.

[RockBar0]

Yes, that is something we dont really recognise in the day today life because we all are focused about our salaries and paying taxes for it at the end.

It is difficult to understand everything that is going on. Life is increasingly modern, accompanied by the development of accompanying fields. Comments on the technology era are very different, may be true or false. But what I think, what help me to get. Not too difficult to maintain them.

[ss890]

Economic drive of the nation is really complex process and one can never say that bitcoin is really affecting it or not. As you mentioned that it is mostly dependent upon the international relations, produce of the nation, its export import, domestic market and much more is something that drives the economy of nation. I guess its very obvious that bitcoin might contribute into the economic structure of nation if and only if it is implemented within this system for particular use, like currency! May be we will see this coming through in the near future, but for now I dont think there is any bit effect of bitcoin over national economics.

[bintangkejoraku]

I also often see such questions, I think they all already know the answer to that question. people who know bitcoin must know how bitcoin changes the world economy.