R u consider rich holding crypto during hyper inflation

[Upgrade00]

This is based on the assumptions that bitcoin's price at the time of hypee inflation in a country remains stable or moves upwards against the US dollars which it is tied to.
You would equally be considered to be losing money should bitcoin drop with the national currency remaining the same. Both scenarios would not matter unless you convert.

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[el kaka22]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

BEFORE the hyper inflation it is definitely a thing, look at my own country for example, because of the inflation the bitcoin prices went from $6.5k to $3.5k but we only lost about 10% of the total loss instead of the full version since the dollar value of it increased in our country.

Basically, the inflation is something that makes you poor very quickly and everything in your country worth x10 of what they used to, if you hold your own currency at that time then there is no way you can actually move to bitcoin afterwards however if you hold bitcoin beforehand and before the inflation begins then you have a shot at becoming very rich very quickly while everyone stays poor. While people have hard time buying and selling stuff you will be capable of living an alright life.

[deisik]

It terms of not getting richer because hyperinflation devaluates the currency, it's not really the case because Bitcoin is limited in supply so even if the purchases are smaller, they still shrink the supply so holders of BTC benefit

Well, it doesn't work any more

It is surprising to see anyone actually believing in this kind of thing now, i.e. that holders diminish the supply and this leads to higher prices. I understand when people were telling this prior to 2018 as it did actually look like that back in the day. But now that we have crashed 6 times, there is enough evidence that whatever effect holders may have on price, it is negligible. Supply may in fact diminish but that doesn't mean higher prices

[cellard]

It terms of not getting richer because hyperinflation devaluates the currency, it's not really the case because Bitcoin is limited in supply so even if the purchases are smaller, they still shrink the supply so holders of BTC benefit

Well, it doesn't work any more

It is surprising to see anyone actually believing in this kind of thing now, i.e. that holders diminish the supply and this leads to higher prices. I understand when people were telling this prior to 2018 as it did actually look like that back in the day. But now that we have crashed 6 times, there is enough evidence that whatever effect holders may have on price, it is negligible. Supply may in fact diminish but that doesn't mean higher prices

$3000 was seen as insane prediction by many just a year ago. What do you mean holders have a negligible effect on the price? We are making obvious progress, every time we crash, we bottom at higher prices, then we start the journey to a new ATH. It's obvious it's going to be extremely volatile but it's the holders of last resort that matter. As far as supply keeps shrinking and the demand for the only unconfiscable asset on earth is there then the price will inevitably go up long term. It's going to take a while, these market cycles get heavier to move with every new ATH due the higher marketcap.

[justdimin]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

It’s the amount of crypto own before the hyperinflation that would determine how rich one would be. For instance someone who would have purchased enough crypto before hyperinflation can be lucky because it would be attached to USD.

Now, whatever that makes inflation start at Venezuela , the ability to buy usd will then go down and  the person who has owned crypto would be lucky because he would not need as much UsD to buy Venezuela currency like it would have been before the hyper inflation

[pixie85]

It terms of not getting richer because hyperinflation devaluates the currency, it's not really the case because Bitcoin is limited in supply so even if the purchases are smaller, they still shrink the supply so holders of BTC benefit

Well, it doesn't work any more

It is surprising to see anyone actually believing in this kind of thing now, i.e. that holders diminish the supply and this leads to higher prices. I understand when people were telling this prior to 2018 as it did actually look like that back in the day. But now that we have crashed 6 times, there is enough evidence that whatever effect holders may have on price, it is negligible. Supply may in fact diminish but that doesn't mean higher prices

You don't understand why we have crashed 6 or more times. I'm not even counting that. It has nothing to do with holders.
Most of the holders were people who survived bear markets and are sure bitcoin will never go back to the levels at which they held. If they were able to hold then they will be today whatever happens.

People who bought Bitcoin in December 2017 came with the intent of selling for a profit. Most of them bought because somebody they know bought earlier in 2017 and made money. They sold at the first sight of danger or lost money and sold too late.

[Febo]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

In hyper inflation you just dont hold that  currency. You or spend your salary fast. Or exchange your salary into other currency or even gold. Yes Bitcoin can help here.  I lived as a kid in a country with quite high inflation. It was for a year or so and was even 100% a month. I remember there were traders standing in front of a bank. So when dad got salary he went in bank to pick it up and right outside of bank exchanged it for some other convertible currency. People adapt. Or you just went and buy something. a TV or something. You did not wait a month so you could get only half TV for same salary. People are not stupid.

[andika2018]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

In hyper inflation you just dont hold that  currency. You or spend your salary fast. Or exchange your salary into other currency or even gold. Yes Bitcoin can help here.  I lived as a kid in a country with quite high inflation. It was for a year or so and was even 100% a month. I remember there were traders standing in front of a bank. So when dad got salary he went in bank to pick it up and right outside of bank exchanged it for some other convertible currency. People adapt. Or you just went and buy something. a TV or something. You did not wait a month so you could get only half TV for same salary. People are not stupid.

If hyperinflation happen, i am agree we should not holding paper money or fiat, i am prefer holding Gold or bitcoin. Bitcoin already recognized as digital asset and i think if hyperinflation happen, people will hold gold and bitcoin

[GreatOrchid]

It is not the right term to use rich. Why? Because it just happens that you comes to be a lucky one when you hold a cryto currencies before your currencies experience hyper inflates. Well this is one thing that is too bad to happen for every individuals but also, gives the chance for the crypto currencies to saves its owner in times like this. If this happens to you, then, you could be say to be a smart and very futuristic crypto investors.
This saves an individual from bring his or her entire life from top to nothing.

[Hannahanto]

Is it not a good idea to buy and hold crypto currencies during hyper inflation. I say yes. A good move from the citizen side. The crypto will certainly support when their local fiats doesn't. Right? Obviously they become rich when they hold crypto with high values when their local currency has lost its value during inflation.

[MakeMoneyBtc]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

Since money value would drop drastically in your country everyone living there would consider themselves poor. So the answer to your question is yes, because you have invested your money and during the inflation period the value of your bitcoin remains the same.

[boyptc]

You may not that be sort of rich person but you will be able to survive in this economic crisis if you have saved the value of your money through bitcoin.

Feeling so bad for the Venezuelans, I've seen too many posts about money being thrown in the streets.

[South Park]

You may not that be sort of rich person but you will be able to survive in this economic crisis if you have saved the value of your money through bitcoin.

Feeling so bad for the Venezuelans, I've seen too many posts about money being thrown in the streets.

I feel bad for the people of Venezuela as well but bitcoin was created to help people in those desperate circumstances, when there is hyperinflation the most valuable commodity is not food or water, it is money itself, if you have a form of money that is not losing its value at an incredible speed you have a huge advantage so anyone with access to dollars, gold or bitcoin can protect the value of their efforts and can exchange their money for a premium as everyone wants the money that person is holding.

[Kevin77]

Sort of. Depends on dollar as well. For example if you live in Venezuela (or any third world country like Zimbabwe and so forth) dollar also gains value, so instead of holding bitcoin if you had dollars in your pocket during the hyper inflation than you already made a lot of profit and considered rich.

When everything is going perfectly having 100 dollars in your pocket is not a huge amount but when your 100 dollars that you stored just in case gains about x100 or more in value than you could be considered "rich", not in the sense that your 100 dollars will buy you multiple houses but at least you could get some more food than other people. Same applies to bitcoin or euro or sterling and so forth. Having a foreign currency whatever it is will help you out a lot.

[Duzter]

Sort of. Depends on dollar as well. For example if you live in Venezuela (or any third world country like Zimbabwe and so forth) dollar also gains value, so instead of holding bitcoin if you had dollars in your pocket during the hyper inflation than you already made a lot of profit and considered rich.

When everything is going perfectly having 100 dollars in your pocket is not a huge amount but when your 100 dollars that you stored just in case gains about x100 or more in value than you could be considered "rich", not in the sense that your 100 dollars will buy you multiple houses but at least you could get some more food than other people. Same applies to bitcoin or euro or sterling and so forth. Having a foreign currency whatever it is will help you out a lot.

At times of hyper inflation the value of bitcoin too will decrease, because in some form it is dependent on the physical fiat. Maybe we can say that bitcoin is independent and doesn't get affected by any of the external forces. In reality this isn't the same with the value decline of USD there will be some change if there is inflation. I don't find reason for such inflation to happen around.

[Mometaskers]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

No, all option either holding crypto and the inflation rate of the currency in your currency means it is a down trend to all of your assets. This never consider one to be rich where all of it are falling down or even if you consider crypto has gone stablize. Still it is not consider that you have grown your asset therefore it is not that one became rich holding crypto before the fiat currenct inflation.

Not really mate! If someone has bought crypto before hyper inflation strikes in, they can actually make a good use of it. Because crypto prices are mainly tied with the USD. So if hyper inflation strikes in Venezuela then the purchasing power of the currency will go down. That means, it will take less USD to buy Venezuelan currency compared to past. Similar way, previously bought cryptos will fetch higher amount of Venezuelan currency as it is measured in a similar way as USD.

Previously bought cryptos can indeed proved as a very good support during hyper inflation.

Totally agree with this. I saw in recent news that people there are now using dollars directly. It's like the same situation in Zimbabwe where the currency has become useless.

Main difference is even before this there are already BTC users in Venezuela. People will accept bitcoins as payment since they know it'll be WAY easier to exchange to USD later than the VEB, which I noticed isn't even in Google's exchange rate tool.

[jakezyrus]

You may not that be sort of rich person but you will be able to survive in this economic crisis if you have saved the value of your money through bitcoin.

if you put your money unto bitcoin , that money will also be lost if bitcoin experience a dump  but you can surely survived in economic crisis because all of us do still have other source of income aside from cryptos and bitcoin .

Feeling so bad for the Venezuelans, I've seen too many posts about money being thrown in the streets.

why would feel bad about it ? thats not your fault  . they might be rich thats why they throw away thier money   .  you may feel angry about them instead of feeling sad because they dont value money while other parts of the countries are dying due to poverty .

[deisik]

It terms of not getting richer because hyperinflation devaluates the currency, it's not really the case because Bitcoin is limited in supply so even if the purchases are smaller, they still shrink the supply so holders of BTC benefit

Well, it doesn't work any more

It is surprising to see anyone actually believing in this kind of thing now, i.e. that holders diminish the supply and this leads to higher prices. I understand when people were telling this prior to 2018 as it did actually look like that back in the day. But now that we have crashed 6 times, there is enough evidence that whatever effect holders may have on price, it is negligible. Supply may in fact diminish but that doesn't mean higher prices

$3000 was seen as insane prediction by many just a year ago

I'm not sure if it is not your conjecture only

We were trading below 3k as recently as August 2017 (which is a little over a year ago), so it didn't look like "as insane prediction" at all. In simple terms, it was reality back in the day, so there is no way in which people could think of it like "insane". Well, some may have actually thought so, but they obviously fell victim to being deluded

Further, the price rose and then crashed many times which means holders are contributing not so much to price rise as to volatility, if this is what you are asking. If it were not true (read, false), the price couldn't possibly crash from 20k down to 3k, as simple as it is. But since Bitcoin did crash so much, the bottom line is pretty simple, isn't it?

[sana54210]

It is a very trying time for the people of Venezuela. This is the major reason is why having Bitcoin is a great necessity. I read the story of a young man who has been saving his family by the help of cryptocurrency. He said crypto has really been supportive. He kept all his money with Bitcoin and only exchanges small amounts in the persistent hyper inflating economy when he deems it necessary.

According to him, he does not own Bolivars, that’s their official currency instead he kept all his money with Bitcoin. The Bitcoin user said he doesn’t even have a bank account. This is how he has been able to stay for his family

[andika2018]

In Venezuela ppl r experiencing hyper inflation. It can ruin ppl financially. If u hold crypto before ur currency hyper inflates . U r consider rich? Trouble times but crypto helps in economic times definitely.

Since money value would drop drastically in your country everyone living there would consider themselves poor. So the answer to your question is yes, because you have invested your money and during the inflation period the value of your bitcoin remains the same.

To maintain our asset value, we should make investment before hyperinflation happen. Holding bitcoin or gold in normal inflation will keep our asset value maintained when anything happen and i think its more safe to make investment in this bear market