Hi Excuse me Are currencies a "store of value

[sisule]

So far, it can be said that gold, jewelry, antiques, and in many cases real estate, are a good repository of value. Regular currency is subject to inflation, and cryptocurrency has a very high price volatility and has not yet been fully studied over a long period of time. In many cases, the choice of a means of storage of value should depend on the country of residence.

Gold, jewelry and antiques are a good way to store value, but real estate is not, historically when the currency and the economy of a country is going through some problems the price of real estate goes down, this is because several factors, to begin with houses are much bigger than in the past, so in difficult situations families can accept to live with each other and save money that way reducing the demand for real estate, also when the economy is not doing well the economic activity goes down reducing the demand businesses have for real estate as well.

If we take into account the simple person who accumulates his savings thanks to small incomes, then such people very rarely buy gold bullion or precious stones.  But if you take into account real estate as an investment, then both commercial real estate and residential real estate can be used for rental purposes.  Thus, a person will save his money in his property, and will also receive a certain monthly income.

Real estate and gold become good investment assets because both of them have positive way for investing and keep increase higher price for the future, just take little time for getting profit with both investment, I like investment way using faster time how to get much profit like bitcoin and altcoin without need waiting for long term to earn much  money.

[atjiat]

If we take into account the simple person who accumulates his savings thanks to small incomes, then such people very rarely buy gold bullion or precious stones.  But if you take into account real estate as an investment, then both commercial real estate and residential real estate can be used for rental purposes.  Thus, a person will save his money in his property, and will also receive a certain monthly income.

Real estate and gold become good investment assets because both of them have positive way for investing and keep increase higher price for the future, just take little time for getting profit with both investment, I like investment way using faster time how to get much profit like bitcoin and altcoin without need waiting for long term to earn much  money.

I believe that one of the main factors in choosing a person's real estate as the storage of their funds, as well as as investments, is that the real estate market carries a much lower risk than the cryptocurrency market.  Although no one can argue that if the cryptocurrency user is lucky, then he really can become a millionaire in the short term due to trade or investments in cryptocurrency, which is impossible in the real estate market.

[South Park]

So far, it can be said that gold, jewelry, antiques, and in many cases real estate, are a good repository of value. Regular currency is subject to inflation, and cryptocurrency has a very high price volatility and has not yet been fully studied over a long period of time. In many cases, the choice of a means of storage of value should depend on the country of residence.

Gold, jewelry and antiques are a good way to store value, but real estate is not, historically when the currency and the economy of a country is going through some problems the price of real estate goes down, this is because several factors, to begin with houses are much bigger than in the past, so in difficult situations families can accept to live with each other and save money that way reducing the demand for real estate, also when the economy is not doing well the economic activity goes down reducing the demand businesses have for real estate as well.

If we take into account the simple person who accumulates his savings thanks to small incomes, then such people very rarely buy gold bullion or precious stones.  But if you take into account real estate as an investment, then both commercial real estate and residential real estate can be used for rental purposes.  Thus, a person will save his money in his property, and will also receive a certain monthly income.

Real estate can be used in those circumstances to generate some positive cash flow but make no mistake in the case of a crisis you are not going to get what you paid for your real estate even if the crisis is not related to it, however you will obtain something out of it and that is better to what we can say in the case there is a crisis related to the currency your country uses, but it is obvious that in those circumstances it will be way better to be holding some gold or bitcoin.

[btcmurat]

Bitcoin is a popular value store. But there is a better definition. Bitcoin is a store of excitement. Cryptocurrency is a very difficult investment tool. Price movements are huge. This may not be good for everyone.

[bittraffic]

You can only see how its value loses is if you play on currency trading. Like for instace if you are into FOREX market, USD loses its value by the slightest few percentage but doesn't affect its purchasing power locally. If you store your USD in the bank while inflation strikes this is when you mostly feel the value will terribly lose when your $1 can't buy you a burger anymore.

[abhiseshakana]

Well, it's not quite how it works in today's world

As in today's world most money is created by commercial banks through credit. It is actually a fascinating system as money gets created when the economy most needs it ("for needs related to business transactions") as well as destroyed as soon as the latter doesn't need it any more. Indeed, the central bank still plays a significant role in this process, but it only interferes if the system gets out of balance and can't readjust itself on its own

If what you mean is to print banknotes not by underlying gold or USD but by guaranteeing productive projects, then I hope that there is a government that dares to carry out this revolutionary strategy. Now there is the emergence of anti-mainstream economic theory that is counter to Keynesian economic theory because it is considered ancient and not applicable.

Since 1971, the United States has not printed dollars with an underlying gold. China has two currencies namely Renmimbi and Yuan. One of the two currencies is the official currency of the Chinese trade, while the other is part of the main currency, so both are the same and only have different mentions. That's according to general knowledge, but in truth the two are different from their own currency while the yuan itself.

Renminbi in the country, and Yuan abroad. In its application Yuan is printed based on IMF regulations with underlying debt, USD, gold, etc. while Renmimbi is printed based on the project. The simulation is like this. The Chinese government is targeting Vietnam to be included in its OBOR program. So China will lobby so that the Vietnamese government makes many infrastructure or manufacturing projects in the long run, such as toll roads, airports, power plants, or the metal processing industry. China will be happy to finance the project by starting to print Renmimbi for the amount of the project.

But China will require, the technology must be 100% from China, 100% of the raw materials must be from China, even if the workforce can be 100% from all China. Once the project is completed, China only needs to wait for Vietnam to pay China by using the dollar, every dollar that comes from the project's payment then the dollar bill will be destroyed to avoid inflation. Because the foreign exchange dollar continues to enter the Yuan value will be stronger. Therefore China is carrying out large-scale industrial development in the country to sustain its expansion to many countries. That is an explanation of what China has done for Yuanization and after almost four decades China began to adjust the renminbi to Yuan to 1:1.

What if this strategy was copied by Vietnam to solve its domestic problems without debt. The illustration is that the country of Vietnam will build 1 million livable homes for the poor. and for this project, 10 trillion is needed. then the Central Bank of Vietnam scored 10 trillion. The 10 trillion was handed over to the official in charge of building houses (the public works department) and then the money was used to build housing until completion. But all raw materials must be from local Vietnam, so that the steel industry, cement industry, industry, bricks, paint industry, and Vietnamese workers enjoy the results of printing money.

After the project is completed and the house starts to be sold, the money generated from the sale of the house must be returned to the Ministry of Finance up to 10 trillion Dong (VND), and each dong that enters from the project will be burned immediately. If it practices like this, it will not cause inflation in Vietnam.

So the printing of the underlying money is not gold or dollars but projects owned by a country. It's just that the state must make strict safeguards against the use of money so as not to be misused. China and America have carried out this practice so far.

[Baoo]

It is true that Bitcoin has a negative impact on Dollar's value or FIAT in general I would guess. Plus, I literally predict that the era of FIAT will disappear in the near future ( maybe after few years ) especially when some strong governments recognize Bitcoin as a legal currency like, China, We  can't expect happening that at this time to be honest due to there are many obstacles that negatively affected on Bitcoin's value.

[potatopower]

Fiat is no value store at all, but gold is the world's best value store event, when compared to bitcoin. Gold loses its value from time to time but that's very rare and manipulative, normally gold is scarce and there's not enough gold in the world to spend at the rate that we keep spending, people think gold is only used to store wealth and sometimes accessories, but there's stuff in technology that uses gold as well, hell there's gold in every computer even if it's super tiny.

[thottum]

First of all, how the value is measured.? The value itself is measured in terms of Fiat then how would you store your value with such currencies. The fiat is always depreciating because of the inflation so to hedge our value against the inflation and store it, we need a better asset class which beats the inflation thereby creating value. Whichever asset that beats the inflation is a store of value asset

[julius caesar]

Fiat money's price is being declared by the government and the price of it will gonna go up or down to their country since it has been dictated by the government. Unlike bitcoin or cryptocurrency that the dictator of the price of it is the consumer itself that is why it has been called volatile meaning continuously changing.

[South Park]

First of all, how the value is measured.? The value itself is measured in terms of Fiat then how would you store your value with such currencies. The fiat is always depreciating because of the inflation so to hedge our value against the inflation and store it, we need a better asset class which beats the inflation thereby creating value. Whichever asset that beats the inflation is a store of value asset

In the case of an economic crisis in which the value of your fiat is going down dramatically the ideal solution is to find an asset class that goes up faster than inflation and gold is perfect for this, but in those desperate circumstances even if the asset you are holding is not growing as fast but it is losing value at a lesser speed than fiat that could be good enough as a store of value in those difficult circumstances since it will allow you to exchange it for something useful and it will never lose all its value.

[doomloop]

First of all, how the value is measured.? The value itself is measured in terms of Fiat then how would you store your value with such currencies. The fiat is always depreciating because of the inflation so to hedge our value against the inflation and store it, we need a better asset class which beats the inflation thereby creating value. Whichever asset that beats the inflation is a store of value asset

In the case of an economic crisis in which the value of your fiat is going down dramatically the ideal solution is to find an asset class that goes up faster than inflation and gold is perfect for this, but in those desperate circumstances even if the asset you are holding is not growing as fast but it is losing value at a lesser speed than fiat that could be good enough as a store of value in those difficult circumstances since it will allow you to exchange it for something useful and it will never lose all its value.

Bitcoin is the leading currency of time and it is better than all assets. If you want to exchange your currency because it does not have a good value or for a difficult time, you can change it in digital currency. Bitcoin can easily be converted into all other currencies and can be used in this form so in the time of need you can either change it into your fiat or can use it the same way.

[olumyd]

First of all, how the value is measured.? The value itself is measured in terms of Fiat then how would you store your value with such currencies. The fiat is always depreciating because of the inflation so to hedge our value against the inflation and store it, we need a better asset class which beats the inflation thereby creating value. Whichever asset that beats the inflation is a store of value asset

In the case of an economic crisis in which the value of your fiat is going down dramatically the ideal solution is to find an asset class that goes up faster than inflation and gold is perfect for this, but in those desperate circumstances even if the asset you are holding is not growing as fast but it is losing value at a lesser speed than fiat that could be good enough as a store of value in those difficult circumstances since it will allow you to exchange it for something useful and it will never lose all its value.

Bitcoin is the leading currency of time and it is better than all assets. If you want to exchange your currency because it does not have a good value or for a difficult time, you can change it in digital currency. Bitcoin can easily be converted into all other currencies and can be used in this form so in the time of need you can either change it into your fiat or can use it the same way.

Sounds reasonable, but it's not peculiar to bitcoin. Any globally recognized asset can become a hedge to failing currencies but doesn't necessarily mean that such hedges can hold value for long.

You need to hedge to assets that have proven their stability over extended periods of time. Gold and a host of other precious metals have done so. But can bitcoin do same, it's still too early to tell.

[deisik]

Well, it's not quite how it works in today's world

As in today's world most money is created by commercial banks through credit. It is actually a fascinating system as money gets created when the economy most needs it ("for needs related to business transactions") as well as destroyed as soon as the latter doesn't need it any more. Indeed, the central bank still plays a significant role in this process, but it only interferes if the system gets out of balance and can't readjust itself on its own

If what you mean is to print banknotes not by underlying gold or USD but by guaranteeing productive projects, then I hope that there is a government that dares to carry out this revolutionary strategy. Now there is the emergence of anti-mainstream economic theory that is counter to Keynesian economic theory because it is considered ancient and not applicable

No one prints banknotes these days

Well, actually central banks still do, but the amount of paper money is tiny compared to all the money in the economy today. So it is not a revolutionary strategy in the least as this is exactly how money is created in the modern economy (via credit). What goes for money these days wouldn't even count as money 100 years ago (read, it has nothing to do with the Keynesian economic theory)

Regardless, money is what money does, and it doesn't really matter what form it currently exists in as long as it performs its major functions like being a means of exchange and payment. To be clear, money necessarily has to be a store of value if it is to serve as a medium of exchange

[Negotiation]

Everyone tries to measure when a dollar's value goes down to determine its value It is good for trading silver and gold but it has been used by people for many years. As the price of Bitcoin goes down again the same goes for gold If fixed by the government as a fiat currency it would be better to save the cost and reduce inflation in the country BTC has lost a lot over the years of existence but will help to increase prices later.

[crossabdd]

true money is a precious metal (gold) for example is a dinar currency that has no impairment. I think, if the application of currency in the world uses gold, it is not impossible that the distribution of prosperity throughout the world is affordable. the scenario of paper money is to control a weak country against the economy. so that they are able to control and control the countries underneath. Today Bitcoin is struggling as a digital gold based. but again, the ruling state does not want to lose their power. thus rejecting the presence of bitcoin.

[leyton11]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

Yes i understand that. But that's the rule for an economy to grow. A common currency needs to have a plentiful, stable supply and not fluctuate excessively to affect people's lives. But besides fiat money, we have assets that increase in value over time, such as real estate, gold and Bitcoin. We can use fiat money to buy these assets and hold on to inflation. As for inflation, it should still be, because without inflation, people will become lazy and do not want to grow anymore. Japan has suffered from deflation for many years and has made the country unable to develop as well.

[criza]

As for inflation, it should still be, because without inflation, people will become lazy and do not want to grow anymore. Japan has suffered from deflation for many years and has made the country unable to develop as well.

Not all countries are alike, not all needed inflation to develop, every country have their own uniqueness that makes them different from other. All countries have their different view on development, others focus on building and others on their crops. Inflation should not be treated as a good thing.

Currency and their values changes overtime based on the status of their economy. Physical money or fiats are just a representation of a true value of money.

[deisik]

As for inflation, it should still be, because without inflation, people will become lazy and do not want to grow anymore. Japan has suffered from deflation for many years and has made the country unable to develop as well

Very few people understand that

A manageable inflation (in single digits annually) is not really hurting the economy as long as it remains constant and predictable so businesses as well as households can reliably count it in. On the other hand, deflation, however small it might be, is very destructive on its own since businesses are straightaway discouraged from producing goods and providing services (as their profits depend on inflation/deflation rates non-linearly), while common people are in fact encouraged to postpone spending (hence the infamous deflationary spiral)

[tbterryboy]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

There is no ideal storage for value they all have their own advantages and disadvantages, you should know what is best for you and how much risk you are able to take. I do invest in a lot of things as a means to store values and at times they do disappoint.

I do invest my money in mutual funds, and apart from mutual funds I buy stocks (gold, silver) and currencies (dollar, Euros, Yuan) and assets (mainly Bitcoin). It’s not all them that are profitable at the end, the good thing with the others is that they are less risky than Bitcoin which has a high volatile nature. And despite that, Bitcoin is still the most profitable among them, for me.