Over the Past 300 Years, No Fiat Money Has Escaped Going to 0

[BitcoinivaX]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
Listen https://podclips.com/c/maVy2k?ss=r&ss2=bitcoin&d=2021-03-22

[1715042335]

1715042335

[1715042335]

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[pixie85]

Aren't you forgetting about the British Pound? It lost a lot of value over the year but I don't think it ever went to 0.

Even if we changed it to 99% of fiat money crashes every 300 years, does it mean we have to wait for it to happen? The Lira is dying as we speak but it won't make people lose everything if they get rid of it and invest.

[Hydrogen]

Anyone interested in this topic, I would recommend doing a keyword search for the above quotation. ("Paper money eventually returns to its intrinsic value -- zero."  --Voltaire)

The rich (or not so rich) history of fiat has been well documented and published many times over the last few years.

As deficits grow and later quantities of fiat are printed to appease debts/liabilities, I suspect the number of pieces published on this topic will multiply.

[posi]

This is the first time I hear something like this about fiat currency and this is the reason why the government shouldn't be totally trust because they usually say/do things that will be profitable to themselves while they keeping lying to us about the history and the in-depth issue of fiat currency. I believe people like Kiyosaki have already known this which is why he also supported Bitcoin last year but why the government didn't totally support Bitcoin so people can benefit from it.
With that been said, after search the above quotation as advised by Hydrogen and I find out that the issue was once addressed on this forum before.

[philipma1957]

Aren't you forgetting about the British Pound? It lost a lot of value over the year but I don't think it ever went to 0.

Even if we changed it to 99% of fiat money crashes every 300 years, does it mean we have to wait for it to happen? The Lira is dying as we speak but it won't make people lose everything if they get rid of it and invest.

So 1720 the pound had a value of above zero

2021 the pound has a value of above zero.

So topic title is false.

Maybe switzerland 🇨🇭 has also done it.

Not sure about any other place.

Maybe not the swiss. looks like the swiss franc dates to 1798.

Usd dates to maybe 1781 not 1776.

but the pound certainly makes title wrong.

[Darker45]

If not zero, then perhaps replaced or abandoned. Such is probably the fate not just of all fiat money but all forms of money. However, it seems fiat money is the weakest form. It is built upon very unstable, untrustworthy, and shaky a foundation. Backed with nothing, fiat money is meant to die sooner or later. It may be a truly amazing creation, but one which is not expected to last, especially because it is susceptible to human manipulation and abuse. And as we all know, with massive power, which is what control over fiat is, humans can't be trusted.

[Twentyonepaylots]

It eventually will. And I believe debt and saving is the main issue why such eventuality come to happen. It's not all sad though, especially now that we have bitcoin and cryptocurrencies, which can very well act as the currency of the future. So it's not like we are left with no choice here. But I digress, we should all get our balls ready for this happening, it's slowly coming to reality, and it's just going to be a matter of time until such event happens.

[zanezane]

Fiat doesn't work that way though, it loses its value via inflation and if we consider it as going zero, I think that I can name a few that did that, there is the Deutsche Mark during World War 2, the Zimbabwean Dollar and Venezuelan Bolivares. I think that the only time that fiat will become zero is when the government that backs it up and makes it a legal tender collapses or an apocalypse where resources are more valuable than paper money.

[Jawhead999]

When government doesn't use fiat money as legal tender, fiat money will going to zero.

But right now, I find it quite impossible fiat money can going into zero because we're using it for daily and every time to buy food. In the future government will began to develop digital currency of central bank (CBDC) it also backed with real fiat money 1:1 , the difference is only digital. Many traditional bank would collapse from this, but not all.

Even fiat money will lose it value due to inflationary as government keep printing new money to cover its debt, we still need it to pay micro payment and anything.

Bitcoin is the future, but it can't replaced fiat money. IMO we will use digital coin backed with fiat money in the future since government has full control and support it.

[slapper]

Fiat money is simply a symbol of belief. As long as there are people who believe in fiat, it will still have value. Just imagine that if bitcoin is not reliable and no one trusts it, its value will remain zero. Everything in this world is impermanent. It can change, reshape, return to its most basic form, or even vanish from this world. But from my point of view, even though many people disagree with the benefit of fiat money, other parts of the world still concern fiat as an important tool for a variety of aspects. And since the world has flattened and become the only part, fiat even plays a more important role.

The existence of Bitcoin and cryptocurrencies are created in order to against not just the government but also inflation which is an intrinsic characteristic of cash. And with this new alteration, people will have more choices but it is not necessary that this new form of money will replace or destroy fiat. From my perspective, they will co-exist in this mad world and together, they will bring a lot of advantages and innovations to humankind.

Be flexible guys. Both fiat and cryptos have their own strength and weakness

[electronicash]

When government doesn't use fiat money as legal tender, fiat money will going to zero.

But right now, I find it quite impossible fiat money can going into zero because we're using it for daily and every time to buy food. In the future government will began to develop digital currency of central bank (CBDC) it also backed with real fiat money 1:1 , the difference is only digital. Many traditional bank would collapse from this, but not all.

Even fiat money will lose it value due to inflationary as government keep printing new money to cover its debt, we still need it to pay micro payment and anything.

Bitcoin is the future, but it can't replaced fiat money. IMO we will use digital coin backed with fiat money in the future since government has full control and support it.

it's still going to be the same if the digital currency in CBDC can be minted all they want. the value will still deflate and goes zero. but our data will be collected with this CBDC which there will be another revolution to be done against it. the wealthy people who govern this world will still be in their full control that even the waters in the river are going to be owned by them.  it's better to still have the cash and cryptocurrency.

[Mauser]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
Listen https://podclips.com/c/maVy2k?ss=r&ss2=bitcoin&d=2021-03-22

The thing with currencies is that they are not connected to any commodity like gold. So once people lose trust in a fiat currency than the value will go down to 0. The same could happen to any crypto currency. But one good thing of fiat currencies is that even if the money becomes worthless there will be a new currency eventually. And the exchange rate for the new currency shouldn't be 0.

[Ozero]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
Listen https://podclips.com/c/maVy2k?ss=r&ss2=bitcoin&d=2021-03-22

The national money of states cannot depreciate to zero, since even with the highest inflation in the country there are material benefits that provide this money.
It is very rare for states to declare a default, but this is more due to the inability of the state to fulfill international financial obligations. Other states prefer not to allow this, as it means that all previous debts of this state must be written off.
Under certain circumstances, a cryptocurrency may well drop to zero in value.

[paxmao]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
...

Actually they have, frequently they just rebrand the coin as an acknowledgement of that. The fact that it does not reach "absolute zero" is meaningless. In practice "0.00000000000001" is zero and that is happening in Venezuela, about to happen in Turkey and happened no more than a few decades ago in Germany.

https://www.bbc.co.uk/bitesize/guides/zpctyrd/revision/6#:~:text=The%20German%20currency%20lost%20virtually,million%20marks%20by%20November%201923.

For example, a loaf of bread which cost 250 marks in January 1923 had risen to 200,000 million marks by November 1923.

[Sterbens]

even if it had to return to the intrinsic value of fiat to Zero then the barter system would become commonplace. not only in the past 3 centuries, even in the future fiat is not sure when cryptocurrency is a legal medium of exchange and is used globally. it is only a matter of exchange, both fiat and money in the world of different types and values remain in the same function. So when we look back, the barter system was introduced long before the first century of world warfare. fiat appeared when missionaries discussed in the pyramids of ancient egypt. to give birth to a medium of exchange in the form of banknotes.

[avikz]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
Listen https://podclips.com/c/maVy2k?ss=r&ss2=bitcoin&d=2021-03-22

Fiat money can only go to zero if the government fails. We have seen few examples already like Zimbabwe or Somalia or Venezuela. These fiats have nearly went close to zero so they had to adopt different mechanisms like crypto adoption or completely discard their own currencies and adopt a foreign currency. So fiat currency is not out of such risks.

But does that mean crypto can be an alternative? I see this not happening because cryptos are not controlled by any country. So no matter how bad the fiat system is, I don't see them adopting cryptos in any way!

[The Sceptical Chymist]

I expected that link in the OP to be from zerohedge as soon as I saw the title of this thread--I was wrong, but this is the same argument that goldbugs have been using to hype precious metals for as long as I can remember. 

And I'm sure it's true, because no government has lasted forever and thus there's been no currency that's lasted forever.  But so what?  It's not like there's any guarantee that bitcoin has to hold any value whatsoever, much less be worth $60k/BTC.  Do I think bitcoin is going to go to zero anytime soon?  Nope.  But I also don't expect the US dollar to go to zero in the near future either (though with all this money printing, I'd say it's getting closer and closer as time goes on).

[Scripture]

Some are afraid that we will return to zero, and every year we move away from it. Over the Past 300 Years, No Fiat Money Has Escaped Going to 0
Listen https://podclips.com/c/maVy2k?ss=r&ss2=bitcoin&d=2021-03-22

There's a lot of fiat money that become worthless because of growing technology and of course, central banks are improving the fiat system and that's why many are just part of the history and no value anymore but of course fiat money will remain on our system and it will never be replaced. Many believes that Bitcoin will replace fiat currency, and for me this is just a hype because government will not allow this one and many are still not knowledgeable about bitcoin, so it wont happen in the near future.

[bitmover]

Aren't you forgetting about the British Pound? It lost a lot of value over the year but I don't think it ever went to 0.

This is the first thing I thought when I read the topic title.

I made a brief research and found this:

https://corporatefinanceinstitute.com/resources/knowledge/finance/pound-sterling-gbp/

History of the Pound Sterling
The name of the pound sterling is derived from the Latin word “libra,” which corresponds to balance and weight. The Bank of England first issued the pound banknotes more than 300 years ago, with the notes undergoing several changes over the years. The pound coin first appeared in 1489, during the rule of Henry VII. Pound notes started to circulate in England in 1694, shortly after the establishment of the Bank of England, and the notes were originally handwritten. The pound worked in its complex scheme of pennies and shillings until 1971, when the decimal system was introduced.

It has far more than 300 years.

Anyone interested in this topic, I would recommend doing a keyword search for the above quotation. ("Paper money eventually returns to its intrinsic value -- zero."  --Voltaire)

I once read a nice quote, similar to that, made by Chris Dixon:

Three eras of currencies: commodity based, government based, and math based.
https://twitter.com/cdixon

[Poker Player]

Aren't you forgetting about the British Pound? It lost a lot of value over the year but I don't think it ever went to 0.

Even if we changed it to 99% of fiat money crashes every 300 years, does it mean we have to wait for it to happen? The Lira is dying as we speak but it won't make people lose everything if they get rid of it and invest.

So 1720 the pound had a value of above zero

2021 the pound has a value of above zero.

So topic title is false.

Maybe switzerland 🇨🇭 has also done it.

Not sure about any other place.

Maybe not the swiss. looks like the swiss franc dates to 1798.

Usd dates to maybe 1781 not 1776.

but the pound certainly makes title wrong.

Yeah well, strictly speaking it is indeed false. However a pound was worth one pound of silver 300 years ago. Nowadays you only get 0.05 ounces or 0.003125 pounds, which means it has lost more than 99% of its initial value.