Bitcoin will shrink the economy

[fuguebtc]

I don't think bitcoin can shrink a country's economy or bitcoin can play a negative role in a country's economy. As Bitcoin can play a major role in increasing the rate of economic growth in a country, Bitcoin plays an important role in stimulating the country's economy especially by controlling inflation in a country.
How can Bitcoin play a role in shrinking the economy in a country where the world's leading figures are increasing their investments in Bitcoin?
Although Bitcoin has not been accepted in our country, my country ranks 37th in terms of Bitcoin transactions in the world and about 45 lakh people in the country are directly and indirectly dependent on Bitcoin. Earning remittances on Bitcoins has become an important factor in our country's economy and is considered an important source of country's income.

Sure, bitcoin will not and cannot negatively impact the economy in any way but I also don't think bitcoin can play a major role in boosting a country's economic growth. How will Bitcoin stimulate the economy when it is just a currency that cannot create jobs, cannot promote diplomatic relations and attract foreign investment to the country? And what role does it play in controlling inflation on a national scale when its volatility is so great, it can even lose 10%-20% of its value in just a few days? With that volatility, I even believe it will destroy our economy faster than it helps the economy grow.

Bitcoin can only be considered to have an impact and contribute to the country's economy if everyone using bitcoin complies with their obligation to pay adequate taxes to the government. But do you think people will pay taxes or are people using bitcoin to evade taxes?

[btc78]

Bitcoin will never shrink any economy unless there is a wrong usage , remember that there will always be a good and bad side of everything .
Bitcoin has its best side for the people and this will lessen the transacting time and of course the fees .

[iBaba]

Bitcoin will never shrink any economy unless there is a wrong usage , remember that there will always be a good and bad side of everything .
Bitcoin has its best side for the people and this will lessen the transacting time and of course the fees .

Bitcoin can never shrink the economy of any country rather it will make it more interesting and better. Many people have given bitcoin different names and understanding which are all wrong, bitcoin isn't coming to take any economy away rather, to bolster the economy of these countries through the alternative decentralized system. A system that is controlled by the people and not necessarily the government. The individuals are the major stakeholders and determinants of the worth and the circulation of the decentralized currency and not any central government.

[Akbarkoe]

Unlimited money printing leads to unlimited consumption. (Fiat)
Limited money printing leads to limited consumption. (Bitcoin)

On a bitcoin standard, the economy is likely to "shrink" because people won't piss away their bitcoin on a bunch of stupid fiat crap. That also means that people need to work less as the value of money increases.

The end result would be more meaningful and important production/consumption because people will make less and consume less. It will also result in less zombie companies producing cheap consumer garbage.

I look forward to such an efficient and stable economy.

If you're talking about people holding BTC and not spending it because of its deflationary nature, then yes, it can affect the economy. Yet, not everyone has the guts to hold on for dear life. Some people will have the temptation to sell BTC once prices go all the way to the moon. They either do it to pay their bills, or simply to cash out for profit. With money moving across the market, I believe BTC will do more good than harm over the mainstream economy. Governments are taxing it, while employment rates are rising due to this nascent industry.

"Unlimited money printing" by central banks will just make BTC more valuable over time. It means greater purchasing power to all of its "hodlers". I'd say there's nothing to worry about. Just buy, "hodl", and forget about the rest.

Basically, with the current financial mechanism where the government can print money easily there will never be a depreciation of the economy even though many people who keep their money in BTC, the government will always do that will add to the continuous M2 Money Supply, even though no one has saved money In BTC because Fiat is inflation if the printing is not limited.
Bro, what we need to realize is whether BTC is increasing in value or our money that actually continues to weaken so far.

[irhact]

Bitcoin can never shrink the economy of any country rather it will make it more interesting and better. Many people have given bitcoin different names and understanding which are all wrong, bitcoin isn't coming to take any economy away rather, to bolster the economy of these countries through the alternative decentralized system. A system that is controlled by the people and not necessarily the government. The individuals are the major stakeholders and determinants of the worth and the circulation of the decentralized currency and not any central government.

Any individual or country that adopts Bitcoin will benefit and not suffer from accepting Bitcoin. The economy shrinking means Bitcoin wasn't good to the economy and that can never happen just as you have said. Holding Bitcoin will bring more revenue for the country and they can make use of the revenue generated to make other sectors of the economy to become more active. The profits made from holding Bitcoin by the country can be invested into the health sectors and it improves the health of the citizens which will make the citizens more productive and this will generate more revenue for the country that can then be used in other sectors to make the sector more active.

[Iranus]

Bitcoin can never shrink the economy of any country rather it will make it more interesting and better. Many people have given bitcoin different names and understanding which are all wrong, bitcoin isn't coming to take any economy away rather, to bolster the economy of these countries through the alternative decentralized system. A system that is controlled by the people and not necessarily the government. The individuals are the major stakeholders and determinants of the worth and the circulation of the decentralized currency and not any central government.

Any individual or country that adopts Bitcoin will benefit and not suffer from accepting Bitcoin. The economy shrinking means Bitcoin wasn't good to the economy and that can never happen just as you have said. Holding Bitcoin will bring more revenue for the country and they can make use of the revenue generated to make other sectors of the economy to become more active. The profits made from holding Bitcoin by the country can be invested into the health sectors and it improves the health of the citizens which will make the citizens more productive and this will generate more revenue for the country that can then be used in other sectors to make the sector more active.

Bitcoin is highly volatile and has many risks, so whether using or applying Bitcoin will bring benefits or cause damage will depend entirely on the strategy of each individual or each country. It all depends on ourselves, bitcoin cannot decide success or failure for us and cannot guarantee anything.

Just like not everyone who invests in bitcoin makes a profit, a lot of people lose money investing in bitcoin when they don't have a good strategy. Or like El Salvador and the Central African Republic, the first two countries to legalize Bitcoin as legal tender but El Salvador has had some success while the Central African Republic has failed.

[Oluwa-btc]

In my opinion this will be a good thing as so much of the economic "growth" we see in the world today is a vacuous re-packaging of frivolous fancies to meet imaginary needs fueled by an incentive to spend currency that is always losing value. Things that satisfy a genuine pressing need will continue to be invented, bought and sold and this is all that is necessary for a vibrant healthy economy.

The idea of Bitcoin shrinking the economy is something I can really place and I think such can't happen and why will it shrink the economy when it's set aside to meet up individuals needs in the long run and mind you it's decentralized nature makes it available in such a way that it amounts to the growth and stability of one or organization.
You can decide to invest in Bitcoin or not but definitely it doesn't change the fact that it could be replaced with anything, yes the price changes overtime, do if you think Bitcoin is dropping the economy of a country why not give it a try like to invest in it for awhile and see the outcome yourself and I bet you you'll be grateful you did.

[LDL]

Bitcoin will have no impact on the economy, it's too small.

People will lose their life savings and that's it.

Did the collapse of Bitconnect had any impact on the economy ? no.

Bitcoin's impact on economic development around the world is not much. How will Bitcoin not spread much influence all over the world and has not gained acceptance among people. If Bitcoin were to gain influence or acceptance around the world, then it would be observed whether it has an impact in terms of economic impact.

Yes there is definitely risk in investing in bitcoins but more than that is the risk of being dependent on bitcoins when investing in altcoins. But if you invest in Bitcoin, that investment should be long-term because long-term investment has the highest potential for investment.

[dificanovi]

At this time Bitcoin is known to almost all humans on earth, but saving money in Bitcoin will not reduce the economy. Humans certainly have needs that they must buy such as food, drinks, clothing, and other needs that they must buy, therefore Bitcoin will not reduce the economy. Saving money in Bitcoin is also important because the price will always increase from year to year, while if you save in a bank the value of money will remain as much as we save in the bank and all the goods we buy from year to year will be more expensive so the value of our money in the future will decrease, that's why we are required to save some money in Bitcoin.

[Abiky]

Bitcoin is highly volatile and has many risks, so whether using or applying Bitcoin will bring benefits or cause damage will depend entirely on the strategy of each individual or each country. It all depends on ourselves, bitcoin cannot decide success or failure for us and cannot guarantee anything.

Just like not everyone who invests in bitcoin makes a profit, a lot of people lose money investing in bitcoin when they don't have a good strategy. Or like El Salvador and the Central African Republic, the first two countries to legalize Bitcoin as legal tender but El Salvador has had some success while the Central African Republic has failed.

Bitcoin will go as far as people are willing to let it go. Governments embracement of crypto/Blockchain tech will result in faster adoption of BTC worldwide. If Gold hasn't affected the economy, why do you think Bitcoin will? The world is still stuck with the Fiat standard. Governments won't let people use BTC over Fiat anyways. Otherwise, they will lose control over the mainstream economy.

Any sale of BTC on the market can technically boost the economy. So long as governments are able to tax it, nothing else matters. I'd imagine BTC living alongside Fiat currencies for generations. Who knows how closer we are towards a full-fledged cashless society?

[Zoomic]

Bitcoin shrink the economy? I don't think so. We and the government in particular should be appreciating bitcoin for helping in stimulating the economy. For instance, people living in underdeveloped and developing countries who are struggling with unemployment and underemployment can now boast of a better standard of living due to their investments in bitcoin. A better standard of living comes with a higher purchasing power which is way better than living in poverty. FIAT has done more harm to the economy than we can ever imagine, maybe we should focus more on how to boost the FIAT currencies too so there will be a balance.

[Cookdata]

Bitcoin will never shrink any economy unless there is a wrong usage , remember that there will always be a good and bad side of everything .
Bitcoin has its best side for the people and this will lessen the transacting time and of course the fees .

OP is just dazzling around with words without passing any form of messages to people because one profess ones said to me that if yiu are conveying a message and people can't comprehend what you wrote then you are not communicating anything at all as nobody really understand what you are wrote in prices and any form he is saying Bitcoin is bad for the economy, he is not right unless maybe if Bitcoin is use as a currency, that's going to be a whole new level of economy.

Imagine if Bitcoin is been used a currency, people will think yea it's good for Bitcoin adoption but the reality is that, it will cause alot of damages the economy. Imagine buying Bitcoin worth of $500 to be used and then the next day, the value drop to $300, everyone will he frustrated about it but if it remain a store of value, it is going to be the only saving grace for the government and its inflation.

[Onyeeze]

I don't know where you got your reasons of saying that bitcoin willy shrink the economy of a country, but what I have to tell you is that Bitcoin is meant for boosting of economy if you invest wisely, we all know that digital currency is made up of gold and the cryptocurrency if a country will invest in gold till today and gold help to Skyrocket their economy why won't Bitcoin as a decentralized currency help to boost economy in future, the thing is that we have different persons that have different agenda Bitcoin if you don't see the future of Bitcoin at least we that has been a beneficiary of Bitcoin for long time will they tell you that Bitcoin only forever reign, so bitcoin have stands already

[Abiky]

Bitcoin shrink the economy? I don't think so. We and the government in particular should be appreciating bitcoin for helping in stimulating the economy. For instance, people living in underdeveloped and developing countries who are struggling with unemployment and underemployment can now boast of a better standard of living due to their investments in bitcoin. A better standard of living comes with a higher purchasing power which is way better than living in poverty. FIAT has done more harm to the economy than we can ever imagine, maybe we should focus more on how to boost the FIAT currencies too so there will be a balance.

Exactly. Bitcoin opens up new job opportunities. How would this affect the economy? It's a win-win for both governments and investors. Of course. Every new industry brings the attention of regulators. This is just to keep things as "legal" as possible. Otherwise, what confidence will both retail and institutional investors have when deciding to add Bitcoin or any other cryptocurrency to their portfolio? It'll be the "wild west" just like the early days.

At the pace Bitcoin has been growing, I'd say it's here to stay. Some countries went as far as adopting BTC as legal tender (eg: El Salvador), while others are exploring the possibility of making a Bitcoin reserve. The global economy will boom if most (if not all) countries join the revolution. Who knows what exciting things will the future bring?