/biz/ - Business & Finance

Guys imagine people stop buying food.

This is not a problem at all. It actually encourages people to be ecologically conscious and smart with their money. On a finite planet, resource extraction cannot go forever; economies worldwide will eventually hit a peak. When that is is anyone's guess.

In our current system, which places GDP as the highest goal, yes, you're right, deflationary spirals are "devastating". However in a non-cucked world, they're liberating!

>>12189865
just buy food every time you are hungry.
>buys food just like before

>>12189845
bro these gains are extremely temporary.

The volatility is what is driving people away, but also has a huge potential upside. BTC (or whatever is the main in the future) will not moon constantly for the next 40 years. Some sort of stability will be a huge component needed for mass adoption.

Lucky for us tho there is a vishnu living in the blockchain

>>12189845
if prices of computers, smartphones, and pretty mach any tech gadget is ever decreasing, why buy them? you can buy a better smartphone in 2 years for cheaper.

you buy tech stuff because you NEED it. ppl will buy stuff they NEED rather than being forced to buy everything they see by the govt keep devaluing their savings.

the amount of work in the world remains the same, the same amount of work will be done, the work will just be more focused on making things ppl actually need, and result in a far healthier economy.

>>12189845
1-2% inflation is good for economic growth. incels don't want to get that because muh jews

>>12189896
it's only good because if a country makes its currency deflationary, another one that keeps it slightly inflationary will outcompete them. you can't use deflationary currency in a world of competing currencies, because countries that inflate their currencies get unfair advantage.

if there was one world reserve curency, this problem would be nonexistant, and deflation wouldn't harm _real_ economic growth.

Not if they already control most supply :^) Do people really think they can win? You know why this shit is allowed to blossom? The game has changed and priorities are simply different now. Money printing will soon become less important.

>inb4 they cant stop btc

if they really wanted to stop it none would even hear about it anymore. That or they will just associate it with project bluebeam tier conspiracy

>>12189845
The majority of wealth would stay in the money supply and wouldn't leak out into other assets and create huge bubbles. It seems like that's in everyone's best interest.

>>12189845
You figured it out OP. Inflation is good, now you can graduate from /pol/ and DA JOOS CONTROLLING THE MONEY theories.
By not backing the dollar with gold we can also pay our debts easier and issue a new currency if it all goes to shit, plus stone and precious metal miners are easily exploited.

>>12189996
Oi hold up, I didn't say fractional reserve banking was good too.
>>12189960
But aren't bubbles good for exposure? Isn't that the way to expose the potential of new markets to normies? After a bubble has burst a lot of people remain to keep watching on the sidelines, just like how bitcorn is never going to $0.1 again because everyone is aware of it now.

>>12189845

>just wait 10 years and double the purchasing power of your wealth

Or put it into a startup and get a 100x in 10 years. Just like people bought shitcoins in 2017 in the hopes of more gains than keeping it in bitcoin. I mean bitcoin already exists yet what you're saying doesn't happen so...?

>>12189845
>grows the economy and creates more and better products
Need proof on this faggot. The only thing I see is extreme consumerism, earth destruction, core value destruction, family and small communities destruction in favor of urbanites where all the wealth converge. So please tell me again about your "economic growth"

>>12189845
And there is absolutely no proof / no instance of "deflationary spiral" where everyone stop buying because the price go up. Not one. The great deflation was due to a lack of smaller denomination, which can't happen with bitcoin

>>12189845
this is how selfish and self centered the average racist is

>>12189845
You are already supposed to be doing this with the stock market. You dont just keep piles of dollars in your bank do you?! Only an absolute brainlet does that. The prostrat is exactly as you describe, only as soon as your get your paycheck full of garbage dollars you swap it for nice deflationary stocks and spend the bare minimum to survive.

>>12190022
I see it as would you rather have a consensus based currency and eventually economy
or a central bank and banks gaming the system to maximize profits and getting bailed out by tax payers

We're forced to use dollars that are manipulated/inflated and we're forced to invest and take risks just to maintain purchasing power
that isn't right
I see it as you earn say $100
inflation makes it $96
you take a risk to make $100 to $105 but pay taxes on the $5 making it $4
so you take a risk to keep your $100 and give the government an additional cut while artificially inflating the strength of the economy
so when there isn't inflation forcing us into investments we don't really want to make only the best ideas will make it while preventing us from taking a risk in bubbles that absolutely wreck millions of people

>>12190059
Or put it in a startup and lose it all. Of course it's not black and white, but you'll have less of an incentive to put it in a startup when its value is already growing vs if the value was decreasing.
>>12190134
All true, but the total amount of wealth is still growing.
>>12190159
We've never been in a similar situation though. As cancerous as it is, most of us have jobs as a result of rampant consumerism and planned obsolescence, so if normgroids stop buying shiny things we're all going down the shitter.
>>12190240
But what if your dollars were deflationary and kept appreciating in value on their own without you having to put them into stocks? Then why would ever you buy stocks?
>>12190243
Okay this is a good point. I hope it can work out like this. I still think bubbles are a good way for actually legit projects to ride the coattails of speculation and gain much more traction than they normally could, but it would be great if there was another way.

>>12189845
Ok, how many link holders didn't know this? I need to know if I'm trusting retards in what they still...

>>12190388
Link isn't a currency. OP's thoughts mean nothing to Link.

>>12190422
It is though

>>12190422
No fucktard. I'm embarrassed this thread seems to be news to you toddlers. But at the same time I'm buying into the link shilling. Maybe I should reassess my trust in you fags.

>>12189845
BTC = environmentally friendly
it will get us off the hedonic treadmill of disposable consumerism, just fucking spin this problem like that and it's all set.

>>12189845
>The fear of losing your purchasing power acts as an incentive for you to spend your money, which in turn grows the economy and creates more and better products.

you were doing good up until there
products would need to be better for people to decide to spend money on them
consumerism would go down
humanity would thrive

keynesianism is a cancer for humanity

>>12190834
>BTC = environmentally friendly

BTC mining uses immense amounts of electricity. It's not environmentally friendly at all. Proof of Stake is the future. PoW was a mistake.

>>12189845
They forget that Bitcoin saves the trees. Crypto could end the printing of paper money. The only printing of paper would be for paper wallets. Everything will be put on the blockchain including text messages and wait for when A.I. fully emerges with blockchain technology. Automated and instant transactions through devices.

>>12190896
staking is centralized bullshit and no different than what we have with central banks today
their distribution is unfair and stupid their security is central and flawed

but you morons will keep repeating this because you don't understand and think you're right
you'll advertise for the premined token owners and the few that could actually run a node on staking system
the argument is so blown out and stupid but you brainlets will repeat whatever some (((journalist))) writes on whatever website you get your information

>>12189845
people will only buy inelastic goods. I would rather have freedom from purchasing power theft than Jewish bribery using materialism. You don't need a new iPhone every year.

>>12190834
Wut, BTC is the least environmentally friendly of all currencies, it costs a fuckton of electricity

>>12191086
But the alternative to dumping tons of energy into PoW is a long term solution?

https://youtu.be/achVAx1Zwcs

on Singaporean mainstream news. It’s part of a documentary series airing weekly.

>>12189845
We aint there yet chief, don't worry about it. I always say Bitcoin as a gateway investment into other bigger things.

>>12189845
haha is inflation even real? nigga walk away from the screen haha nigga close your eyes

>>12189867
>adopts tech that consumes obscene amounts of electricity for no good reason
>we eco-conscious naow
What’s life like as a retard?

>>12189845
People will be too busy actually being productive and building stuff than caring about shit like that. Also, you have to realize that at some point the price will stabilize and stop being volatile.

>>12191135
it's the best we have to keep the system true
the energy waste argument is bullshit calculations
some journalist gets the difficulty divides it by S9 miners hashing and compares it to inefficient energy methods, emissions, waste, prices, etc.
most miners are using excess power from a power plant whether hydroelectric, nuclear, or whatever
this is power that is usually wasted anyways and miners relocate to fine the absolutely cheapest and most efficient way to mine
this is because it's all based on profitability

the trade offs here are that central actors can't act in selfish interests like PoS systems can
there is a money sink for acting outside the consensus in PoW
PoW distributes who maintains the consensus into different groups miners, nodes, users, service providers
PoS is just the nodes, and the high throughput and high costs to stake centralizes who can even be a node, who can change the rules, who can check the consensus
it might work for some systems but it's total crap for a global ledger for something like money
PoS is basically a centralized database with the option to have a few maintainers
only PoW can achieve true decentralize distributed consensus

the energy is a part that keeps the system honest, that energy is fluctuating based on how big the system is
any calculations that it's going to be x in y years and that's bad are stupid arguments

I could make this a more formal argument but I don't have the time right now
think about all the possibilities of what can go wrong and why PoW protects the system where PoS does not
the energy used isn't wasted it's used to maintain an important function of a distributed blockchain

>>12189845
This was the argument of why we moved off the gold standard. Inflation encourages spending and promotes economic growth.

Gold economies are stagnant.

>>12189845
>the economy can no longer be based on mindless vapid consumerism
Wow. sounds horrible OP

>>12189865
Africans already do. They're way ahead of us.

>>12189896
And who do you think gets to enjoy the benefits of the inflation in the current system?

Everyone screaming for mass adoption don't realize that with actual adoption comes flattening of price. Remember someone saying they will tame btc? That's exactly what will happen. Enjoy your 5% or less gains per annum. Better accumulate a shit load before that happens

>>12189845
This is basically why people say BTC is a 'store of value' and not a medium of exchange. Usable currency needs to be inflationary. Inflation has to match economic growth, otherwise no one will want to spend the money. That's why a lot of people prefer to spend Dogecoin instead of Bitcoin for purchasing stuff.

Bitcoin will become increasingly rare over time, not just because of halving but because people lose their privay keys. No, Bitcoin will never become an important unit of account. Some stablecoin will take the lead eventually. Bitcoin will always be like beanie babies.

>>12191641
spending 3500$ or 10 shitstate coin instead of 1 bitcoin is exactly the same as spending 1 bitcoin, as long as bitcoin exists.

when you buy shit with fiat that's profit you're not getting from buying instead things that will gain value. there's only one economy and everything is tied.

>>12191233
Dec 17 total btc hashrate: 17TH/s. 5.4e20 total hashes over 2017. pareto: 80% of the work done on asics mining at 10TH/J gives 4.3e7 Joules for 2017. 20% on gpus at 1MH/J gives 1.1e14 J. global energy consumption: 20k TWh=7.2e19 J. btc network used 0.00015% of what the world used

>>12190243
This.

And the fact that the inflation accelerates taxing even more in countries with high tax progression. Inflation is taxation without representation.

https://www.youtube.com/watch?v=GJ4TTNeSUdQ

Watch.

>>12189845
There is a point at which price would be more or less stable because people would need or want to use their gains to buy other shit. Don't believe the jew tulpa in your head telling you that deflationary monetary policy won't eventually reach an equilibrium between supply and demand

>>12189845

Two words: diversify, nigger.

>>12189845
Thats what a recession is, its when you have deflation. You fell for the inflation conspiracy like the rest of the cryptobrainlets