@LukeGromen Central planning of the cost of capital is antiquated and inherently flawed. Public trust in central banking is rapidly deteriorating, and people will begin to opt out of the current system for a free and fair alternative (orange coin).
Headlines like this accelerate the above.
@benjamincowen Long end will remain elevated so long as the deficit continues to blow out. The US government needs to get debt/GDP down for the market to stop demanding higher rates.
@Fuvious@trash_pm@DariusDale42 Bitcoin software will be updated to compensate IMO. If we are not able to upgrade cryptography to handle quantum, everything is at risk, not just bitcoin (your bank account, brokerage account etc…)
Your definition of volatility is correct, but still not the same as risk. Risk is a measure of likelyhood of permanent loss. I never said it’s completely risk free, but its growing adoption and decentralized nature make it low risk today, IMO. Especially given the current macro environment/incoming liquidity.
@PoohXiCoin@DariusDale42 Agree w this statement, but also think it’s possible that BTC reaches gold parity quicker than expected due to S curve adoption. Hard to extrapolate those types of things (I.e. internet adoption, iPhone adoption etc…)
@PoohXiCoin@DariusDale42 Market cap of gold is 22.5 trillion, market cap of bitcoin is 2.16 trillion. That’s another 10x in BTC just to reach gold parity, and BTC is arguably a superior form of money. I think his allocation is more about volatility adjusted returns than BTC being “tapped out”
@benjamincowen It should be obvious that rate cuts are not required for “maximum employment” or “stable prices”. The pressure to cut rates is to save billions of dollars in interest on government debt (part of the FED’s shadow mandate)
@adam3us@KyleBuysBTC Not saying this is wrong, but the OP’s analysis should be based on market cap, not share price, vs total BTC. I believe it still shows mis pricing, just not quite as dramatic
Why is this a scam? In a future where bitcoin is the dominant money, all companies will be bitcoin treasury companies. Investment in public companies will still occur, and you will invest based on the ability for a company to grow its treasury. You are simply taking counter party risk by investing in the company rather than holding your own BTC.
@Pledditor@SteaknShake Bitcoin will not be used as a medium of exchange until it sufficiently captures its SOV potential. As well, legal tender laws disincentivize using BTC as a medium of exchange.
Study Gresham’s law and Thiers law.
SOV for several more years. Medium of exchange willl come.
@elonmusk IMO, this is a symptom of broken money. There is a real affordability crisis causing young people to have less kids, and have them later in life.