https://ift.tt/b4y9ExK Reserve President admits fiat currency is faith based mass delusion

Except it’s not just faith based. The US economy and companies that issue stock do generate something valuable. Like Gold, Bitcoin is purely faith based and scarcity based. But unlike Gold, but oil is a technology and gold has thousands of years of “faith” behind it.

Currencies always thrive or do badly based upon demand and supply. Deflation and inflation actually have had moments of incredible importance in history, not always absolutely what one might think. Technology and globalization are fundamentally deflationary to the costs of other things, while inflation has often actually helped rebalance things after what might be considered “crashes” have put all wealth and all value into the hands of just a few. Contrary to common notions today, inflation has traditionally destroyed the power of debt, over debtors. That terrifies the wealthy.

The appreciation of assets, yes, even bitcoin, has often been inflationary. Bitcoin’s incredible rise has a lot to do with hidden trillions of dollars in unusable monies, and popularizing the opportunity that can be had by being a very tiny, impossible to prosecute participant in the laundering and mainstreaming of those monies… monies that come from corruption, drug dealing, arms dealing, tax evasion and human oppression. Selling people on the notion that their buying that currency is “liberating” is a kind of a false bill of goods. It is rebellion against democracies and acceptance of autocracy. Even the bitcoin universe, what 90% is owned by 10%, so getting more and more people to buy into it, selling them in it, when it really has very little practical use other than speculation, is a necessity to make bitcoin fully transferable for that elite that still own most of it. The bitcoin universe must become big enough for those holders to liquidate if they wanted to do so, without destroying the credibility of the notion that it is a “currency”. But it’s really not a currency. Maybe a store of value, but not a true currency.

John has kind of lost it lately. The complexity of modern challenges is taking down a lot of interesting people.