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...And "They" Dare to Call Cryptocurrencies a Bubble? [CryptoMinds Insights #3]

Crypto MindsApr 21, 2018, 6:37:14 PM

Cryptocurrencies are a bubble. Bitcoin is a bubble. Ethereum is a bubble. ICO's are a bubble.

Bubble - this is the name being put on the cryptocurrencies and all crypto coins. This name is put by a lot of financial analysts, governments, etc.

But why? Why they are all putting that name? How then Fiat (ordinary) money is more different than the cryptocurrencies?

You see, behind fiat money, there stands governments and state agents, while behind cryptocurrencies there stands nobody. Or don’t we?

Behind US dollar, there stands the US Government. There stands the United States of America. There stands whole nation of Americans, real people paying taxes. But also, behind the US dollar, stands a debt. TWENTY TRILLION DOLLAR DEBT and we are pretty sure that there is not a single American that is OK with that debt.

In fact, not only US dollar, but behind almost every single fiat money, there stands debt.

Who makes that kind of debt? Is it made by the people of the given country, or the Government of the Country?

Who is going to pay that debt? The Government? HELL NO!

That debt will be paid by the ordinary people. The average middle class citizens. All those people, who do not agree with that debt. All those people who are not accepting that debt and who are against it. Those are the people, who are going to pay the debt. Happened in 2008, will happen again. They will pay it, even if it is against their will. And most of them won’t even realize they are paying it.

And what stands behind cryptocurrencies? Nothing? HELL NO!

Behind cryptocurrencies, there stand people again. But the difference is, that these people have put their money here voluntarily, not against their will.

People who want to try an alternative financial system – a deflationary one. People who choose a system that doesn’t impose rules on them. People who choose freedom over suppression. This is what these people see in the crypto world. Different values, different opportunities. Are they better? The future will show. The whole sector is way too new in order to predict how this will play out.

But talking about fiat money, we can easily rely on the history for an easy prediction what will happen next. Repeating cycles of depression and growth every 8 years on average. The same class of people paying the same debts every 8 years on average for a century. Maybe some of these people said ENOUGH! I am done with it. Because now there is an alternative. An alternative that the traditional fiat sector is calling a bubble almost every single year. Because that is the paradigm they are coming from! Bubble, recession, growth! Bubble, recession, growth! That’s what they know.

If you look at cryptocurrencies purely as a technology, then yes! We are in a bubble. Because the valuations are not adequate to the level of development, the use-cases and the value the blockchain is providing today! But what about the future? Can you put a price on freedom? Can you put a price on a better governance model that the hierarchy, that is proven to benefit the ones at the top? If there is even a 5% chance that the people in blockchain succeed in creating that alternative world, then 300 Billion valuation is just a drop in the ocean. A tiny fraction of what it will really worth.

One thing is for sure! Fiat money are in a bubble now. Not a 5% chance. A stone cold 100% truth! And it is popping sooner or later. How and when? Nobody knows. Just the same way nobody knows when the crypto world will make its massive surge and world stage entrance.

Everything said and written until then, will be just useless noise! The noise made either by people who know nothing, or people who actually know a lot, but want to mislead you.

One noise is real though! The one I am hearing right now from my GPU card. And millions others like it around the world, which are creating the new alternative. The new financial system. The new world.

Author: CryptoMinds