In recent times it becomes clearer that our economic system is poisoned. It is poisoned by the greed of politicians and big institutions who can not get enough of money and power. It looks like the whole system is going towards uncertain times. In this article we will take a look at the current situation of the economy and how it affects society and what the obvious solution could be.
Current Situation
One and a half years ago the world was struck by the COVID-19 pandemic. With this pandemic many big issues were accelerated. Things like world hunger or climate change were put aside and ignored just to overcome the pandemic. Furthermore, we can see now how poisoned and unstable our economic foundations are. With the governments printing endless money the economy was temporary secured. With all the money printing inflation is on its way to a concerning high which seems to lead us into the next crisis.
How did we get into this economic situation? I think the analogy to drug abuse is pretty accurate. A normal person gets his first high by trying out a drug. In this case the drug is money printing. The person realizes that it makes him feel better and puts him into a temporary state of joy. That’s what we saw when the money printing started during the pandemic. The economy got better and all of the stock and crypto market saw consistent all-time highs. Now, what happens after a while? This state of feelings goes down and because it felt so good the person takes another shot of this drug to regain this state of joy. Well, we all know that this is not going to last as the previous state of joy. So what happens next? The, now, drug addict starts to increase his dose. Same goes with the amount of money that is being printed. It is going up. While this helps, again, temporary it does not look like it is sustainable.
There are only two outcomes from this scenario. First: The drug addict will not stop and will increase its dose. This will lead inevitably to the death of the person. In our little analogy this would bring the economy to a collapse and hyperinflation. Not only would it destroy the economy but also bring terrifying times into the world. Imagine the world economy collapses. All social structure would collapse with it and we can end up in an apocalyptic state of the world. Nobody would care about the environment or world hunger. Everybody would start to care for themselves. I know this is a very dark view on the future and very exaggerated but there is a real possibility that this might happen.
The second outcome is not quite as dark, but this requires a lot of strength. The second option could be to do a rehab and starting to live a more sustainable lifestyle without the drug. This would lead the person to crash down, but he is alive and can take things into its own hand again! Comparing this to the economy: We would see a market crash. It could be as big as 90%. Although I doubt it would be that big, a crash will happen. The economy has to change its view on money and start using healthy and sound money instead of printing endless dollars. This would help the economy to stay alive and get on track for the old golden times.
Golden Times
I say the old golden times, because we weren’t always in this junky state of printing money. Before that we had a gold standard. In this time the primary currency was gold, a scarce resource that could not be replicated as many as the government wants. Jumping back in history: the introduction of the gold standard made the poorest people live a higher quality of live than the richest people just a few decades before that. The reason for that is mostly because this fundamental sound money lead technology to rise. In the time of the gold standard things like transportation, communication or electricity made their break troughs! Things like the light bulb, automotive vehicles or telephones were invented which mark the first step in our current society.
But what about the internet and all the amazing things that were invented after the gold standard and World War 2? All of those things are based on the first steps that were created in the gold standard epoch. And I think everybody agrees that the first step is always the hardest. Once you understand a certain technology it is easier to develop novel methods and to improve the current method than just invent something from the bottom up. You would not have had the Internet without the previous inventions like electricity or the communication systems. You would not have any autonomous self-driving vehicles without having the old Mercedes cars which max speed was 10 miles per hour and was only able to drive for 30 minutes.
With that being said, during and after World War 1 & 2, the governments of the world needed to get the drug of money printing to get through hard times and win the wars. After that they realized that it is a very nice tool to get the economy going. And so, they went down this spiral without realizing that it is not very sustainable and actually going downwards. I think many economists would disagree with me but right now this is the point of view I have on the world.
Light at the End of the Tunnel
All of the previous execution leads me to this. With Bitcoin the world now has another chance to get back on track and fix the money problem. We could go back to a sound money system because Bitcoin is scarce (21 Million) and it can be divided into very small parts (Satoshis). My hope is that with Bitcoin we can enter a new era of economy which could bring back Golden times and lead to further steps in technology and inventions. The used technology of Blockchain could be a big part of it and we can see how many interesting projects start to come out of it. In my opinion this is the chance of a lifetime for our world to make the next step.
Not only would it revolutionaries the payment methods but it also has to change politics. I think this could be one of the reason why so many countries are fighting against it. With novel governance methods it could make governments how we know them today obsolete. This new methods would also take away power from big institutions like the Central Banks. This is another reason why the adoption of crypto is being slowed down by regulators and regulations. I think the big players will not go without a fight, but how history suggests no big changes happened without a big fight.
Conclusion
Now don’t get me wrong here. I am aware that our time where we are living in, is one of the best ones to live in. But I am suggesting to give it away because big institutions were too greedy. I also think that not all regulations towards crypto are bad and that some portions of crypto have to get regulated, for example the stable Coin sector. All in all, I think that crypto and Bitcoin have a future in this world and if used correctly it can bring us to the next step of technology and evolution.
Published by ga38jem on
Publish0x|LeoFinance|Steemit|read.cash
On 13th November 2021
Sources/ Inspirations:
https://leo-mattes.com/was-bedeutet-fix-the-money-fix-the-world/
https://www.youtube.com/watch?v=8QqreUTIZbM
https://pomp.substack.com/p/fix-the-money-fix-the-world