Dilution ProofWhat many people don’t grasp is the changes which have occurred which impact the value of money. When money moved away from the Gold standard and countries adopted a Fiat system we forever changed the way in which money was related to something of meaningful value. The output of which, as we have seen during the financial crisis of 2007-08, and now again with the COVID-19 pandemic is how Governments solve problems by printing more money.
Here is Canada, Uncle Justin has the presses running non-stop as he and his Government seem determined to put extra money into the pocket of every Canadian, whether they need it or not. A brilliant re-election strategy if ever there was one (except for those of us who remain un-impressed by such irresponsible spending). I digress but could rant at length about the foolishness of many of the current cash giveaways.
In the good old USA they are doing much the same, if not more, in a race to see just how big a debt a country can have before it is unsustainable. At 26 Trillion and counting, US citizens should be very alarmed.
So far, we are getting away with the printing of all this new money. It is being absorbed and not causing any currency devaluation. But everything has a limit and we will eventually reach it if we continue in the manner we are.
And that my friends is the Number One difference with Bitcoin. There will only ever be so many Bitcoins minted. Period. Full stop. There is more gold and other precious metals to be mined, more diamonds and gemstones to be created, but there will only ever be so many bitcoins.
If I have learned one thing over the years, it is that rarity begets value. The time will come when others understand this simple truth and that day may be coming sooner then you might think.
This is just an opinion, but one of the main reasons I invested in and continue to invest in HIVE. We are mining something whose value may fluctuate but it will never be diluted as is the case with so many other measures of value. Do your own DD and GLTA.