How do nocoiners still benefit from Bitcoin?
201 sats \ 7 comments \ @birdeye21 13 Jul 2023 bitcoin
For those worried about wealth inequality within bitcoin, what do you tell them?
Imo it all starts with understanding how bitcoin levels the playing field. Having money that doesn't work against you like the USD, lowering prices over time, makes it easier to lift people out of poverty.
The details of how BTC's monetary policy doesn't align with today's economic systems highlights the entire point. It's an evolution from debt-based "growth." It'll look a lot different.
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100 sats \ 1 reply \ @SimpleStacker 13 Jul 2023
I don't think it's necessary to argue that Bitcoin solves all inequality. It doesn't, and it wasn't meant to.
But it's very simple to point to one source of inequality that it does solve: the Cantillon effect, which is intuitive and very easy for anyone to understand. In a fiat system where the government can print money at will, the politically connected are the primary benefactors, at the expense of the rest of the populace.
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71 sats \ 0 replies \ @birdeye21 OP 13 Jul 2023
learning about the cantillon effect was a big breakthrough for me, puts a lot of pieces together all at once when you understand it
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7 sats \ 0 replies \ @nerd2ninja 13 Jul 2023
You have to explain how the velocity of money works. Low velocity money chases low velocity goods, high velocity money chases high velocity goods.
So people who aren't spending their money aren't competing for those high velocity things like phones or food or cars.
This inequality problem stems from income inequality. Which is people competing for the same velocity of goods, but never being able to catch up due to inflationary effects.
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1 sat \ 0 replies \ @designsats 14 Jul 2023
Take my parents. Barely able to navigate the internet, yet they "own" bitcoin. I custody it but I consider it their retirement.
Bitcoiners are still few and far between, so societal changes arent yet wide. But they will be.
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0 sats \ 0 replies \ @go 13 Jul 2023
How could they? I don't think it's possible.
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0 sats \ 0 replies \ @DiracDelta 13 Jul 2023
Bitcoin fixing everything means that the wealth of the world grows at the natural rate. It is a bit like a person trudging forward pulling a 200 lb sleigh, suddenly unleashed from the sleigh -- fixing everything does not mean he can run infinitely quickly, but he can jog at a much faster clip.
The world with Bitcoin is similar and every person benefits from the growth in productive capacity. It is easy to miss just how much growth is happening even with the "fiat sleigh" weighing things down, but when you actually run the numbers, it becomes possible to imagine how incredible the world will be when this weight is lifted.
Where are these numbers you might run? Good question. I have aggregated enough of them here: https://civilizationmetrics.org
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0 sats \ 0 replies \ @Undisciplined 13 Jul 2023
The existence of an honest money puts pressure on the issuers of fiat to engage in less devaluation.
Lower transactions costs in the Bitcoin economy lead to reduced cost of living and greater productivity in the general economy, as well as putting pressure on traditional financial institutions to reduce their transactions costs.
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