Someone is always looking to the past with a hint of nostalgia, hoping the pendulum will swing back to how things were… but some creations can’t be ‘put back in the bottle’.
History may rhyme in the sense that human nature hasn’t changed all that much, but many technological advancements are already taking humanity down paths that don’t circle back.
One of those is money.
The foundation beneath everything in society.
NEW: Bitcoin will become the “new gold” within the next decade – Coinbase CEO
— Bitcoin Archive 🗄🚀🌔 (@BTC_Archive) October 30, 2022
We compare Bitcoin to gold to help people better understand what it is, but it’s far more than just the ‘new gold’.
Most people don’t know about gold’s place in the modern world or its importance in history.
Someone who does, is Peter Schiff, the infamous gold bug and Bitcoin hater.
Below he’s trying to find a place for gold in the modern world based on what’s changed…
Gold is the best money man has come up with. Now, because of #blockchain, you can create a digital currency backed by #gold for a superior form of #money, instead of paper #currency or #cryptocurrency backed by nothing, pic.twitter.com/GcWj96JRyk
— Peter Schiff (@PeterSchiff) October 29, 2022
In a world where the new generations are digital natives, most don’t give a second thought to holding physical money. That’s not going back, and he knows it. Many don’t even carry cards anymore. It’s an app.
There are very good reasons to use physical cash, but it’s not about convenience.
It’s not easy to move the asset over space.
This was always a limitation for gold in a more connected world.
So we have historically used the hard asset to back IOUs, such as paper money.
Could we keep gold as the base asset but use modern ‘blockchain technology’ in place of fiat currencies this time around?
Could we swing back to the golden age using modern technology and ancient gold?
Peter is stretching, and I think he knows it.
The reason monetary history keeps repeating itself, even in the modern day is the limitations of gold and the eventual need for centralisation.
Blockchain can’t fix gold, but Bitcoin can fix money.
The age of physical money is coming to an end.
The age of digital money backed by sound money properties is just beginning.
A monetary base that’s made for the modern world but cannot be corrupted. We’re not going back.
Time moves forward, every 10 minutes…
Hard money creates good times.
Good times create weak money.
Weak money creates bad times.
Bitcoin fixes the cycle.