Finance & Economics | Digital Currency
Cryptocurrency Could Bring Down The Economy
From the very first time that Bitcoin was used to buy two pizzas until just before the recent and devastating crash, critics have been warning that cryptocurrencies are nothing more than a scam. It’s been no secret about how much energy digital coins consume, contributing to pollution and climate change. Furthermore, most legitimate financial professionals have been vocally outspoken against digital coins for the better part of a decade, while well-respected economists have repeatedly declared that there is no proof whatsoever that cryptocurrency can function as a safety net during a recession.
Despite all this, loyalists of cryptocurrency continued to tweet and post “YOLO” and “FOMO” all while regurgitating each other's fallacious mantras.
“Cryptocurrency will provide a hedge against inflation,” they said. In reality, we now know that it’s fueling price increases in real-world goods.
“Cryptocurrency will decentralize currency and replace fiat money, thus ushering in a new world era of peace and prosperity,” they said. On the contrary, we now know that digital coins need to be pegged to fiat currency in order to have any stable value.
“Elon Musk believes in Bitcoin and Dogecoin, so they must be a legitimate investment,” they said. It turns out that Elon Musk is actually as crazy and arrogant as he pretends to be.
Just mere weeks ago the bullish cowboys of the cryptocurrency world were denouncing the warnings from legitimate professionals and users of common sense, as being nothing more than whining and doomsaying — some went so far as to accuse critics of having a doom porn fetish.
Meanwhile, Elon Musk, the self-anointed champion of ignorant meme investors and cryptocurrency enthusiasts everywhere, is estimated to have lost all of the gains posted on the Tesla balance sheet, because he parked them in Bitcoin, which has plummeted by 50%.