Bitcoin is perfect. Most people want to have a yield, but a yield always includes risk. The more yield you get, the higher the risk of total loss. Everything has a yield (negative or positive). Let's go through some examples of why Bitcoin is absolutely perfect:
You think Bonds/Treasuries bear low risk... hell no, always something can happen to your country, be it war, natural disaster, nuclear disaster, and so on....
You think Houses fully paid down bear low risk... hell no, always something can happen to your house, be it war, natural disaster, nuclear disaster, earthquakes, fire, maintenance work, and so on....
You think Bank accounts bear low risk... hell no, always something can happen to your Bank. Banks have, therefore, a negative return, not only because they provide a 0% interest rate, but a government can/will seize everything you have...
You think Art bears low risk... hell no, always something can happen to your beautiful art, already the cost for storage, difficulty for selling it, insurance cost.... and so on...
You think FIAT under your mattress is very low risk? Keep it there for 20 years and inflation eats it all away! Risk animals eat it... So all in all, you also have here a negative yield.
You think Gold under your mattress is very low risk? Your Government can seize it like they did before. If something happens, you can't leave your country with it. The Gov will always work against you! Plus, it inflates by 2% per year!
So, as we know now that everything, everywhere bears risk, we can conclude that you will inevitably lose purchasing power on all the aforementioned value stores except Bitcoin. Why?
Because on a 100-year timespan, I guarantee you Bitcoin is the only thing that does NOT depreciate in value. Everything else will depreciate in value, no matter how you try to protect yourself from it. Bitcoin is the future with the lowest risk.
Bitcoin has a yield, but no one is able to see it. People lose Bitcoin, and this makes yours more valuable. Some people will die and take it to their grave (yes, you can do that with Bitcoin). Continuous deflation makes one richer by not selling.
I think i figured out how Tether works :-)
Entity converts USD to USDT
1. Entity sends USD to Tether
2. Tether buys Bitcoin
3. Thether then issues USDT
Entity converts USDT to USD
1. Entity sends USDT to Tether
2. Tether sells Bitcoin
3. Tether destroys the USDT in circulation
(0 bonds, 0 treasury's, 0 assets .... pure simple unconfiscatable math)
The revenue is generated from the spread (time between sell and buy)
Just an assumption from my side and probably the reason why the US gov cant do shitt about Tether. It also coincides with when the Marketcap of Tether increases , Bitcoins Marketcap increases too (in parallel to everyone else buying)
Wow , the global feed goes faster than i can read and scroll through :-)
You also see all possible languages:
- Chinese
- Japanese
- English
- German
- Spanish
.....
Love it NOSTR is for everyone! i just have to learn to read much more quickly, because if you blink you already missed 10 messages 🤣