Central Bankers & Politicians Are Bitcoin’s Best Promoters

The more governments and central banks lack any semblance of fiscal responsibility and common sense, the more people will lose faith in fiat currency and look elsewhere.

The more state regulators around the world talk about the ‘risks’ of Bitcoin, the more they are giving away the real game:

The risk is in fiat currency.

It’s no surprise that interest in Bitcoin and other cryptocurrencies is growing so dramatically, because people are losing faith in fiat currencies – which rely entirely on faith in the first place.

Without any inherent value, and with a potentially unlimited supply, it is only restraint and common-sense that keeps fiat currencies viable.

True wealth cannot be created simply by printing money, but the immense scale of today’s economies can obscure that fact temporarily, making it seem that more money creation has led to an increase in the actual productivity of an economy, despite that not being the case.

In the past year, we have seen immense budget deficits as governments shut down businesses and gave out money to prevent a total economic collapse, combined with a huge expansion of the moneys supply, and interest rates that are being suppressed because governments have backed themselves into a corner.

The politicization of central banks has also become more and more obvious. Previously, government spending was held in check by the implict assumption that rising debt levels and uncontrolled spending would lead to interest rate hikes to dissuade those actions.

But now, central banks and profligate politicians go hand in hand, with the central bankers basically bailing out irresponsible politicians whenever spending surges.

And yet, economic reality cannot be avoided forever.

People – even at a very subtle and near-imperceptible level – are starting to feel that something is ‘off’ in how money is being treated by governments. The idea that massive deficits and massive surges of debt can be undertaken without any consequences simply doesn’t work.

The more this feeling spreads, the more people will lose confidence in the government and in central banks, and look to alternate ways to store and secure value.

As long as profligate spending and endless money printing continues, the more central bankers and politicians will unwittingly be the best promoters of cryptocurrencies.

Spencer Fernando

Image by MichaelWuensch from Pixabay


 I will never take a government bailout, and I will never be beholden to a political party. My support comes from people like you who value true independence.

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