The COVID-19 pandemic reminded us all that we live in a world more uncertain than ever. In the space of a few hours, all the certainties we thought we had vanished.
This pandemic has changed the way we look at the world.
For the general public, it was quite incredible to realize that central banks had the power to print fiat money out of thin air in unlimited quantities. Everyone still remembers the interview with Neel Kashkari, the president of the Federal Reserve Bank of Minneapolis, who said on CBS's 60 Minutes on March 23, 2020:
“There is an infinite amount of cash at the Federal Reserve.”
The devilish look on Neel Kashkari's face as he said this frightened many.
Yet he was simply admitting a fundamental truth that had so far eluded the general public. The general public is not educated about money and economics in general. The question of what is backing the US dollar or other fiat currencies is of no interest to the general public, who are more inclined to have blind faith in government.
This pandemic has served to highlight the flaws in the current system, while at the same time bringing Bitcoin to the fore as an alternative system that is fairer to the people because it cannot be manipulated by a few people who are not representative of the people.
With Bitcoin, the rules are known in advance and they don't change. With the Fed or other central banks, the rules can change at any time. You're at the mercy of Neel Kashkari and his central banker friends.
The trillions of dollars printed out of thin air to keep the economy from collapsing further will have had devastating effects afterward, which we are still paying for with inflation that has reached heights not seen in decades. Yet Jerome Powell and his friends were telling us this wouldn't happen.
As always, never take the word of a banker.
Governments have tried to drown the fish by handing out stimulus cheques to the people to prevent a popular revolt from breaking out if, as Henry Ford said over a century ago, the people finally understood the flaws in the current monetary and financial system.
Governments also tried to make people believe that a trickle-down effect would take place and that all this money injected into the economy would eventually reach the poorest. However, the theory of the Cantillon effect, which has been around for decades, has already shown us the opposite.
The Cantillon effect was once again verified.
History has always shown that money printing benefits no one but the richest 0.1%. This has been further verified in recent months, which is why more and more people have become interested in Bitcoin.
I've already written loads about Bitcoin since 2016, but basically, it's a statement by Cathie Wood from March 2023 at the time of the regional banking crisis in America that perfectly sums up why the Bitcoin revolution will succeed in the future:
"Why has Bitcoin appreciated during this banking crisis? In our view and contrast to those in the traditional financial world, Bitcoins face no central points of failure: Bitcoin is decentralized, transparent, and auditable."
Cathie Wood, CEO of Ark Invest, highlights the 3 key principles of Bitcoin that will restore public confidence in a monetary system. Confidence that has been destroyed in recent years.
These key principles are :
Decentralized
Transparent
Auditable
The current system is the opposite of everything Bitcoin stands for.
In the current system, you can never audit anything. You're at the mercy of the Fed and bankers in general
Bitcoin's motto is the opposite of the Fed's: “Don't Trust, Verify”.
You can verify everything within the Bitcoin system, whether statically, by examining the Bitcoin source code, or dynamically, by running your node on the network. You'll then be able to audit the system every 10 minutes on average.
There's no better way to restore people's confidence in a fairer monetary system that belongs to the people.
