Comment by toomanydoubts
4 years ago
How is that different at all from fiat currencies? Every electronic transaction you make, like credit card or money transfers, has fees. Central banks have to keep pumping money into the economy so we can have the same nominal amount of cash in the system(albeit with lower value, because inflation).
So, my question is, is fiat currency cashflow positive? How?
No money doesn't have positive cashflow, that is why it is a stupid investment.
We devalue currency by 2% per year so people have an incentive to work = keep pumping. That work creates goods and services in the process.
The problem with Bitcoin is that if it goes up in value the additional time spent mining is ultimately a waste of time.
I live brazil and earn in BRL. In the USD/BRL pair, the dollar price keeps increasing when you look at the historical data. Does that mean that holding USD is enough and investing these dollars to make more dollars is ultimately a waste of time?
I use ACH and Venmo all the time for no fees. Do you mean the tiny electricity fee that they pay on my behalf of maybe $0.01? Sure seems like a great deal compared to the multiple dollars (sometimes over $50) charged by Bitcoin and friends