“Cryptocurrency is the Emperor’s New Clothes.”
Dr. Dan Geller, a behavioral economist who frequently chats about financial services at his firm Analyticom, is out with a note today hammering cryptocurrency while predicting its demise.
According to Geller, crypto has been created for control and not decentralization and untethering from the traditional financial services sector. He believes that the only way crypto will be allowed to survive is if it is tied to a fiat currency, IE a stablecoin (think USDC). All other altcoins etc. will “either become a commodity or a collector’s item” (NFTs?).
To quote the economist:
“Never in recorded history, from biblical time to today, did any emperor, king, queen, ruler, dictator or elected president relinquished control of their currency for the simple reason that the treasury pays for the military, and the military protects the hand that feeds it. Most military conflicts and conquests were done either to expand or to protect the currency and the treasury, from the early discoverers of the New World, to today’s petro-dollar conflicts … Investors, who are speculating that crypto coins will become the fiat currency of major countries, are ignoring the fact that currencies were created for control, not convenience. It’s time to tell the Emperor he has no close.”
On another crypto note, the Twitterati recently shared that since March of 2020 $6 trillion of “new money” has been created. I wonder if that is inflationary in any way?
Since March 2020, we’ve created $6 trillion of new money.
It took from the founding of the country until 2003 to create the first $6 trillion, but we created $6T more in the last 20 months.
Might be a place to start looking for answers, instead of the Kroger CEO. pic.twitter.com/4EEN0KeiWC
— ⒿⒹⒽ (@jdh) December 21, 2021
