With rising inflation threatening to further eat into the purchasing power of the global fiat currency ecosystem, finding the perfect hedge against economic downturns has become a top priority — especially for ordinary people around the world.
Tesla Chief Executive Elon Musk joined the discussion online, publicly asking about the likely rate of inflation in the next few years to gauge global investor sentiment. American billionaire and MicroStrategy CEO Michael J. Saylor shared his thoughts on the issue, arguing that as inflation rises, he expects capital cash flows to divert from traditional fiat currencies. Transfer to scarce assets like Bitcoin (BTC).
Dollar consumer inflation will continue to be near record highs, while asset inflation will be twice as high as consumer inflation. Weak currencies will collapse and the flight of capital from cash, debt, and value stocks to scarce assets like Bitcoin will intensify.
- Michael Saylor⚡️ (@saylor) March 14, 2022
Over the past six months, major economies including the UK, Turkey, Russia and the US have experienced unprecedented inflationary pressures due to global uncertainty and disruption caused by cross-border conflicts and the COVID-19 pandemic.
Musk praised Thaler's general proposition about investing in scarce assets to counter rising dollar inflation, replying, "It's not entirely unpredictable that you would come to that conclusion."
While the public also joined the discussion, dismissing Thaler's suggestion to use bitcoin as a personal investment hedge against inflation, Musk acknowledged that primarily scarce assets such as real assets and company stocks help investors maintain purchasing power in the face of high inflation.
As a general principle, for those looking for advice from this thread, it is usually better to own real assets, such as a house or stock in a company that you think makes a good product, than dollars in times of high inflation.
I still own and will not sell my Bitcoin, Ethereum or Dogecoin.
— Elon Musk (@elonmusk) March 14, 2022
As part of the advice, Musk shared his intentions to continue holding Bitcoin, Ethereum and Dogecoin amid rising inflation “because it has value.”
Tesla will make some items available for purchase with Dogecoin, see how that goes
— Elon Musk (@elonmusk) December 14, 2021
Back in December 2021, Musk confirmed that electric car giant Tesla would start accepting Dogecoin for purchases, which sent the price of Dogecoin surging by 25%.
DOGE/USD 1-hour candlestick chart for December 2021 (Bittrex) Source: TradingView
However, Musk’s recent tweets in support of cryptocurrencies have yet to have any positive impact on the falling prices.
To enhance the legitimacy of its thriving ecosystem, the Dogecoin Foundation registered "Doge," "Dogecoin," and their associated logos as trademarks in the European Union.
Given the growing number of people and organizations attempting to maliciously trademark "Doge", "Dogecoin" and even the logo Christine Ricks created for Dogecoin, we have no choice but to register them to protect everyone in the @Dogecoin community . 2/2
— Dogecoin Foundation (@DogecoinFdn) March 2, 2022
According to Cointelegraph, Dogecoin executive board member Jens Wiechers said that the move is to eliminate attempts by unrelated people to register names and use trademarks as blackmail tools.
NFTs were deemed nearly obsolete after the initial crypto market frenzy subsided. At their zenith, NFTs fetched tens of millions of dollars. However, a study revealed that the trading volume in the NFT market had dropped.
CatherineA viral story in Chinese social media tells of a man who discovered the 4000 bitcoins his father bought in 2015, now valued at over 2 billion RMB.
AlexRussia and Brazil use cryptocurrency for payments to China, while a Hong Kong exchange license applicant with mainland ties withdraws. A prominent Chinese airdrop studio is robbed, and former largest crypto exchange Mt. Gox moves significant funds. Bitcoin decouples from gold, increasing its correlation with tech stocks.
MiyukiCrypto user Michael lost the wallet password for 43.6 bitcoins stored in 2013, then worth only $5,300, now nearly $3 million. With the help of hardware hacker Joe Grand and his friend Bruno, they discovered an exploitable vulnerability and successfully cracked the password.
WeiliangIggy Azalea joins a growing list of celebrities linked to alleged serial scammer Sahil Arora, as a project bearing her name nets $300,000 in its presale.
KikyoAptos blockchain experienced a massive surge in transaction volume, driven primarily by the "tap-to-earn" game Tapos Cat, which generated over 115 million transactions in a day. While this showcased Aptos' scalability, questions arise about its sustainability and the need to expand beyond clicker games to foster genuine utility and long-term growth.
AnaisSpot Ether ETFs could potentially launch by late June, especially after BlackRock updated its Form S-1 filings. In contrast, Hashdex has withdrawn its application. Given the green light, why is Ether’s price not soaring?
CatherineThe President of the New York Stock Exchange reveals that if the regulatory landscape becomes clearer, the exchange will consider directly offering cryptocurrency spot trading.
AlexBlackRock has submitted the S-1 document for an Ethereum spot ETF. Analysts predict that this ETF could begin trading before the end of June.
MiyukiThe Federal Reserve released its Beige Book report yesterday, indicating that overall economic activity in the United States is growing but indirectly forcing people to change their spending habits. The Beige Book gives a pessimistic summary of the overall economic activity in the U.S.
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