Beware Understanding These 4 Essential Things Before Buying Some Bitcoins

In recent decades, economic crises have multiplied. These recent economic crises have all been caused by abuse of the system by a minority of people with too much power.

The 2007–2008 global financial crisis alone explains why the current monetary and financial system is flawed.

The private bankers who caused this crisis did not even have to pay the price for the crisis they caused.

The countries, and therefore the people, have come to foot the bill for this crisis.

The effects of this crisis were felt throughout 2010.

Instead of taking real action to clean up the current monetary and financial system, the relevant authorities have chosen to deal with the problem by increasing the money supply in circulation.

To help you understand the problem represented by this continuous and ill-considered injection of liquidity into the system, let me give you a striking example.

Imagine an alcoholic going to his doctor for help.

Faced with his patient’s problem, the doctor would recommend that he continue to drink even more.

The people at the helm of the global economy deal with the problems of the economy using the same tools that have caused the mistakes of the current system.

The result is disastrous because the same causes logically produce the same consequences.

This constant increase in the money supply has reinforced the inflation of the U.S. dollar and most other world fiat currencies.

According to the U.S. Bureau of Labor Statistics, current prices are 212% higher than average prices in 1980. Thus, the U.S. dollar has experienced an average inflation of 2.96% per year over the past 40 years.

The real value of the U.S. dollar has declined steadily since 1980.

An American must, therefore, have $312 in his possession in order for his buying power in 2019 to be equivalent to his buying power of $100 in 1980.

Some governments, central bankers and economists arbitrarily make decisions that devalue what you own.

While people in Western countries feel only moderately the effects of this hyperinflation, people in the poorest countries ruled by authoritarian regimes suffer enormously.

The current monetary and financial system is clearly flawed as it only reinforces global inequalities between the very rich and the very poor.

This system no longer protects the people and an alternative must be found to give power back to the people.