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<blockquote data-quote="The_Quiet_One" data-source="post: 8615475" data-attributes="member: 614562">Because global economics is essentially a game of who can have a more advantageous valuation. It gets extremely complicated very quickly. I have my opinions though.So we have an astronomical national debt. Who holds that debt and what to we do about it? It requires a careful balancing act between keeping the dollar resilient to economic downturns while trying to pay back &quot;less&quot; than what we borrowed all the while keeping our domestic economy is relatively good heatlh.Ideally we never go upside down on a dollar we borrow. It seems a popular trend is to try and &quot;inflate the debt away&quot;. How best to do this?1) We create a trading pair with an essential commodity. Petroleum consumption is pretty vital so we push for the petrodollar to hedge our bets and require developed nations to touch the USD at least once.2) We allow inflation to lower the relative value of the dollar over time. If and when we pay back that dollar it will have less purchasing power than when we borrowed it.3) We hope when shit inevitably hits the fan we drag everyone else down with us and hope any disparity in relative economies fall in our favor.There&#039;s way more to it, but it should give you a rough idea of what I think is going on.That&#039;s also why I&#039;m relatively bullish on cryptos right now. We passed a critical juncture a few months ago and institutions realize they need to get control of crypto markets sooner rather than later to further maintain the status quo. I believe the rampant growth and speculation is a good way to &quot;buy out&quot; most early adopters on the off chance a new asset is materializing and to go ahead and bring crypto&#039;s into the fold on the off chance they don&#039;t crash and burn completely.In my mind BTC died the day it was added to the futures market. The libertarian&#039;s dream passed away and became the financial institution&#039;s new toy. It&#039;s sad, but at least some people made decent profits. *shrug*</blockquote>

[QUOTE="The_Quiet_One, post: 8615475, member: 614562"] Because global economics is essentially a game of who can have a more advantageous valuation. It gets extremely complicated very quickly. I have my opinions though. So we have an astronomical national debt. Who holds that debt and what to we do about it? It requires a careful balancing act between keeping the dollar resilient to economic downturns while trying to pay back "less" than what we borrowed all the while keeping our domestic economy is relatively good heatlh. Ideally we never go upside down on a dollar we borrow. It seems a popular trend is to try and "inflate the debt away". How best to do this? 1) We create a trading pair with an essential commodity. Petroleum consumption is pretty vital so we push for the petrodollar to hedge our bets and require developed nations to touch the USD at least once. 2) We allow inflation to lower the relative value of the dollar over time. If and when we pay back that dollar it will have less purchasing power than when we borrowed it. 3) We hope when s[COLOR=black]hit[/COLOR] inevitably hits the fan we drag everyone else down with us and hope any disparity in relative economies fall in our favor. There's way more to it, but it should give you a rough idea of what I think is going on. That's also why I'm relatively bullish on cryptos right now. We passed a critical juncture a few months ago and institutions realize they need to get control of crypto markets sooner rather than later to further maintain the status quo. I believe the rampant growth and speculation is a good way to "buy out" most early adopters on the off chance a new asset is materializing and to go ahead and bring crypto's into the fold on the off chance they don't crash and burn completely. In my mind BTC died the day it was added to the futures market. The libertarian's dream passed away and became the financial institution's new toy. It's sad, but at least some people made decent profits. *shrug* [/QUOTE]

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