Federal Reserve and the European Central Bank do not stop printing money thanks to quantitative easing.                Bitcoin prepares for the next crisis?.

The Central Banks of many of the developed countries of the world are currently too busy to solve the problems of their citizens. But, to tell the truth, following the situation as it is would benefit all cryptocurrencies and the ecosystem in general at the end of the day.

Central Banks around Europe, Asia and the United States are busy injecting fresh Billions off dollars every day to keep the international stock market standing.

Quantitative easing.

This constant and indiscriminate injection of money; in many cases inorganic; It is called what is known as the economic theory of monetary easing.

For many of us this might seem nothing logical. Well, we know from simple economic theory; and by own experiences; that printing money in this way causes great economic problems; like hyperinflation; capital flight; interest rate rise; populist governments; among many other common problems in our region.

Departing the problem of inflation; which is also very serious. One of the problems generated by unlimited printing of bills or coins is as follows:

Money is a good like any other; and having an oversupply of money since the Central Bank has turned on the printer. It will cause the price of money to collapse; and with it his ability to buy goods and services.

Therefore, people for one reason or another, will want to get rid of that currency and acquire a safer one with more value or more scarce in this case.But can there really be an oversupply of dollars r euros ? The answer given by the theory of quantitative easing is no. Since it doesn't matter how much money these big economies print; the international stock, forex, and many people markets around the world will always welcome a $ 100 or € 100 bill.

This is why the European Central Bank , or the Federal Reserve, is supporting that “never” there may be an oversupply of your fiat money. Will this always be true?

The economic crisis is very close

The truth is that this vision of developed countries has worked "well" since they began to implement it after the global crisis of 2008.

But; 12 years after this model of indiscriminate printing of money is already being noticed that it is coming to an end. And these signals are increasingly feeling stronger.

From the progressive cuts of the FED interest rate in the United States ; negative interest rates to savers in the European Union , and more central banks. Or more recently, the disappearance of billions of dollars from international stock markets; not even gold was saved from this fall.

The coronavirus outbreak invoked a level of panic in the global financial market that had not been seen in the last decade. Many people are charging part of the blame on the new pandemic; but the truth is that this could be the drop that overflowed the glass.