Fire up the Printing Press! - Crypto better get Ready!

Fire up the Printing Press! - Crypto better get Ready!

By CoachCCAlbert | Musings of the Mind | 25 Mar 2020


Basically, the U.S. Government now has the go ahead to buy unlimited assets along with a 2 Trillion Dollar aid package.  What does this mean?  I will try to wallow through the mud and get to the end result.  

Once the virus is gone, the economy will boom and it will happen all at once.  People will leave their caves and venture out and live it up once again.  No one ever really learns their lesson for very long.  After that, you will see the economy snap back viciously like a rubber band being popped.  Here is a scenario that may explain this:  Steakhouse A opens up for business and sells 100 T-Bones the very first night open for $29.95.  In fact, he sells out his inventory the first night.  Thinking he is going to make a fortune, he adds up his profit after paying his expenses and he has $500 profit.  However, every other steakhouse did the same thing.  Now, supply and demand kicks in and the prices of wholesale T-Bones skyrockets and he now only has enough cash to buy 50 T-Bones.  He doubles the price in his place and demand plummets.  This draconian example can be applied to almost anything: gas, groceries, travel, and so forth.  By introducing a variable such as massive stimulus will cause major roller coaster rides within the business sector.  Being smart about inventory, cash management, and projections will become very valuable.  The saying "just because your busy, doesn't mean you are making money" will become paramount.

Normally, printing money will cause inflation and it will to a certain degree.  The only argument against that is every other major economic country is doing the same thing.  Crypto is the most liquid store of value on the planet.  There is no 3 day wait period for funds to settle.  No waiting to find a buyer for your physical assets and no waiting period for funds to clear.   When I say Crypto, I mean trustworthy coins and not crap coins or tokens.  Finding one that actually produces value such as Brave will enhance the storage value.  Since the presses are being fired up worldwide, it makes logical sense that this printed money will find its way into Crypto.  Thus, the price will go up...allegedly.   If I am missing something here, please comment below.  I like to learn.   

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CoachCCAlbert
CoachCCAlbert

I am a well rounded person with vast experiences in life. I can talk about almost anything


Musings of the Mind
Musings of the Mind

For us introverts, we probably spend most of our time inside of our minds concocting ideas, philosophies, and even very strong opinions which we would surely be willing to share if we just had the energy to bring them outside into where everyone can see them....this blog is simply for the purpose of ideas and thoughts that maybe expounded upon after you read them. Some will be deep and others superficial, but either way, they are now out there for public consumption.

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