Bove, who sees bitcoin and cryptocurrencies as winning in a post-dollar dominant world
And with that this guy has lost all credibility he might have had.
this post was submitted on 19 Feb 2024
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He is right tho (not on bitcoin), Central Bank Digital Currencies (CBDC), which are cryptocurrencies, are going to be very important in the next decades. China-HongKong-Taiwan are already using CBDCs to make payments between them, for a long time these transactions have been filled with inefficiencies and mediators because of the use of the dollar.
would've been more interesting if you addressed the actual point he made
The dollar is doomed, according to Bove, because "the people making the goods elsewhere are getting greater and greater control of the means of production and therefore greater and greater control of the world economy and therefore greater and greater control of money."
I've come to the sudden realization that fiat money, as we know it, is backed on the ownership of the means of production 🧐
At the end of the day, an economy is a model for allocating labour and resources in a way that meets the needs of the people.
Measures such as the stock market and GDP were meant to act as proxies for measuring how well the economy was accomplishing its stated purpose, which is to improve the standard of living for everyone. Understanding that these metrics are simply proxies has been lost today, and they've been turned into goals of themselves. People have started treating the stock market and GDP as the economy.
When push comes to shove though, control over the means of production is what matters. Western countries allowed their financial capitalists to ship their domestic industries out to cheaper markets, and now that the west is no longer able to subjugate the countries where production happens it's becoming a nightmare for the west.
Also it means that the west no longer has the military strength to enforce their ownership, as we saw recently in Africa (Faso and Niger). I am bold to say that many countries are lagging in taking back their ownership of production because theyre ideologically conquered.
Exactly, and this is a self reinforcing process. The more countries shake western oppression off the easier it becomes for other countries to do the same.
Always has been.
Its pretty funny how allergic to dialectics these people are.
Dedollarization is a process that has been developing for quite some time, it is still years away from having qualitative impacts but it is happening nonetheless. This is not suddenly going to happen tomorrow, the dollar is not going to "catastrophically collapse" 😂 thats a pretty funny statement.
Exactly, and the first steps are always the hardest. Once the initial challenges of establishing trade in local currencies have been solved, then we'll just see increasingly more trade happening outside the dollar. As you say, it's not going to happen overnight, it's going to be a gradual process.
Good thing I have $100 worth of Bitcoin. Its going to be worth billions.
Omg guess I'll go buy gold about it