Bitcoin solves the world's biggest problem: inflation caused by the creation of new money out of thin air. The culprits are the banking cartel and Congress, a partnership that suits them both.
The higher prices we pay at the supermarket are one consequence, but only one of many. Look closely and you'll see that whoever controls a money printer can do more than claim a large share of the supply (driving prices up). They can also decide what exists on the shelves and what is considered healthy.
After several hundred billion dollars, a person stops having material needs. Once you've bought everything material that can be bought, the only thing left to buy is power, and power is bought through influence.
So the multi-billionaire (or trillionaire, why not?) sets out to influence sectors like healthcare, journalism, politics and the economy, pushing agendas that secure his own power and the long-term survival of his dynasty.
In today's world, anyone who gains significant influence seems, sooner or later, to receive "an offer they can't refuse" from a briefcase man: a "partnership" in which you say and do X, Y and Z, and in return the group invests its cold, hard cash in you.
It's important to remind ourselves that Bitcoin is the only hope of saving the world from this banking creature that has spread its tentacles into every area of our lives.
Because Bitcoin is actionable knowledge. Everyone holding Bitcoin since the last few years has protected themselves from the inflation of the most important goods for their lives, such as meat, eggs, coffee, rent.
Do not let this paralyze you.
But do not forget.
Well, there is a quiet predator lurking nearby, trying to overturn Bitcoin back into the banking system, and this predator is called Centralized institutions (especially CEXs). I was reading a post here in the forum (can't recall the post) which prompted me to make some research. Along the line, I came across the word paper Bitcoin (that wasn't the first time I heard of it though), this got me diving deeper into the research, and I realized CEXs can inflate Bitcoin price through the method I'll explain below.
From my research, this is what I found: CEXs can issue out paper Bitcoin to traders, this paper Bitcoin can be used to settle an order book transaction (carry out trades), even when they don't have the Bitcoin backing it up. And we all know CEXs order book plays a major role in Bitcoin's price discovery, right? So they can artificially increase Bitcoin's price through this method. This is what I term artificial inflation of Bitcoin.
I don't know if this has been done to the magnitude that it became an issue, but FTX and MT. GOX did something similar in the past, and MT. Gox actually
succeeded in inflating Bitcoin's price. Now imagine the flip side where this paper Bitcoin is actually used to absorb buy pressure and create a very strong sell pressure? This is a really scary assumption.
At the end of the day, we just have to
TRUST that these CEXs do the right thing.
Talking about TRUST, we sure do trust a lot when it comes to using a trustless product like Bitcoin: we trust the storage devices (like the ledger compromise), softwares, secondary layers etc to interact with Bitcoin. This is truly a dangerous thing In the premise of this thread. I guess the statement: "don't just trust, verify", has more weight than you think.
