Bitcoin has undergone strong volatility this year as the pandemic has rocked markets. While this volatility has turned many off to this space, some say that the ongoing macroeconomic and geopolitical trends make Bitcoin more important than ever before.
Related Reading: Here’s Why Ethereum’s DeFi Market May Be Near A Bottom
Bitcoin Is So Important In Current Macro Environment
Naval Ravikant, an angel investor to companies like Uber, Twitter, and Notion, recently touched on this in an interview with Tim Ferris. Ferris is a host of a famous podcast where business and self-betterment is discussed.
Ravikant explained that this year, something monumental happened in American politics:
“Probably the scariest thing that happened in 2020, from a financial perspective, is both the Republican and the Democratic party figured out that, ‘Oh, actually we can just print lots and lots of money. when we print a dollar, 70 percent of that inflationary attack effect cost is borne by the rest of the world, not born by us. And so the US government’s figured this out.”
Bitcoin comes in here in that the <span class="wpg-tooltip-term-title">Coin</span></h3><div class="wpg-tooltip-content">A coin is a unit of digital value. When describing cryptocurrencies, they are built using the bitcoin technology and have no other value unlike tokens which have the potential of software being built with them.<p class="wpg-read-more"><a href="https://www.newsbtc.com/dictionary/coin/">» Read more</a><p></div>”>coin is a deflationary asset that is a hedge against inflationary risks.
Some selected tweets from @naval’s most recent