Lack of Confidence in Government? Invest in Cryptocurrency.
Posted On July 16, 2018
If you, like me and a lot of other people – look at the current state of affairs and see complete chaos on the horizon – there are really only a few ways to protect your hard earned money.
1) Buy gold, silver, or other precious metals or gems. Gold will never become worthless – but as a store of value it tends to peak when governments and financial systems are failing and fall when they have the confidence of the public. Personally, I’m amazed that the value of gold and silver have stayed pretty steady since 2013 as the value of our economy has been artificially inflated and corrected. When one sector of the economy falls, the governments are quick to pump up another sector – there is a robbing Peter to pay Paul aspect to it that should be terrifying. Gold has hovered in the $1300-$1600 range for far too long. Silver has been in the $16-$17 range. I think that a 25%-40% rise in value is on the near horizon. I don’t recommend buying gold or silver though – the problem is fungibility – can you imagine paying for groceries with gold or silver?
2) Stock and bond markets. Personally, I think we will se a 50% drop in all the major indexes over the next two years. Multiple large banks, big corporations, and investment funds will fail. The Russian backed Trump administration has a clear policy of not rescuing American businesses – expect catastrophic losses after a couple of months of magical looking gains.
4) Cryptocurrency. When governments fail, they can’t take crypto with them. Bitcoin has a built in value creator – the number rewarded to miners halves periodically with 2020 being the next halving – this should limit supply and increase demand since there is a set number of bitcoins that will ever exist. They can’t be artificially created by governments. Bitcoin and many others are not controlled by central authorities, they are decentralized. Unless they can take your private keys, your bitcoin cannot be stolen or seized. Unless there is a way to connect your name to your public key – they cannot be connected to you. Cryptocurrency is the only failsafe in a world where governments are bound to fail. Today, as the US president all but reveals that he is a pawn of the Russian president – smart money is pouring into cryptocurrency at rates that we haven’t seen since December of 2017. As the governmental chaos continues with the disastoruous Brexit, more revelations of collusion between Russian and Republican operatives, and forthcoming revelations of financial insolvency – watch for TRILLIONS of dollars to pour into Bitcoin, Litecoin, Ethereum, Digibyte, and other decentralized tokens.
If you want to buy gold, silver, antiques, or art – I don’t really have any significant resources to offer you but definitely no matter where you are putting your money, do you own due diligence and remember that past performance does not guarantee future results.