With the current administration, I’d argue we are definitely in “faith based” money right now.
It was originally based on a gold reserve and then taken off to become a fiat currency. Trump is talking about potentially not paying back debts owned to other governments. Definitely sounds faith based to me, there’s nothing hard backing it.
True, but that isn’t contradictory. The point is value of both of these forms of currency are made up and imaginary. They’re valuable as long as someone is willing to purchase it.
The same is true for gold. People think it has intrinsic value, which is why it’s so easy to scam people with. The value is almost entirely based on people thinking it’s valuable though.
I don’t like crypto-currencies. It “not having value” isn’t the correct argument to use against it though. It’s a pretty stupid one. There are plenty of good arguments that should be used instead.
The USA government? With the tariffs? And the orange buffoon in charge? If we’re counting that, then we might as well count his “crypto reserve” as backing too.
Or it could be backed by math and economics alone.
The usd has value created by virtue of being backed by the usa government. It is not just faith based.
With the current administration, I’d argue we are definitely in “faith based” money right now.
It was originally based on a gold reserve and then taken off to become a fiat currency. Trump is talking about potentially not paying back debts owned to other governments. Definitely sounds faith based to me, there’s nothing hard backing it.
True, but that isn’t contradictory. The point is value of both of these forms of currency are made up and imaginary. They’re valuable as long as someone is willing to purchase it.
The same is true for gold. People think it has intrinsic value, which is why it’s so easy to scam people with. The value is almost entirely based on people thinking it’s valuable though.
I don’t like crypto-currencies. It “not having value” isn’t the correct argument to use against it though. It’s a pretty stupid one. There are plenty of good arguments that should be used instead.
Government based fiats always has the guarantee that the government will accept them to settle your taxes.
So, as long as the government exists, there’s a buyer for the currency.
Not the case with made up ponzicoins.
The USA government? With the tariffs? And the orange buffoon in charge? If we’re counting that, then we might as well count his “crypto reserve” as backing too.
Or it could be backed by math and economics alone.