Although the prospect of hyperinflation in the USD might seem unlikely, BitBoy Crypto outlined what could happen should it arise. If basic needs, such as food, shelter and water, become unaffordable due to skyrocketing prices, Civil unrest, protests and even riots could spread globally. Government force would be necessary to keep people from looting, with harsh penalties used to make an example of people. However, citizens could be protected via cryptocurrency, as it prevents value from being lost during inflation. Oppositely, countries against cryptocurrency could struggle, which could trigger a shift in the world currency.
Alright. So let’s start here. I don’t necessarily think we’re going to go into a hyperinflation crisis, but many people have been predicting this for years. And you’ve got to admit, inflation’s been out of control. But when it comes to hyperinflation, the idea is not too unrealistic.
The Lay of the Land
If we were going into a crisis, we’re going to look at what could happen, the optimistic and pessimistic situation, so you’re prepared both ways. Let’s get it! Welcome to BitBoy Crypto! My name is Ben. And today we’re talking about hyperinflation.
Basic Needs and Civil Unrest
If you watch movies that have a dystopian future like The Hunger Games, there’s always a point in the history of that country or that land where things went south and they went south quickly. So let’s get a lay of the land of what things would look like if we saw hyperinflation from the US dollar and if crypto was banned completely. So the most basic problem would be people’s basic needs. When hyperinflation goes up, that means the lowest price you can pay for goods, well, it goes up a lot, which means necessities, like food, shelter, water, These prices are going to skyrocket, and they’re going to be unaffordable for the average person, meaning, how are they going to eat?
Supply Chain Issues and Civil Unrest
If you look throughout history, if you’re able to control how people eat, then you actually can control the world. When civil unrest occurs and nobody has food, People will do anything to eat. And you guys know how we’ve seen supply chain issues for a couple of years now. Well, imagine that times a hundred. Supply chains would be disrupted everywhere, meaning the little bit of food that people could afford shrinks, which pushes the price up again.
And this is all a formula for civil unrest, which would include protests, riots, who knows what? When you think about how hostile things could get at a gas station if it was running out of gas and there was only a few gallons left And everybody was waiting in line to get it, it would be kind of like living in the wake of a natural disaster but just all the time. And when civil unrest gets too much, governments have to respond with force. And to make an example out of people, They’d have to give them very harsh penalties to keep people from doing this again. But it will continue anyways. And then you’ve got to think about how it would affect the world. US dollar is the world reserve currency, Meaning hyperinflation of the dollar would have ripple effects all over the world, and it would definitely lose its world reserve status, which is the sole thing that gives America its power on the world stage.
And, look, some countries may rise up and their currency may become worth more Because of what happens with the dollar. That’s going to take a long time. In the short term, world economies would be wrecked. That’s why there’s so much motivation around the world to keep the dollar from going into hyperinflation. Think about what an advantage countries who support crypto would have During this time of hyperinflation. While the dollar is going out of control hyperinflating, imagine the value proposition for crypto, for Bitcoin.
Transition to Crypto
We’ve already seen when the DXY gets stronger, Bitcoin gets weaker. When DXY gets weaker, Bitcoin goes through the roof. This means that countries around the world that support crypto, well, they’ll be in a much better spot than those that try to ban it. But it doesn’t have to be a doomsday scenario. Thankfully, we have Bitcoin, technology that can act like a lifeboat when the fiat ship is sinking underwater. If we start seeing hyperinflation in the United States but crypto remains a viable option, well, that changes things dramatically in this country.
Crypto as a Tool
Now, certainly, if we hit hyperinflation with the dollar, we’re still going to see civil unrest, infrastructure breakdowns and a lot of bad things, but because crypto exists, when those things start tumbling, we basically have an alternate economy built-in already that we can just switch to. During hyperinflation, these dual economies could coexist for quite a while until the central bank makes a move and decides to throw in the towel, which crypto adoption is here. It’s probably coming in the future. And this isn’t a scenario that we’ve just made up. Look around the world. Look throughout history. There have been plenty of countries who have faced hyperinflation, and you can see how that played out. It wasn’t good.
In Latin America, you’ve got a lot of great examples. Look at Venezuela or even Argentina. They’re still facing crazy hyperinflation. And not surprisingly, these countries have been two of the faster countries where their citizens have been adopting crypto. For people there, crypto has acted like a lifeline. It’s improved their quality of life during very uncertain times. These areas still face problems with their governments and their local infrastructure. Like I said earlier, if this happens to the United States, we’re going to see those same things, but crypto allows for a “soft landing.”
Looking at you, Jerome Powell. And who knows? Maybe this is the vehicle. Maybe this is the way that we finally transition from fiat currency to cryptocurrency. But this will take many years. And there’s going to be a tough transition process in the middle when it finally gets ready to happen. The Bitcoin maximalists want everything to change overnight. But if things change overnight, that would probably mean we were just on the brink of a disaster. You see, we don’t have to go to a dystopian hyperinflation world to make this change. You and I, well, we can start making it today. The fact is, no matter what happens, crypto is a tool for preserving value and maintaining financial freedom. And that’s something that I think everybody can appreciate. That’s all I got. Be blessed. BitBoy out.