aviation_hydrated @ aviation_hydrated @infosec.pub

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Joined

12 mo. ago

Good advice, thank you for sharing

Good advice, thank you for sharing

The issue is those closer to the money printer get the biggest rewards (according to the US Fed's description of their stakeholders) so as they increase their supply of currency they can accumulate more goods, outpacing the rest of the classes which have to suffer through inflation, which debases their money, keeps wages low and goods prices increase

In an evenly distributed and fully observable currency supply which can rise and lower as needed, there is no inherent issue with fiat currencies as long as the issuing party is reputable and wages increase at the same pace (up or down) with all prices

I don't agree with either of my statements, I'm just asking what people think of a new system. The current ones aren't working for most living things on the planet in their current form, and it would be nice to have new thoughts

Well the issue here is we'd need full observability of the fiat currency, since how I've seen it, no issuing party ever states "there are XYZ units of currency in rotation". Maybe a not capitalist issuing party would be so transparent?

Haven't you seen how every time this has been done it leads to dictators and coups and massive starvation?!

Yeah, it could be a faulty system or we just keep trying it in states that have enemies that don't want it to succeed. I'll have to do more research from more modern thinkers, because yeah capitalism isn't sustainable without heavy regulation since humans are human...

The issue here is according to the Fed, the stakeholders get a 6% return, which is supposed to outpace inflation. So if the ones closest to the money printer get more every year, while the rest lose money due to inflation eating it, it doesn't matter if it could theoretically work, it leads to an accumulation to the class system at the top while the lower classes must continually work forever since their savings are worth less every year

Very true, I'll do some research and if I remember I'll give you some papers

I think we need more restrictions on finances, so our human creativity can effect. What I see is that most advanced civilizations' largest export is literal trash due to excess and waste, so I figured why not have a discussion about it

Also, every fiat currency has failed in the two ways it can: hyperinflation or clout loss due to no trust in the issuing party (which tends to lead to hyperinflation). Innovation has stalled or at least hit the top of the S curve over the last 50 years, with mostly remixes of old ideas that tend to expedite the finite resources we have, so I don't think technology will outpace inflation

Good advice, thank you for sharing

Good advice, thank you for sharing

I can see this point, but how else do we store our spent engery? I personally don't want to be working when I'm 90 and the current only option is I have enough saved up something-that-holds-value long enough that I can pay for food and taxes (assuming I can own land)

I understand the frustration, but we are sadly dealt these cards and must play or... And there isn't much another option

Gold isn't finite, its supply increases every year and is the main reason for the stability in its prices. Obviously this can't continue forever, hence the finite resources on the planet

Two things you're assuming is fiat can be evenly distributed with population growth and at some point the issuing body will reduce excess supply, neither of these things are common practices and rarely happen

That's a bummer, I was hoping they were built better. Are they at least fun to drive?

But if their savings is in fiat, and its stated goal is loose value 2-3% annually, then the working class could never retire unless they make every economic investment choice correctly their entire life to have beaten inflation

The issue here is we actually don't know how much inflation there is because we can't measure the quantity of fiat, which is why there are dozens of "inflation measures" which just study different baskets

But yeah, if inflation could be measured correctly and everything automatically updated (wages, costs, etc) then I'm not seeing an issue logically. But at that point it's just a fixed supply of money and prices adjust up and down, irregardless of currency type. That sound reasonable?

I think an asset is anything that can be converted to liquid, so that depends if you think crypto is liquid or not, which probably depends on location

Well, most of our current economic payment system is smoke and mirrors for the majority of the world. In the US, bank transfers can take up to weeks to process, and the only reason why it looks fast to end users is it's insured so they just change the digits on the screen

I'm not necessarily sold on crypto, I am just over the fiat system. Living through multiple economic collapses, seeing prices rise and only held low due to government supplements and corrupt lobbying, and the general way fiat leads to over consumption will do that

Give me something better and I'll take it. I know it's slower than cash, clunky and uses as much resources as google, but right now those aren't draw backs to me in this current environment where we need debt to sustain day to day existence

If my local grocery story would accept it, I would. It's a compatibility issue, which all technology is tested this way. Having 5G towers in the 1900s would have been a bummer, but today, somewhat standard. Crypto will need to pass this test if it'll survive

Most assets work that way, if everyone sold Nividia stock then it would tank as well. Most things outside of food and shelter only have value due to our collective belief. Diamond and water paradox is constant in society