Saifedean Ammous and Erik Voorhees spoke in consensus: The conference held on Monday focused on concerns about central bank and government action in response to the current coronavirus pandemic.
Both speakers expressed the belief that Bitcoin (BTC), as an apolitical form of money, would be much better placed to see the world through the current crisis..
Fiat mass impression: bad
Both men were particularly critical of fiscal stimulus measures by governments around the worldas Ammous noted:
“The addict always feels good the first time. The problem is withdrawal syndrome.”
While central banks may seem like heroes to some at the momentAmmous continued, the real question is: Why does the current monetary system require such measures? He believes that it is neither normal nor healthy.
Vorhees agreed that regulators had opened a Pandora’s box during the last financial crisis when it was discussed long before quantitative easing measures were adopted. This time they made the decision to print huge amounts of new money almost immediately.
It’s not about creating wealth, Voorhees said, but “taking the money of the future and redistributing it today.”, in addition to the theft of everyone who currently has it through devaluation.
Stable bitcoin production: good
Although many tried to push for central bank independence in the 1980s, it was not sustainable, Ammous said, since they enjoy a monopoly granted by governments and therefore cannot be apolitical.
On the other hand, Bitcoin’s monetary policy is automated, and although many have tried to change it, none has succeeded. As a result, Ammous believes that it can only gain credibility as a store of value and a medium of exchange.
Voorhees also defended Bitcoin against reactive changes in monetary policy.
Fear of a virus doesn’t give us the ability to change math or gravity, he explained, and something as important as money shouldn’t be in the realm of governments that make decisions they really don’t understand.
Both men predicted a bright future for Bitcoin, and Voorhees concluded:
“I’m grateful that the world’s governments didn’t realize it as quickly as I feared they might know how existential Bitcoin is and cryptocurrencies are threatening fiat money.”