Bitcoin could solve debt problems

Bitcoin, the world’s best known cryptocurrency, could be the key to solving debt problems internationally. This thanks to its ability to allow users to save “without permission.”

Misir Mahmudov, author and associate of operations of the Adaptive Capital cryptocurrency hedge fund, is one of the main proponents of this idea. Something curious is that the surname Mahmudov is not entirely unknown within the crypto community. Misir is the brother of Murad Mahmudov, the well-known defender of BTC.

Goodbye debt, hello Bitcoin

According to Misir Mahmudov, saving in BTC would allow anyone to avoid the barriers of traditional saving methods. While you would normally seek to save with stocks or real estate, Bitcoin opens the door to new opportunities.

Therefore, using the cryptocurrency could eliminate the debt that users have, since the savings method would be improved. In addition, Mahmudov said that large amounts of potential savers would benefit: “Bitcoin is the democratization of savings. (…) Today, you can stack sats and store your wealth in the most scarce asset. The ability to save wealth in Bitcoin will take millions of people out of debt. ”

Cryptography as an opportunity

According to recent statistics, the national debt of the United States equals about $ 70,000 per capita. On the other hand, the global debt is so great that for every Bitcoin that will ever exist, there is a debt of 12.1 million dollars.

This implies that the debt problem is something that should not be taken lightly. Although governments and organizations have tried to implement various mechanisms to try to attack this situation, they are not always fully effective. However, Bitcoin and cryptography in general could represent that definitive solution for debt issues.

In addition to this, different academics have exposed the advantages that cryptocurrency has over fiat money. One of those who has defended this point the most is Saifedean Ammous, a former professor at the Lebanese American University. He goes on to point out that fiat currencies represent the antithesis of the saving mentality.

Ammous says this because, in his view, by issuing money that can be inflated at will, governments and central banks foster a culture of spending and indebtedness. While, at the same time, they demonize saving.

But with cryptocurrencies this would not happen, since they are decentralized currencies and do not depend on any government or financial institution. Therefore, a “true saving” could be carried out.

Reference: criptotendencia.com

Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.

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