I Thought Things Like This Were Good For Crypto

in SteemLeo2 years ago

IMG_20200312_140813 (1).jpg

So one of the interesting things about this coronavirus thing is that I thought in times of financial crisis safe havens were bolstered. There had been a lot of talk about btc as a safe haven in the past and that thought process seemed feasible.

Am I know to think that btc as a hedge has been debunked. I thought crypto was going to prove itself when governments were tested and monetary policy was exposed as a fraud. I think we've done a good job showing how a real crisis could wipe account economies and in the USA people are still not realizing that everyone is going to staying home from work, business will fail and Trumps aid will be misappropriated just like the Farm Subsidies.

I guess my question is this, why is crypto suffering like?

Posted via Steemleo

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Uneducated guess: this is not a pure financial crisis. This crisis results from the expectation that the virus is going to slow down the economy and businesses across all sectors/countries.

Movements of capital are expected to slow down as people stay home, lose their jobs, consume less... Hence why crypto (broadly described as currencies not controlled by central banks), used to transact, dived as well.

This said, I would advise you not to worry (perhaps accumulate even), as I do not expect banks to do well in such an economic downturn. The trust in financial institutions that keeps the people from going all-in on crypto will erode in due time.

I agree. People here in Florida have no idea that this is going to be bad. Business will be wiped out a long with low wage workers not getting paid. When they close schools and parents have to stay home it is going to be bad. Bank stocks should go up though because everyone will be maxing out their credit cards. Unfortunately my business is based in Italy and I'm just opening up in Fl. My equipment is supposed to be shipped. Not happening for a few months I suppose.

Wow, I'm sorry to hear that. Hope you can find local/national providers to get your equipment and continue run your business.
I doubt bank stocks will go up though, as many people won't be able to pay what they owe to said banks, and their model basically is to profit from financing the economy. I would add that a cash run would probably take down most of them, directly or by domino effect. Time will tell!

my company makes our own stuff. Its great. They came to usa because their stuff is so good. It will settle down for us but I hope people will be buying in the next few months. We manufacture ice skating rinks .

It does bring back great memories as my grandparents used to live right next to an olympic skating rink. Had so much fun there.
I see you're really pushing the experience to the next level with all the waterparks-like activities. Wish you the best of success !

thanks. It's fun stuff. It very in demand in the United States

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