In a recent post on Twitter, Bobby Lee, co-founder of BTCChina and a board member of the BTC Foundation, stated that he was interviewed by a Hong Kong publication. Bobby started off by sharing his views on the traditional financial system and how Bitcoin [BTC] is the next alternative to the money system. He also spoke about the economy in general.
Bobby stated that fiat money system or the traditional financial system, which was used over the past century is going to collapse soon. He said:
“Our fiat money today is actually debt-based, as opposed to history where we used to be on a asset-based money system: Gold and Silver”
The co-founder said that there is an imminent rise in the interest rates and this is unavoidable due to high inflation caused by printing excess money over the last decade. He further stated that these situations will “wreck havoc” to the economy and also result in larger budget deficits as there are greater expenses than the revenue generated. Bobby added:
“This will mean even more money printing, globally!”
He also stated that this vicious cycle would eventually result in the collapse of the current fiat money system. Fiat money, according to Bobby, has always ended up in failure as they start with inflation, followed with superinflation, and ends in hyperinflation.
At this stage, the government institutions will try to get out of their national debt, budget deficit & high-interest payments. These institutions will further borrow and print more money thus creating a higher national debt and higher interest rates. He further stated:
“It’s a train wreck waiting to happen, on a global scale! Central bank issued & debt-based fiat money could come to an end.”
According to Bobby, digital, decentralized & asset-based “sound money” is the solution to the traditional financial system and the technology that will overthrow the traditional system was called Bitcoin.
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