Magoo PhD
· 6w
Bitcoin is not an accountability mechanism on deficit spending. It actually helps governments increase deficit spending.
Bitcoin is a Liquidity sponge that soaks up all the excess liquidity looking ...
Demand to hold BTC soaks up excess liquidity in the short term. But in the long term, it undermines the demand to hold dollar instruments. This in turn reduces the exchange rate of the dollar, accelerating the increase in CPI, all else being the same.