The Fed Fiat Printing Press is Positive For Gold and Crypto

With an economic recession upon us due to nearly all economic activity halted by the coronavirus outbreak, economists, investors, and more are recommending people move their money into hard assets like gold, real estate, or Bitcoin in an attempt to weather the coming storm.

Gold has an extremely limited supply, and its use as a currency and trading instrument date back centuries.

It’s also long been looked to as a safe-haven for capital during economic downturns, which is part of the reason for the precious metal’s recent 7% gains.

Decentralized crypto assets like Bitcoin have hard-capped digital scarcity built right into their code. The limited supply gives the assets gold-like qualities as a safe-haven, simply due to the impact inflation in the dollar would have on hard assets.

Inflation occurs naturally but turns into hyperinflation and dangerous devaluing of the dollar when printing of more fiat currency supply gets out of control.

The Fed has committed to essentially printing an unlimited amount of fiat in a pledge to save the economy from disaster, however, it could be at the peril of the dollar.

Source: newsbtc.com