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114 sats \ 2 replies \ @mudbloodvonfrei 19 Aug 2023 \ on: How would you hedge inflation WITHOUT Bitcoin? bitcoin
Anything that is likely to provide positive inflation-adjusted returns. Stocks, real estate, starting a business, etc. I know there are people who think those are all shitcoins, but that's silly. In any case, holding only bitcoin as a hedge against inflation in the near term is just dangerous. If you're on SN you probably believe that bitcoin has the properties necessary to become a superior form of money, but that requires market recognition, and as someone famous once said "the market can stay irrational longer than you can stay solvent".
Agreed, though I do think the "market" is still irrational surrounding equities. With or without Bitcoin, the tide is shifting to commodities.
Long-term allocation of funds into trusted third parties is delusional -- if Bitcoin taught us anything.
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The "market" broadly speaking is very irrational. I do think that individual assets can be bought up for cheap. I'm not really a huge fan of efficient market theory.
Do you mean that stocks and real estate require trusting third parties and are thus bad investments? If so, you're right in the sense that you trust a government to not violate your property rights, but that's also true of your car and any other physical thing you own.
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