There have been close to a dozen hyperinflations over the course of the 20th century, and there have already been a few in the 21st (the Venezuela and Zimbabwe) and a couple that have been teetering on the precipice (Argentina still struggling with 104% inflation in 2024, Turkey, Nigeria).

Usually when this occurs, it’s isolated to a single currency and there at least theoretically exists the option for capital flight into other currencies. But owing to the global debt super-bubble, and rampant money creation of the fiat era, which accelerated through The Jackpot (Covid), high inflation is now happening pretty well everywhere (the only country I note that is experiencing deflation right now is Afghanistan). Most significantly, the currency experiencing inflation (albeit officially “under control”) is the US dollar, the global reserve currency. For months in The Bitcoin Capitalist (since that 50bps cut in September), we’ve been tracking how the Fed has lost control of the yield curve, and this portends a massive crisis regardless of what the official CPI is. This is also why whenever we see something like a memecoin rocket from zero to stratospheric valuations, we don’t think of it in terms of a crypto bubble, we rather suspect what the Austrian School economists called “Katastrophenhausse” – literally “Catastrophic boom” or “Crack-up Boom“.