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0 sats \ 3 replies \ @Solomonsatoshi 9 Apr \ parent \ on: The Next Neutral Global Reserve Asset is... Bitcoin bitcoin
I am not so sure about Europe.
If Trump continues to alienate and abandon Europe as he appears to be doing.
Europe is already gaining more from trade with China than it does from the US.
Culturally Europe would not seem a natural monetary ally to China but in economic terms if they had to choose between the US and China the advantage would be with China.
Additional to this, Europe seems determined to implement a CBDC in the near future- the advantages from a fiat central bankers mindset are considerable and if China has already developed the protocol that enables international payments via CBDCs, which many other countries (starting with BRICS) also adopt, while the US has not, then what are they going to do?
Europe also seems fairly hostile to Bitcoin.
Chinas goal is to build the protocols and tertiary infrastructure of global trade and governance in the 21st century.
The US is not building them and China is now the dominant productive economy.
Agree Bitcoin is the ideal candidate from a theoretical perspective but do not understand the factor of nation states projecting their power to dominate others.
China with its highly centralised poliburo and philosophy seems unlikely to embrace Bitcoin for trade payments, and while Europe might, it seems unlikely because they are also very attached to their centralised fiat monetary issuance, leverage and privilege, which Bitcoin undermines.
I don't think that the Chinese will necessarily "embrace" Bitcoin. But wow the miners in China sure manufacture a lot of it, in addition to manufacturing a lot of ASICs.
I don't believe (although of course I don't know) that the EU will actually use a Chinese CBDC-system. I am highly doubtful. They will trade with the Chinese more and more perhaps (this makes sense)... but 'connect' their CBDC to the Chinese transactional systems? Really?
No way.
And the EU isn't exactly one block, they disagree on things all the time.
If US bonds aren't the neutral safe haven they once were, we need a neutral liquid digital safe haven for exchange and economic hedging and Bitcoin is the only really neutral candidate that isn't restricted to only one country.
Who knows it may never work out the future is unknown... but compared to everything else I believe that Bitcoin is better and is perfect product/market fit.
in my opinion it's Bitcoin dude
A lackluster run for haven assets during one of the most acute market selloffs in years has left investors seeking new forms of protection.
US Treasuries plunged Wednesday as Donald Trump’s reciprocal tariffs took effect, sending the benchmark 10-year yield up by more than 10 basis points to its highest level since February. Gold rose but remains down for the week, during which global equities touched a one-year low. The dollar also has weakened.
Just as Trump’s latest tariff war pushes global trade into uncharted territory, financial markets also are scrambling for answers to questions about the role of assets that typically shield investors during crises. While some observers point to the likes of German bunds and Japan’s currency as potential new shelters, the candidates also face risks from liquidity to their own economic and monetary policy outlooks.
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Bitcoin certainly does provide a viable, proven and neutral alternative to Chinese CBDC protocols.
I hope it is adopted widely enough to be viable despite Chinas dominance of global trade.
A multi-polar world seems increasingly likely and Bitcoin could be increasingly useful and adopted in such a world.
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100% agree
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