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The debasement trade has gone mainstream: What it means for Bitcoin

Cointelegraph
Hedge fund manager James Lavish argues that the mainstream acceptance of currency debasement benefits scarce assets like Bitcoin.

Summary

Hedge fund manager and macro expert James Lavish asserts that the long-held investor view that money printing weakens fiat currencies and boosts scarce assets like Bitcoin (BTC) has now entered the mainstream. Lavish attributes this to the structural inflation problem stemming from the US leaving the gold standard in 1971, leading to massive money supply expansion and continuous government deficits, forcing quiet currency debasement. He notes that major institutions, including banks and credit agencies, now recognize this reality, with entities like Microsoft even holding a better credit score than the US government. Lavish believes this new era of liquidity and inflation positions Bitcoin favorably, expecting it to recover faster and stronger than traditional assets despite short-term volatility risks. He concludes that institutional adoption of Bitcoin is still in its early stages, suggesting it is not too late to benefit from this trend.

(Source:Cointelegraph)