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Reason: None provided.

It depends how it crashes.

If it's an inflationary crash, then any savings in the national currency will lose value until the point it becomes worthless. You will lose all wealth held in currency in this case. Likewise all debt held in said currency will become worthless. Therefore it would make sense to acquire as much debt as possible if this were to occur. Hard assets like precious metals are essential to maintain your wealth in this scenario. Whatever comes after will need a new currency. i.e. CBDC if the globalists win or if we end up with a free market (doubtful) you wouldn't have a national currency by fiat at all and instead the public would trade whatever they see fit; be it crypto, precious metals, or some form of money that doesn't exist yet. If it's a new fiat currency then a token conversion would occur.

If it's a deflationary crash, then savings in the national currency will increase in value whist all othet hard assets will crash as everyone defaults on their debts and sells. Defaults occur because wages contract under deflationary pressure, but the value of your debt stays the same. I.e. you could lose half your income as prices drop, but you still have the same mortgage. In this scenario it's possible to to rescue the national currency and rebase it (perhaps via backing with precious metals). No token conversion between currencies needs to occur. In this scenario it's best to hold physical cash and few hard assets. Physical cash because the banks may fail in a deflationary cash, losing your deposit in the process. Or they could activate a bail-in and take your deposits. Either way, they will likely freeze everyones accounts to prevent a bank run.

In scenario 1 people can't afford to live as prices increase. People's quality of life decreases gradually for a long period of time. In scenario 2 lots of people will lose everything, but the economy will quickly recover without government interference. Scenario 2 is the soft landing.

Of course, you can't predict 100% which way it will go, so you have to hedge your bets. Likely the globalists want to yoyo people between the two extremes to break everyone. I.e. massive deflation to wipe out debt holders followed by hyperinflation to wipe out the savers.

1 year ago
1 score
Reason: Original

It depends how it crashes.

If it's an inflationary crash, then any savings in the national currency will lose value until the point it becomes worthless. You will lose all wealth held in currency in this case. Likewise all debt held in said currency will become worthless. Therefore it would make sense to acquire as much debt as possible if this were to occur. Hard assets like precious metals are essential to maintain your wealth in this scenario. Whatever comes after will need a new currency. i.e. CBDC if the globalists win or if we end up with a free market (doubtful) you wouldn't have a national currency by fiat at all and instead the public would trade whatever they see fit; be it crypto, precious metals, or some form of money that doesn't exist yet.

If it's a deflationary crash, then savings in the national currency will increase in value whist all othet hard assets will crash as everyone defaults on their debts and sells. Defaults occur because wages contract under deflationary pressure, but the value of your debt stays the same. I.e. you could lose half your income as prices drop, but you still have the same mortgage. In this scenario it's possible to to rescue the national currency and rebase it (perhaps via backing with precious metals). In this scenario it's best to hold physical cash and few hard assets. Physical cash because the banks may fail in a deflationary cash, losing your deposit in the process. Or they could activate a bail-in and take your deposits. Either way, they will likely freeze everyones accounts to prevent a bank run.

In scenario 1 people can't afford to live as prices increase. People's quality of life decreases gradually for a long period of time. In scenario 2 lots of people will lose everything, but the economy will quickly recover without government interference. Scenario 2 is the soft landing.

Of course, you can't predict 100% which way it will go, so you have to hedge your bets. Likely the globalists want to yoyo people between the two extremes to break everyone. I.e. massive deflation to wipe out debt holders followed by hyperinflation to wipe out the savers.

1 year ago
1 score