The Dollar vs. Bitcoin

The U.S. government will pay $474 billion in interest on its debt this year. And that’s with rates around 1%.

Total debt is now $19.845 trillion, and it just exceeded annual GDP.

Our unfunded liabilities top $100 trillion.

I believe that eventually we’re headed for a financial reset. I don’t know exactly when or how. That will depend on the whims of bankers and politicians.

But I can’t picture any long-term (20-year) scenario where the dollar does well. There appears to be zero chance of cutting federal spending anytime soon. It should have happened long ago, yet the spending seems destined to keep rising until the whole thing implodes.

Eventually the interest on the debt will become unsustainable, and we’ll have to start monetizing our debt on a massive scale. I’m not saying we’ll default on our bonds. I’m simply questioning whether the dollars they’re paid back with will have much value.

When this happens, we’ll have an opportunity to choose a new system. I would vote for a cattle-based monetary system over the current one, personally.

But luckily we have bitcoin. The rise of cryptocurrencies like bitcoin may prove to be a catalyst that speeds the transition.

Reboot

Cryptocurrencies offer a path forward to a new and better monetary system.

A system where the money supply can be hard-coded. One that doesn’t require middlemen… and that vastly increases efficiency.

It’s no coincidence that bitcoin is rising now.

Bitcoin was launched amid bank bailouts in 2009 by a guy who thought the financial system was broken. Fortunately, Satoshi Nakamoto was a genius, and he created a brilliant piece of software.

It’s growing exponentially now because people are looking at the current system, shaking their heads and then looking for something else.

And bitcoin is transforming the financial world with blockchain because the technology is superior.

People want this. They want a way to store value and trusted transactions that doesn’t suck.

If this crazy monetary revolution does happen, don’t you want to own at least a piece of it?

Cryptocurrency ownership rates are still well under 1%. If you do buy, you’ll still be doing so extremely early.

Good investing,

Adam Sharp
Co-Founder, Early Investing

P.S. We’re still in the early days of blockchain and cryptocurrency. So if you haven’t invested yet, don’t worry. Time is on your side.

To get started, check out our top four cryptocurrency picks and a complete guide to investing in this space through our First Stage Investor research service. See our new video about the service here.