What If Bitcoin Goes to Zero?
10 consequences of the Armageddon scenario
There is some pessimism in the Bitcoin community lately. We are a bunch of spoiled brats and want BTC’s price to go to a million yesterday so we could buy our Lambo and drive to Vegas.
Unfortunately, Bitcoin has its own agenda and it doesn’t seem to be in a hurry just yet to become the most valuable asset on the planet.
But what if it fails? What if it goes to zero and then disappears? What would be the consequences of such a scenario?
1. Inflation
Without anything to stop it and with no competition, inflation could run wild forever. If governments ever tackle it, it would be due to the threat of the dollar disappearing.
The reason we have inflation is because of too much money printing. Governments are not going to stop because the temptation is just too strong.
One way to stop inflation would be by pegging the dollar to a hard asset, thus reducing the availability of the money supply. Another would be adopting bitcoin as legal tender as they have done in El Salvador.
In any case, bitcoin could solve the inflation problem but without it, it would run wild forever.
