Can currently excalating TRADE WAR be good thing for crypto? I would like to know your opinion.
INTRODUCTION
| I recently had the pleasure of reading a post created by @oclinton. In it he points out how the Trade War between China and US could get even uglier. https://steemit.com/war/@oclinton/here-s-how-a-trade-war-between-the-u-s-and-china-could-get-ugly |  (pic source: dollardestruction.com) |
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Though this post is already almost 1 month old (which is a lot in politics) it still got my attention. Why? Simply because lately I’ve been wondering a lot about the current state of the World economy and I couldn’t escape the feeling that things are only going to get worst. Especially with the current US administration and their conflicts with pretty much everyone around them (UE, Turkey, China, Iran, Canada …. you name it).
And it made me wonder, how could those trade wars impact the lives of regular people, investors and mostly how could it possibly affect the future of crypto market.
TRADE WARS
Im sure many of us heard the infamous sentence that goes: "Divide and conquer".
And this is exactly what’s currently happening with the European Union and USA? Those 2 strategic partners are not only divided from each other but also within their own structures.
Those 2 bodies were never as weak in their history and I don't have any doubts that "our" best time is already over. Values which the US and Europe were representing for so many years will mean very little very soon.
WILL TRADE WAR AFFECT CRYPTO?
Now the important question is: how to get prepared for what's coming? I strongly believe that investing some of our savings into crypto is a MUST.
| We're facing not only an economic crisis but most likely a major world currency crisis. The USD. Many seem to believe that this currency may plunge down heavily within the upcoming year or two. I share similar opinion. |  (pic source: http://georgiatoday.ge |
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I can easily imagine that wealth will start moving rapidly across the world as large investors and institutional money may be looking for safer assets. And I cannot see one reason why part of this wealth would not move into crypto. That's just meant to happen while the Trade War escalates.
Plus people I know seem to be talking more and more about diversifying their savings. Some of them will diversify their resources by buying different assets, and crypto will definitely be one of them.
So yeah, the way I see it is that the current trade war will ultimately affect crypto and I can only see demand for crypto growing once this conflict escalates. I cannot see it any other way.
SHARE YOUR VIEW
| Please let me know what your opinion on the current Trade War are. I like to know how you think it may play out. Both economically and politically. And what impact could such a trade war have on crypto? I really would love to know what the ‘public opinion’ thinks about this issue. |  (pic source: paw.princeton.edu) |
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Are you yourself supporting the Trade War between USA and China? Do you think that you can be affected by it or do you feel completely safe and far from that conflict?
Share your view and opinion as I really would love to know what's your view on that particular issue. I promise to reply to each one of comments.
Yours,
Piotr
gods damn 8 days late lol ... well ,
i'l keep it short, im quite busy on my alt accounts, especially @goldmanmorgan at the moment, seriously diving into linux shell again, steemit seems to be saving part of my lost brain here. Yes
-recap lol - i was saying, trade war ? yes !
definitely ... it's like people rushing to gold when things get bad, and i dont know who said that first or who it was accredited to, maybe the snazzy Winklevoss twins (who have every intrest in saying that ofcourse, but at the same time are maybe the first-ever pillar of billiondollar wallstreet actually believing (and winning) in crypto as a longterm investment) how many brackets was that )
yes, definitely , the more was on dollars and yuan the more chance it will take to bitcoin, especially to bitcoin in the first place but anyone who's been watching those charts for years should know that there's a ripple-effect (and i dont mean google trying to invade china with suddenly censored search engines and selling off xrp as THE financial system .... (should have tried @ned but i think ned is still at the do-no-evil stage where larry the lounge lizard and his merry men have actually LITERALLY removed that from their manifesto some months ago)
i mean if bitcoin moves, the alts move, right ? the charts if you blurr them out look pretty much alike in the long term
yea, i certainly believe any war on fiat is good for planet Crypton
sorry for the late ... should really use the other email i gave you i check that more , i wouldnt give you if it thought you would spam me, so don't hesitate, right ... its hard enough to stick around in touch with everyone here on the daily, there you go, that's at least half a rudyardcatling answer :p
Trade war is not a new phenomena. Once developed countries gave slogan of free trade when they were in the position to sell their goods to the under developed countries and now when underdeveloped countries like China has become global hub of export, they are becoming protectionists. So, this is nothing more than conflict of interests. Everyone wants to grind his own axes. Nobody care for the welfare of this world. As far as cryptocurrencies are concerned, it won't make a much impact on global economy because share of cryptos is not significant to make any impression on world economy.
good morning @akdx
Trade war on such a scale is absolutely something new. I cannot think of any other trade war between 2 biggest economic partners, where both are completly depending on each other.
I agree. Im still wondering how this conflict of interest will play out and how will it affect crypto. Interesting times we're living in.
Dont you think that many investors will run away from usd to crypto or other assets?
Thanks for your great comment.
Only time will tell. However, is not looks at present that cryptos are going to replace fiats. Crypto price is not stable till now.
Absolutely I agree with you @akdx
Traditional banking system didn't replace cash. And crypto will not replace fiat either.
ps.
you're very responsive which is absolutely great and steemit community surely will benefit by having you here.
if you would ever like to keep in touch and support each other closer, then drop me a message [email protected].
This will allow us to communicate easier.
No pressure of course,
Cheers, Piotr
akdx The US is a totalitarian dictatorship. China - Communism and Freedom. There is a confrontation between the remaining ideology of slavery under the capitalists. And Freedom and equality of communism. Communism is inevitable. This is a new stage in the development of humanism.
The trade war is only part of the asberg. There is a confrontation between the concentration camps of the US death: Guantanamo, Iraq, Afghanistan, Yemen, Syria, Libya. Support for terrorists IGIL.
And the Free World of Equal Rights is China. Even if the United States now defeats communism, it will eventually win, perhaps in 100 or 1000 years.
I think capitalism and communism both are misconceptions. Both work for the powerful people. Nothing can change the fate of humanity till man become an ethical animal.
To draw such conclusions, you must know something about communism. Do not say a word of propaganda. Study the question and draw conclusions.
I know just one thing-"Power corrupt and absolute power corrupt absolutely." this also happens with communism. Once it was depicted as the rule of proletariat but what happened all over the world? What is happening in China? Can one still say that China is a communist state?
For a couple of years with very low interest rates worldwide, emerging countries took up a lot of dept to develop their own economies. With interest rates rising for USD, investors leave the emerging countries to invest back in Dollars. This leads to a devaluation of the currencies of those countries. This effect is only increased by the trade warfare lead by the US.
What are the effects on Crypto?
Countries like Turkey, Argentina, South Africa, India or even Iran are facing a huge challenge with their currencies devaluation. The devaluation leads to inflation and there are only a few tools to fight it.
Let's say you live in an emerging country and you want to secure your savings. Every day your money looses value but you are not allowed to buy foreign currencies like Euro, USD or CHF. What do you do?
Just to keep your savings from devaluation, the only answer could be to put some of your savings into Crypto Currencies which have huge advantages:
Well I hope we won't get there...
this is what happening right now and government have no control over it.
@achim03 your comment's are always blowing my mind my dear friend :)
How strong is your hope? :)
Yours
Piotr
I like to be hopeful but we already have an example with Venezuela where the only possible solution is to flee the country... I see iran next in line and little by little other countries might follow...
Hi @achim03
Im afraid what could possibly happend with the region if Iran would explode the way Venezuela did. Where those people would be feeling too?
Thx for your comment buddy
Piotr
The current US administration is really taking things too far. If I gets to the point many countries stop using the dollar as their international currency of trade then the dollar will lose value quickly. And people will run to gold or crypto. On the other hand, crypto is also developing and becoming more legitimate and standard. I think in the next 5-10 years perhaps prices won't be so volatile anymore.
We do have to cut down on the scourge of too many cryptos coming out. Seems everyone has an idea for a coin these days.
I agreed with you. I think the launching of new tokens should be cut down. If everyone has a token, who will buy from each other?
You've said exactly my mind @ulqu3 great!
exactly, just yesterday i witnessed 5 new crypto projects being launched and i had that exact thoughts...
but how to cut it down @focygray? by introducing more regulations? that would kill this market.
it's a little bit like saying: we should cut down possibility of opening new business, because 80% companies go down within less than 2 years.
restrictions are not solution. education is :)
Yours
Piotr
This would be cut down if there is are high standards set to attain before anyone can launch an ICO. Not only by having a good roadmap, whitepaper, team social media. But there should be some other standards than this. There should also be a decentralized regulating body of which I think is taking us back to centralized system of things.
@focygray
during dotcom bubble noone was trying to introduce regulations who would "protect investors". If those regulations would be introduced then entire industry would be slowed down by many years. And right now instead of talking about crypto we would maybe reach the point of introducing mobile devices (just 5-10 years later).
I still believe that education and awareness should be priority. Not regulations introduced by unqualified politicians and regulators and bankers.
Yep, that would end up with enourmous corruption.
Thx for your comment buddy :)
Yours, Piotr
You are quite right to point out the fact that there a just tons of cryptos appearing out of thin air. Many tokens promising incredible inovation that never become reality or that only intended to get peoples money will disapear. In the end all those scams are bad for the cryptoworld because people loose trust.
Great comment @achim03
At the end of the day it all comes down to trust, right?
Cheers, Piotr
You are right about that @crypto.piotr, even the best idea or innovation will not get support if there is a doubt about its legitimacy. Especially now that so many scams saw the light of the day...
They are simply doing what other countries have been doing for years. It doesn't mean it is the right thing to do, but blaming only the US is absurd because other countries are doing the same.
The problem is that US has the largest influence on world economy. And it doesnt really matter what is being done by some tiny-tiny countries with very little politic power and small economy.
So I think we have all right to blame US administration for what's coming.
Cheers
Piotr
I didn't mean tiny countries, I meant China. The trade war is with China mostly.
sorry, my misunderstanding
Thank you for your great comment @ulqu3
I agree. We may need few years to reach that point.
Cheers, Piotr
Hey @crypto.piotr, always bringing on the hot topics, arent you? I think the simple answer is, yes crypto will benefit from this, as it's international per design. And still - especially in the short term - certain embargoes could still affect the networks, it's a huge difference if you act on a legal basis or illegally and then because the mining or witnessing servers are located somewhere, and thus could be shut down, blocked or similar.
Hi @conceptskip
And you seem to always know how to put a smile on my face and make me blush all the way :)
I don't think my topics are really hot. The only thing is that Im not trying to lecture people and share my knowledge and point of view. Im asking people about their own opinions and I really read it and listen.
That's most likely the reason why so many people drop valuable comments :)
Thx for your comment buddy,
Yours
Piotr
Presently the currency war is on the rise like in Turkey and venezuela. The problem with fiat currency is they they have unlimited supply, thus it will lose its value in near future. Cryptocurrencies are the only best solution to the currency crisis. Hope may every country allow use of crypto and it's futuristic blockchain technology.
Good article sir, Thanks for the information @crypto.piotr .
hi @abhijeetcg
Indeed unlimited supply is causing some problems.
But wouldn't limited supply also create problems? I wonder what challenges this model will face.
Can you imagine that all fiat currency would be having limited supply but anytime you want to you can "shut down" some currency and also you can create new one anytime you wish? (just like it's happening with ICOs?).
I really wonder what issues will crypto face in the future. Im not sure if many people can even understand all challenges and consequences.
Again, thanks for your amazing comment
Piotr
US is rigid to most dynamic non-indigenous concepts/innovations and also strict to their adoption.
Though She has been able to influence some trades and governments, I strongly believe that cryptocurrencies is the only wriggling monster it can't fully control nor contend with.
Crypto price/strenght will soon rise.
hi @topfreeser
Thank you for your comment. appreciate it a lot.
I love your optimism :)
ps. I've noticed that you're not really blogging much lately. Hope you're not going to abandon Steemit.
Yours
Piotr
Hahaha my good friend!
I'm surfing other avenues.
I Won't Leave but I can't be steady anyways. Though I'm still with you.
Very true @crypto.piotr maybe this way will open more doors for cryptocurrency in our every day life, when you can wake into a store and get something and then pay in cryptocurrency.
Great writeups @crypto.piotr
thx for your kind comment @ogt
I can't wait till it will happend. i would love to be able to pay for some of services/goods
cheers
Piotr
I totally agree
What an amazing comment @creativeblue
Of course not at this stage. Currently blockchain is nothing but raw infrastructure which has still long way to go before it will be ready for higher traffic and investments.
Unfortunatelly those pieces are always "human lifes".
Yours
Piotr
In my opinion trade war is generally bad and it undoubtedly leads to the worldwide crisis. China has grown to the world econonomic power and Trump can't stand with this situation. However, I hope it will have a positive impact on crypto. As you said, currencies which don't depend on any country politics may become the only safe method of payments in the future.
Thank you for another amazing article @crypto.piotr :)
Greetings, Jan
thx for sharing your opinion @neavy
Every crisis is great for those who have resources. Every crisis is causing wealth to move a lot.
I also have hope that it will impact crypto in a good way. Definetly countries like Venezuela proved that bad economy = fast crypto adoption.
Yours
Piotr