Will The Fed Destroy The Dollar?

Stupid question… When someone converts $100 to BTC, where does that $100 go?
is BTC helping to eat up the dollars being printed?

is BTC deflationary?

Stupid question... When someone converts $100 to BTC, where does that $100 go?
It goes to the guy (or gal) who sold you the bitcoin.

I realize that, but the question is whether it goes into circulation as an actual currency, or whether it just sits in a pile stashed away. Obviously you can use BTC to make purchases, but nobody who owns BTC wants to part with it when it’s going up so fast. Historically, inflation is a way to get people to spend money, since their money will be worth less in the future. Bitcoin is the opposite, it makes people reluctant to spend, because it is designed to be worth more in the future. Bitcoin is deflationary. When I take $100 of spendable money, and use it to buy Bitcoin, that $100 essentially ceases to exist until/unless BTC starts crashing. Then a wave of money comes rushing back. I think a super spike in Bitcoin will act to pull the tide out before the tsunami of inflation.

So true. Bitcoin is like gold in the thirties, and we all know what happened then. The government wants inflation to stimulate spending on real goods in the real world.

If I’m right and the world starts parsing jobs in favor of robots and Ai’s then tell me where in hell is Inflation ever again in the World Economy. The age old question: “who is going to buy anything”? We aren’t even planning the inevitable in how the world will look in 5, 10 years. I know this, when McDonalds starts putting in those sexy bots in then all other fast food giants will follow suit or their business model is obsolete the first day the robots are put in place at McDonalds (as an example). McDonalds wins and everyone else better bust ass or they will lose a huge advantage by being 2nd, third…! McDonalds will begin a labors exodus that will start from the bottom and deplete all labor the fix themselves robots can do to replace them. That means all workers are now a ward of the State. This will be the business model of every company’s forever and the day. You think the pandemic caused a devastating employment problem then you just wait because literally over night the robots are taking over. Frankly, I don’t know what’s taking so long. We are all replaceable in every job but a few in the entire work force, no question about this. Got to have a CEO but my point is that the robots are so good that no one is safe from getting their walking papers.
True wealth is going to be your intrinsic value, your skills and labors after you meet the absolute physical needs of where you will live and manage everything you need and don’t spend money on because you are producing it yourself. So true wealth is no debt, make your own food, and managing your protein so you get more of what you have by making more baby animals and culling the herd as you need it. Water is a must so a couple of sources is necessary. You must have a fireplace that will be your heat source of tomorrow in place and a stove that cooks using wood left on the woods floor and then you better have about 10 acres of wood to manage and that means planting fast growing trees that are dense enough for a good burning stove. I have lots of Oaks, a great hardwood that grows very slowly so I will plant lots of Maples and then let them seed themselves. All that labor is done by the trees themselves and maples grow very fast relative to other species. Still, I’m going to purchase another stand of trees while it’s cheap too and just have it in reserves. I will do nothing to harm the deer, rabbits, squires from still sticking around as I move from different areas to another stand and not change their habitat too much. Seldom do I even go into the woods but to hunt. First as scout then as hunter. While there I will notice the trees that are dying and plan at some point to get them out, process them and then split them. All a chore for the future when days are shorter and time after we get everything in the freezers and pantry. I can easily cut and stack a couple of cords a day watching my son’s do the work. They are beasts and enjoy that I sit and admire their work. That’s them being respectful and we have worked together many years together and they want to lesson their Mothers and Fathers load. That’s what family’s do but it isn’t expected so it makes it better to be gifted their time.
No inflation at all with me supplying the foods I need and better yet, making more of the food I need for those I’m in charge of by asking for their help so I can , we can, make more of what we need just for the return of some form of skills that I can’t do like anything they can do that I don’t have enough time for myself and there are many folks who will gladly help if they know they have a part of their food source covered for sometime in the future.
Everything goes if the US goes so in the end we as a world will figure all this shit out or literally many millions will be left to die like the wild game we see on every freeway, just let nature have its pound of flesh for another non survivor.
To be very clear, I have no clue what the world will look like or how we will survive into the next century so I only dream of what I can do. I’m only trying to manage things using the least of my land and resources to get the job done, and I can only do so much. If you want my help you will have to help me that’s just logical. I’m not looking to do what Chris is doing because I know he and Evie are shouldering a heavy load. I believe they are terrific people who see the future and they want to help, if for strength in numbers. I don’t want any of that, I just don’t, I base my comments on watching them too and I don’t know if they will ever have enough time in a day to do what they want. I don’t think they realize what getting older means. Sure, I can do what I could in my 50’s but it’s much slower and naps are dreamed of a couple of hours after getting up from the last one! It’s just true and every year is diminishing returns so you will automate as much as you can, no questions about that. Personally, I don’t have the time or inclination to build their grand plan and the person who follows me here at “The Roost” is already known and I know he and his wife don’t want that either so I plan for the next care takers and possibly his brother at some point. I built what I consider is a big Cabin (2500 sq.ft.) or are building it, so I set it up to run as a two family home with the center set up for family things but bedrooms and baths with a hexagon all season porch as their quiet area. There’s is room to expand as well so that will be theirs to decide. I also should have enough left for them to handle taxes and some other expenses so they have the time to figure out where the world is headed and will have time to consider what to do next. My son’s have been taught to build homes, use their resources to their advantage, They are both very good marksmen and can do whatever is necessary to manage a small farm. This is all I can due and it’s all in place but our home. Next Thanksgiving we will be in.
You will all get to see that I haven’t bullshitted one word come this time next year, and Chris will know I was dead serious about why he started his site in the first place and it will be a compliment to him that so much of what we talked about here has been in place at The Roost. I’ll do this to show he effected one person and if I can do that as well, effect one person then I hope they live near me.
I just don’t want to talk about this shit no more. I’m not burnt out either, the truth is I’ve never been more excited or happy because we are there, we got enough time to do it right and I’m so happy, Barb is so happy as well.
I swear I will only focus on making the homestead viable and successful and be mindful that as much as I can I am going to stuff the pantries and the freezers and be certain to rotate so that I get the best healthy foods I can. If I have too much then I’m sure I can move the excess to where it is needed in barter for something I will need. I don’t think robots can work a garden just yet. Sure, timers are robots of sorts and I like the idea that I can set and go knowing the grow lights will turn on, the heat is maintained in my greenhouse so that when I go out into it in mid January I can get to work planting seeds for Spring and gathering up some fresh vegetables on my return to the house.
Love you all but for 50 years this conversation has been going on and billions of people more later and we are still talking about it. All I can truly say is it is what is is, in the present and for a year or two and then you review, which is all we’ve done here for the last 12 years. Nothing has changed even after spending many trillions of dollars seemingly over night. None of it has shown inflation yet but, I bet everyone here thought Gold would be somewhere North of $10k now and it isn’t. Not even close but,some day…? Everything will happen some day, you can bet on that but for the near term I will have put in place my battle plan and I will be ahead of the game and that is my focus and it won’t take me all day to do it either. We still will have time for ourselves. The thing is, everything we do we have a love of doing so isn’t a labor at all, it’s an accomplishment that makes sleep easy and time together an experience and life itself a wonder. I cannot express enough how Barb and I have become better friends, lovers of just being in each others space and we have managed so much and have done it willfully. The hard work is truly done so it really becomes, how much more do we want to do. I just want to walk around and do the jobs that need to be done, each and every day and then if I need a bigger compost pile that is better organized then I’ll get to work on that in my spare time.
Be who you want to be, whatever that is because I’m sure you have worked it out within your life’s living standard. You have to account for the basics, of course but do it your way and then you have what you want. Later is when you’ll decide what more you want to accomplish and when you do just do it. It doesn’t need to be perfect just structurally sound and blend with your surrounding. Have fun. In saying this, I have to built on strong foundations, every wall level and everything in balance. I must be warm so blown in insulation is a must and it helps seal out the bugs and critters. It must be cedar for the same reason plus I love cedar and how it smells and doesn’t rot. Plus cedar turns a nice color as it ages that for and ex decorator/painter is quite beautiful. I never, ever treat or stain cedar, the why is because as the Sun cooks it it releases tannins that reject whatever finished you put on it so looks God awful a year or two later. It is frankly an abomination. Trust me.
This is just how we flow but again, make everything structurally sound. You have to do it, so do it well as you can and do it one time.
I align a lot with the teaching of Charles H Smith as well, I find him sensible as hell and so a hat tip to all his efforts to educate me/us on this site, his site “of two minds” and through his books. My goal is to have every book he has written and I have a real nice Mr. T collection right now. I will maintain all his books and purchase them as they come out as a library of future reading and wisdom going forward. He will be featured prominently in my library I will build myself in our cabin. Not to mention what Chris and Adam have produced for us along with my super starts, Matt Simmon’s (twilight in the dessert}, Jim Kingsdale, Jim Rodgers, and many others. Jim Rogers is probably my hero for explaining what I must become if commodities was to be my game and he alone taught me the patience required for this. Hussman is frankly genius’s, many good Folks that get it.
Peace BOB

dollar’s now worth almost nothing, is there still anything left from it’s purchasing power to be destroyed ?

~Penguin Will emits an evil smile and picks up a spoon~
You want the opinion of an out of touch mountain boy/engineer?
The Bitcoin, hard currency, and MMT aficionados are all wrong. Fiat was a great idea when the real economy was expanding. Hard currency strangles a growing economy. But what do you do when the real economy is actually contracting? Currency quantity needs to match true REAL economic growth and we don’t even know how to measure that accurately. Let alone have the wisdom to match it with currency growth that balances the needs of production, employment, long term value. We aren’t that smart. AND when you have a growing population at the same time as a shrinking real economy? Many nations face this exact situation…
There is no answer to this problem that is clean and neat. There is no “Do _____ and everything will turn out great!” rabbit to pull out of the hat we hold. The best we can do is remain flexible and muddle through. Hobbits are great at this but we, regrettably, are not.

…going out your door. You step into the road and if you dont keep your feet, there is no telling where you might be swept off to.

Well done Taggart! This is a good one…