Money is undoubtedly one thing that everyone needs, yet somehow it has lost its charm now. The fact that money is becoming worth less is undeniable.
12 Reasons Why Money Is Becoming Worthless
1. Negative Interest Rates
In simpler language, it means that you will have less amount in your bank as compared to the time when you deposited it. It has been before in our past but this time it is worse. It is happening with every country in the world right now.
3. Every country is in debt
Every country on the planet is in a ridiculous amount of debt. They provide service to the population and the business holdings which never get paid back. And the saddest part is that every country is going into more and more debt without having any plan to come out of this.
4. It’s no longer backed by anything
No country was allowed to print more money than its gold reserves. This helped all the countries to be honest. This lasted until the US played its military card and the US dollar became the international currency. Even to date, a lot of countries owe the US a huge amount of money.
5. Kept printing it more
You might not believe this, but in 2020, 22% of all the US dollar was printed in circulation. They are also going to print $1.9 trillion in the present year to dump it in the economy. This has increased its supply by 40% in the last 10-12 months.
6. You are being forced into inflated assets
You might think that buying real estate would be a great investment, and you are not even wrong because the prices of real estate always get inflated. The price of your 2 bedroom apartment might get inflated a lot after 5 years.
But the thing that you don’t know is that the value of your house remains the same, its the purchasing power of the currency that has been lowered. Despite the fact, in upcoming months, a good amount of money is going to be poured in the real estate. It is the money that you are not going to receive but going to see in your expenses.
7. The government is just giving it away
Simply just giving away money to your citizens is the stupidest thing ever. You can’t give away it for free because hyper inflation will hit you very soon. Countries like Romania, Zimbabwe, Venezuela, etc, tried printing more and more money to make their country wealthy, but that obviously didn’t go as planned.
8. Money is just numbers on the screen
Doesn’t matter how much you keep printing money, real money is hardly going to show. Take an example of money transferring from one bank account to another. The real cash doesn’t get transferred. Only the numbers change in both the accounts. Yes, the banks are going to charge you money for this change and that’s why money today is just numbers on the screen.
9. Traders and Hedge Funds are abusing the system
Financial institutions like traders and hedge funds are only abusing the system as they do not bring any added value to our society. They are themselves incredibly rich. They just move the money from one head to another using their financial rules and charge a portion from it for themselves.
10. Universal Basic Income
The entire concept is UBI is flawed to its core. The population is only going to vote that political party that promises a higher UBI. This is a foolish thing to do because it is just going to make money worthless, thus collapsing the entire system.
11. Bitcoin is a better alternative
Every company right now is in a hurry to move their money from dollars to Bitcoins. Companies like Tesla and MicroStrategy have already moved over $1 billion into Bitcoins. Also, it is amazing to know that Tesla earned more profits from investing in Bitcoins for just a month than they made by selling cars. The time is no longer when the worth of our next generation is going to be measured in Bitcoins.
12. The price is set by the rich
We are currently living in a market which can also be called a seller’s market. The good thing about this market is that you get to set the price and then its the market’s issue to find appropriate funds for it. If someone can’t afford it, no problem. There’s always going to be some other person who needs this as much as the other person but is also able to manage the funds for it.