Crypto shines in times of war

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s33d_moonFull Member
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#1Sep 8, 2022, 01:58 AM
Looks like we're finally seeing the real role of crypto, especially stablecoins since they hold their value well. During a potential WW3, holding onto crypto is the best way to protect and transfer wealth. It’s a lot easier and effective compared to carrying around gold and silver like folks did in past wars. Honestly, now isn’t the time to put your money into physical assets like real estate. After the dust settles, maybe, but right now, especially in places like Dubai, many properties are likely to get hit and people are still buying at crazy prices. If your wealth isn’t in crypto, you’re basically just taking risks with your money. Crypto is like a safe haven, especially stablecoins but also the main coins if you know how to dollar-cost average when prices dip.
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quantumbearHero Member
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#2Sep 8, 2022, 03:30 AM
Why did you mention just stable coins? Bitcoin is the best among them if you know how to interpret the market. If you start to DCA now, you will know in the next years the reason bitcoin is better. It is good to know that other coins may not be a store of value.
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d3f1_2015Full Member
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#3Sep 8, 2022, 06:02 AM
While we don't like these wars to happen but here they are, the world leaders who are triggering these things to happen. And so, we as citizens have to find a way to keep the wealth that we've saved and one best option is through crypto. I agree that it's the purpose of it and not just with the stable coins and if you're holding bitcoin do you have to convert it? no. You keep it as is and you'll going to be fine having it stored in its original form.
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jake.chainSenior Member
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#4Sep 8, 2022, 07:46 AM
One of the most popular stablecoins is USDT or USDC. Either way they are both pegged to the US dollar. I agree with another comment questioning why the mention of stablecoins when they are pegged to fiat currency which can be devalued especially when geopolitical tensions arise within the country. Cryptocurrency like Bitcoin is the safest because there is no specific country or political identity tied to it.
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danoracleMember
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#5Sep 8, 2022, 10:54 AM
Crypto stable coins is just the same as fiat since its value is peg to USD and other fiat. The buying power of stable coins also decreases the same as fiat when war ignited. Bitcoin is still the best regardless if it’s suffer a temporary dip because later on it was being seek by those fiat holders as safe haven for their assets that will makes the price pump again just like what happened during pandemic.
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orbit100Hero Member
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#6Sep 10, 2022, 08:26 AM
Won't people just move to other places to buy buildings/lands then? Although I'm not sure which countries and which lands will be contested in this WW3. Judging from how you mentioned stablecoin, I don't think you understand how most crypto works. If security is your goal, you'd look for Bitcoin or gold, not stablecoins or alts. Even then, the lack of infrastructure to use them properly will definitely affect their prices. For example, lack of internet, terrible exchanges, exchange closures, limited market, etc.
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0xR4venMember
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#7Sep 10, 2022, 02:05 PM
Stablecoins are indeed an attractive option, but you should also remember one thing, the value of stablecoins can also fluctuate even though they are designed to have a stable value. In emergency situations such as war, crypto can be a good alternative for storing and moving wealth. I prefer to store Bitcoin because it has advantages in terms of portability and security when compared to physical assets such as gold and silver. In addition, I can also move wealth more easily and safely without having to worry about losing it or being afraid of it being stolen by others. I also acknowledge that Bitcoin's value is not completely stable like stablecoins, Bitcoin has high volatility so its value can rise or fall drastically in a short period of time. If your goal is to move your wealth into crypto during a temporary emergency like war, stablecoins might be a good choice, but if you plan to hold it for the long term, then Bitcoin would be the best choice.
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cobra_2015Full Member
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#8Sep 10, 2022, 03:50 PM
Currently, Bitcoin is not suitable as a store of value in the event of a third world war, natural disasters, or global financial crises. This may change in the future, but currently, gold are the best alternatives to hold in light of these crises.
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0xN0nceSenior Member
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#9Sep 12, 2022, 10:44 PM
Stable coins? Are you serious? It's tied to more businesses than Bitcoin is, in terms of who can control it. It's definitely not something to rely on IMO. You know that it's pegged to the same USD that can inflate because of the war, right? Like they would be printing more money to fund the war, and it could cause problems. And you know that USDC issuers can freeze wallets, right? What if they decide that, for desperate measures, they would do something rash and freeze wallets? Or what if they comply with regulations because of the war or something? It's risky. It's better to be with BTC.
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#10Sep 12, 2022, 11:23 PM
For me, Bitcoin and gold are assets that can be used as a store of value during war. This will certainly impact the economy as a whole, leading to a global financial crisis that makes currencies worthless. Therefore, holding Bitcoin and gold would be better for storing value. However, I disagree with storing value in stablecoins, especially USDT and USCB as the OP stated. These are pegged to the dollar, and we now know that the warring parties are Israel, the US and Iran. So, instead of storing value in stablecoins it's better to store value in Bitcoin and gold. Gold has indeed been a proven store of value for centuries, but I also see Bitcoin as an asset that can store value especially with its ease and security. During war we can easily store and transport it compared to gold. But for me, both are assets that should be in our portfolio in the event of a war like the one we are currently experiencing.
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alexwalletSenior Member
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#11Sep 13, 2022, 05:01 AM
1st, the continued depreciation of fiat currency isn't just a theory; it's a known reality. 2nd, stablecoins face the risk of depegging. World War III is perhaps the most likely scenario to wreak havoc on the global economy, potentially impacting their peg reserves. After all, what would be more worrying if WW3 occurred than food and energy reserves?
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bengweiSenior Member
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#12Sep 13, 2022, 07:09 PM
I totally agree with you on this, because gold and Bitcoin are way better than fiat currency that regularly devalues overtime. The best storage for Bitcoin or more stablecoins would be the clause if cold storage or air gapped wallet that has optimal security against phishing scams or hacks or loss, if the keys are properly secure.
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3r1c777Full Member
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#13Sep 13, 2022, 09:37 PM
I'm not entirely sure if a young/old displaced person from Iran or any other country that has been heavily affected by war, would say the same thing you just said. Times of war doesn't give you an opportunity to spend your asset or live in your mansion. The only thing you could possibly think of is survival. The truth is, geopolitical tension that involves mass destruction is never good for Bitcoin, the global market, and humans as well. Personally, I would prefer every other instances like inflation, government sanctions, bank crisis, etc, to a case of WW3. At least, Bitcoin can also be of a good use in those instances, which doesn't give stablecoins a chance.
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im_bullSenior Member
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#14Sep 14, 2022, 03:10 AM
The Iran-Israel-US war isn't just a geopolitical issue. Like it or not, this war will impact the global economy and this was already evident in the Russia-Ukraine conflict, which has driven up inflation. Looking at the current situation, there will certainly be significant economic turmoil in the future, especially as these three countries have significant influence in the Middle East and each has its own camp. As we know the US is a strong ally of Israel and Russia and China are leaning toward Iran. So, if this war continues it will certainly have far-reaching consequences. Even a world without war wouldn't be a good place. We must have assets that can maintain value, especially if World War III breaks out the impact on the global economy would be significant. Therefore, we must have assets that can store value, such as gold and bitcoin because gold tends to appreciate, especially as market participants seek safe havens as will Bitcoin. Stocks and cryptocurrencies especially stablecoins, carry risks if held as they are often sold by market participants during war.
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ColdAlphaSenior Member
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#15Sep 14, 2022, 04:09 AM
Sure it is suitable, especially to those who buy just now.
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raven88Full Member
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#16Sep 14, 2022, 04:56 AM
I will only use bitcoin as a hedge for now not for anything else especially in stable coin. What to expect from stable coins as they also follow the current real currency rate and from the name also we already know how they are created so there is no need to make this an option for me. Especially if you say the DCA system as a strategy that you do to invest for what is looking for something that will eventually only be stable then it would be better to something that is really valuable like bitcoin although there is a risk but obviously for the long term the risk ratio that is owned will get smaller and smaller and this will be a decent place as a hedge that we have.
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tony69Senior Member
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#17Sep 14, 2022, 07:26 AM
Wasn't Bitcoin suitable as a store of value during the covid 19 outbreak, wasn't it suitable during the Ukraine and Russia war, wasn't it suitable during those crises. Investors thought that Bitcoin loses the store of value characteristics during crises but that's the fuel factor for Bitcoin more growth and development. What crises does is shifting attention to Bitcoin whenever possible means of sending money is needed that won't be stopped by the government, or any agency for supporting the war by buying tools and machineries as the case may be. Storms had always bring out the best in Bitcoin no matter what. Mark my work, after these war, the changes in Bitcoin price and adoption will be very massive compare to this current situation.
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miner_bullFull Member
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#18Sep 14, 2022, 08:58 PM
Stablecoins are just like fiat, their value will decrease over time due to inflation and their unlimited supply. So, you don't need to assume that stablecoins will never lose value because they are essentially fiat, just in cryptocurrency form. The best way to invest your money is in Bitcoin. You can rely on it, even in the current global geopolitical situation, which is heating up due to the Iran and US-Israel wars. You can DCA and hold it long-term, letting it grow in your wallet. That's far better than putting your money in stablecoins.
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jake365Full Member
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#19Sep 15, 2022, 02:47 AM
What an earth are you talking about? Stablecoins are basically just fiat money represented by tokens, so why would stablecoins be better then money itself? Not sure what you mean crypto being better "physically", as that doesn't make sense. And actual cryptocurrencies are VERY sensitive to world events and percentually fluctuate way more then anything else out there. Also, real estate is way safer choice in a stable region then cryptos, as cryptos react to things that happen everywhere. Real estate in stable region not so much.
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oracle365Full Member
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#20Sep 15, 2022, 06:42 AM
If you observe from the XAU chart, you will notice that it is on a BUY trajectory as a reaction maybe to the recent crisis between US/Isreal and Iran. It means taht many people are actively buying gold as a safe asset, which means that the trust on cryptocurrency currently is not still widespread. There are people who prefer to have XAU than crypto. Maybe in time this will change, but I think that is currently the market reaction.
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