From cash to crypto: The Cantillon effect vs. the Nakamoto effect

Our modern monetary system, which is built on the generation of money primarily through bank-issued debt with interest, transfers wealth from the middle to the top, resulting in an unstable monetary system and a society in which the "future doesn't matter."

Between 1970 and 2010, the International Monetary Fund reported 425 systemic banking, monetary and debt crises, an average of 10 each year. 

Monopolistic state money is a fragile and unequal system, while countries with many currencies have historically experienced greater stability and equality. 

Understanding the Cantillon effect provides that inflation can be viewed as a government-imposed non-legislative and regressive tax on citizens' purchasing power.

Bitcoin as an investment separates the creation of new money from politics, which makes it far more equitable.

How to protect yourself from the Cantillon effect?

Protecting yourself from the Cantillon effect necessitates avoiding the unfair fiat currency systems as much as possible by storing wealth in true money, such as gold or BTC. This is the most peaceful method to phase out the old system and replace it with a new, more equitable one.

This article explains the Nakamoto and Cantillon effects, and whether Bitcoin is the antidote to the Cantillon effect.

https://cointelegraph.com/explained/from-cash-to-crypto-the-cantillon-effect-vs-the-nakamoto-effect 

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