Unless you are a toddler reading my blog or have been in a coma that’s lasted four months, you have most definitely heard of the Coronavirus. How could you not have heard of the disease that has spread to every single continent in less than three months? Its cure is yet to be found, and every single day more people die while even more get infected.
Social Media Wildfire
It has become a wildfire on social media, a wildfire that is seemingly not going down anytime soon. The available information on the disease is a toxic blend of all sorts of truths and lies. Such information is being passed through Facebook, WhatsApp, and Twitter, through texts and even memes. Who is fooling who? What is to be believed and what is to be ignored? Will these lockdowns last well into 2021 as people claim on social media? However, Covid-19 is not just a social media pandemic but a Bitcoin pandemic as well.
Bitcoin is the new Gold
Coronavirus has induced shut-downs all over the world, such shutdowns have triggered a surge of interest in the scarce digital asset which is Bitcoin. Stores, banks and other financial institutions are shutting down and running out of cash. We are almost certain of a global recession in the coming month.
Governments are already unable to pay 100% of their wages, not to mention stock markets around the world are making losses in terms of trillions daily. People are counting the cost of long-term business closures and unprecedented central bank stimuli.
Desperate times call for desperate measures. Governments are printing more money to curb the inevitable financial strain. Something similar happened during the 2008 recession, the governments chose to make more money and have the economy suffer long-term effects such as inflation rather than seek alternative solutions. Bitcoin was created amid the last economic recession to counter the huge losses caused by the central-bank controlled debt-based economy. Interestingly, the Bitcoin option is yet to be fully tested and trusted.
Having already gone through something similar in 2008, people already know what to expect from the governments’ actions. To avoid the devastating results of such actions, most people are shifting their focus towards Bitcoin. Normally, people turn to gold during such times of uncertainty as a safe-haven asset to secure their wealth.
Bitcoin – The Digital Gold
However, most people are turning to Bitcoin thus making Bitcoin the digital gold. It has been reported that Bitcoin searches in China were the crisis stemmed from, have increased by 183% over the past 30 days. There has also been a surge in Bitcoin users and trading volumes.
For instance, at the beginning of the month, every coin including the traditional and digital coins plummeted. However, Bitcoin and other digital assets have been able to bounce back while other markets around the world continue to fall. That just goes to prove that Bitcoin can and will survive this corona crisis without a bailout.
The coronavirus pandemic is going to leave us both with the largest breakdown on civil liberties and the largest ever increase in the Federal Reserves and central Bank’s balance sheets. Bitcoin on the other hand, which is both a permissionless and borderless alternative to the government-sanctioned fiat money. You can be sure that Bitcoin is going to be in high demand in the post coronavirus age.