The r0ach report 26: Why it's 100% inevitable metals defeat bitcoin no matter how many shills try to pump cryptocurrency
I saw someone claim the bitcoin market looks "fairly comfortable" after the start of futures trading in so called regulated markets. It really depends on how much longer the global debt bubble is able to maintain any form of stability, because bitcoin is just a derivative of that due to not being the unit of account of anything. There's more money out there in the form of digital 1's and 0's + debt that represents money than there are actual assets.
The above ground amount of silver that exists is only around $32 billion for instance, and the bitcoin market cap is $277 billion. Bitcoin is the same thing as fiat in this context, as it has no use of it's own, so it's always just phantom wealth that attempts to chase real goods. The value of this phantom wealth cannot become greater than the actual real world goods that exist in other words.
If the global debt bubble collapses, it would be a cascading deflationary collapse like the world has never seen before. The banks would ALL be closed and out of business without massive government intervention, and there's really only two options from that point:
Option #1:
A complete economic reset where all fiats become worthless or close to it (since they were based on debt that has collapsed) and gold and silver become the only real money again. Since bitcoin is priced entirely as a dollar or fiat derivative, the price of bitcoin also completely resets into a far less favorable ratio compared to metals. Bitcoin has vastly outperformed metals lately, but when the debt bubble collapses, those roles will be completely reversed.
Option #2:
The government attempts to print forever to avoid a debt bubble collapse and that obviously leads to hyperinflation or something close to it. At first glance, you might think this would cause bitcoin and metals to both just continuously rise to the moon, but no. Metals are constantly naked shorted to cost of production by the global bank monopoly. If bitcoin was pumped to some stupidly high number as this process goes on (hell, it already is at a stupidly high number), it's eventually going to cause that excess liquidity to leak out of bitcoin and into assets that aren't in a bubble.
Since metals are practically the only object that's not in a bubble due to downward banker manipulation, pumping bitcoin will still trigger a forced revaluation of metals and thus a global currency reset in the process just like what happens in option #1.
As you can see, no matter how everything plays out, all roads lead to the same place; it's only a matter of time.
(img source: theregister.co.uk)
Above ground silver should be at least 800.000 to 1mn tons - with annual production at 25000 tons... (gold above ground supplies are at ~190.000 tons)... so this should place the value of above ground silver at around 400-500bn USD.
No my friend. At 3 billion ounces we are at 85k tonnes. A bit north of $45b market cap.
My source: https://www.jmbullion.com/investing-guide/types-physical-metals/how-much-fine-silver-bullion-in-world/
Happy for you to challenge my reference and provide your own source for me to review. In the above case the silver MC is embarrassingly small relative to crypto total MC of nearly 500billion
The number is argued to be anywhere from 2 to 3 billion above ground oz of investment grade silver. I used 2 billion in my post since there's been a silver defict in mining vs consumption for many years lately. Regardless, yea, the crypto market cap is stupidly high compared to silver market cap right now.