The rise of crypto currencies like Dogecoin, go here to read about it, is a strong vote of no confidence in national economies fueled by money tree spending of infinite, unpayable, except in inflated currencies, debt. Historically such manias are signs of huge economic bubbles about to pop.
I learned to my astonishment a few weeks ago that there is a “school” purporting to be economic science (oxymoron?) called “Modern Monetary Theory.” Its primary dogma is that concepts such as government expenditures being funded by government revenues are no longer operative. Instead, any government can create all the “money” it desires simply by saying so, and all will be well as long as the total supply of created money doesn’t exceed the “productivity” of the economy. I decided not to waste too much time studying this further, as it seems facially absurd. The moment people in general realize that everything is built solely on trust, and that there is no inherent value in digital money, we are in trouble. I am not ready to become the Pioneer Man, however, so if it all collapses, I guess I’m not going to last long. Oh, well.
This year the IRS has a tax return question about whether the filer has had any virtual currency dealings. The paperwork requirements sounds like that of other investments.
I thought it said “doge coin”. I was looking for Venetian ducats and grossi! What a let-down. 🙂
My favorite bubble story was “tulip mainia” when hyper-speculation drove the price of a single tulip bulb up to the stratosphere. No, they didn’t trade for them with bitcoin either.
At least with pork belly futures, one won’t starve.