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The European Central Bank Compares Bitcoin To Tulips On Twitter LOL

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@reonarudo
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Source: https://twitter.com/ecb/status/1371856153370574854

"Intrinsic value" LOL

Central banks have zero choice but to expand their balance sheets rapidly. This is because there is so much debt owed by governments, corporations and individuals that if bond yields are allowed to rise even a little - I've heard people talk about 150 basis points or 1.5 percentage points, there will be devastating consequences.

What's essential here is that central bankers have ZERO CHOICE but to keep buying the bonds without limits to keep the yields of bonds of all maturities very low.

This buying spree can only feed into asset bubbles. Indeed, every asset class is currently in a bubble. The economy is in a terrible place, unemployment is at record levels and yet the equities market is at a very high level.

The only question is which bubble has the most upside

There's already a lot of money in equities and thus comparatively little upside. That's why smart money looking into maximizing profits is gradually moving into crypto.

Bitcoin and cryptocurrencies are not a zero-sum bubble but, in fact, a CENTRAL BANK BACKED asset class

The ECB can say stupid things on Twitter all day long about Bitcoin lacking "intrinsic value" but the truth is that most of the fiat printed these days has ZERO intrinsic value, too.

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