The Bitcoin Measuring Stick
You might still be wondering why you’re really here. Is Bitcoin an investment or magical internet money? When can I retire with my buddies? What is going on here?
Many folks who commit to early retirement and financial Independence soon realized there is a dark side to achieving the goal. A certain level of boredom creeps in. A lack of direction leaves you feeling dissatisfied. Your friends are all busy still working. Some of them don’t believe how you achieved your newfound freedom and liberty.
This post is here to introduce the idea of sound money as a measuring stick for the world.
When America went off the gold standard in 1971, the world lost the measuring stick of sound money. I use the term measuring stick to evoke the universal nature of a standard unit of productivity with the level of importance of the kilogram or meter, feet or pounds for our American friends.
We can see how the deviation of the status quo from 1971 has led to massive economic growth at the expense of real financial benefit in many areas. Houses cost more, education costs more, and real wages have not increased.
Many will argue that in 1971 we broke the system. Since the global financial crisis in 2008, we have now made things even worse. The system has been further corrupted.
While the consumer price index measure of inflation shows that a small basket of goods is not rising in price too quickly relative to wages, the much larger and more critical basket of things people want like real assets, homes, a good education is skyrocketing.
With the innovation that Bitcoin creates, we now have a real measuring stick again, better than the last one in every way.
