Bitcoin Leads To Socialism?

Over at a financial forum...

"While we wait for energy and commodities to bottom and consolidate, bitcoin's chart is looking good. GBTC, which holds 0.096 BTC per share is overvalued by +50% -- short it immediately if you have the means, and buy the necessary bitcoin holdings for arbitrage. It's the price of being absolutely basal state lazy: people who can't be bothered to buy BTC itself (which is not even hard anymore)." - BDC

We Nattered: "More Chinese "dollar" liquidity issues, and global carry trade unwinds which could be problematic for anyone shorting Bitcoin.  Bitcoin is a conduit for Chinese money to circumvent their capital outflow restrictions. Note bitcoin spikes and market pullbacks coinciding? Invoke Gibbs Rule 39A.   

Back on track… we cannot preclude further downside in oil or commodities if the "dollar" gets squeezed. Speaking of bizarro world, the eurodollar cots situation is indicating further downside. Not to worry, helicopter money is here, starting in Finland at 800 euro per month for everyone, regardless of income level."

P commented: Finland/Naybob – "I very much approve of that idea.  We need to come to grips with the concept that we are entering a "post-work" economy, where it is not necessary for more than 1/3 of the people to work to provide for all.  Soon it will be 25% and we're one small robotic advance from it being 15%.  

We simply don't NEED everyone to work – so why should they.  Instead of stigmatizing it, we should recognize it as a viable life choice and those who wish to work can do so – but you can't give 15% of the people 100% of the money – it needs to be intelligently redistributed."

P goes further and outlines a plan... "Finland/StJ – Nor is it enough money anyway.  My plan would be to give every US adult who makes less than $10,000 $15,000 just for waking up in America – so there's still an incentive to do some work.  That would be about the bottom 30% so 80M x $15,000 = $1.2Tn or about 6% of our GDP.  

People earning up to $50,000 and corporations earning up to $500,000 would pay no tax and the rest would pay a 25% VAT/Flat Tax on an $18Tn economy or $4.5Tn (no exemptions of any kind).  Subtract $1.2Tn for income enhancement and that's $3.3Tn left which is plenty to run the place.  Give the bottom 40% $1.2Tn more to spend and I bet that economy is over $20Tn in two years or less."

From Bitcoin to helicopter money in Finland to redistribution of income, interesting commentary indeed.  We only differ with P in that we believe there is plenty of meaningful work as in we have plenty of stuff to take care of. So everyone could have meaningful work as long as they want to. 

The systemic failures occur within the distribution chain due not to technological, but political means. We Nattered about a world awash in overcapacity and the failures of the distribution chain in the Scarcities series, A Severed Hand, Goat's Head and Weeping Guitar and the potential for what we could do with all that money, in The Fallout Of Bad Choices series.  All food of thought, when the fortunate bask and the not so, can't afford to.

Scarcities 1
Scarcities 2
Scarcities 3