By CCN Markets: Cameron Winklevoss teetered on sounding political Sunday, tweeting about Bitcoin, emerging markets and humanity. https://twitter.com/winklevoss/status/1163115722584842241 The co-founder of Gemini followed that tweet up with this one: https://twitter.com/winklevoss/status/1163129435454939137 The tweets come as geopolitical tensions continue to weigh on financial markets. There is a…
By CCN Markets: Cameron Winklevoss teetered on sounding political Sunday, tweeting about Bitcoin, emerging markets and humanity.
The co-founder of Gemini followed that tweet up with this one:
The tweets come as geopolitical tensions continue to weigh on financial markets. There is a train of thought among financial players about cryptos and periods of emerging market stress. Because cryptocurrencies like Bitcoin are a store of value, they are expected to rise during these periods.
In the paper, (you must download it) Winklevoss referred to in his tweet, the authors state:
“Our analysis reveals that a private digital currency improves citizen welfare and encourages local investment. Moreover, the government ﬁnds permitting the private digital currency incentive compatible.”
Their findings indicate that private digital currency helps people “achieve gains from diversiﬁcation.” That’s because of the existence of the private digital currency disciplines monetary policy.”
“In turn, that diversiﬁcation and disciplined monetary policy encourages the citizen to increase local investment. The increased local investment then beneﬁts the government via taxation so that even a selﬁsh government prefers permitting rather than prohibiting the private digital currency.”
By not naming the countries he was referring to, Winklevoss leaves us to figure out the specifics.
We do know that protests in Hong Kong over an extradition bill have been going on for more than 10 weeks. They’ve gained international attention as the world watches the protesters go up against the police.
Venezuelans continue to suffer due to that country’s failed economy. A result was a record number of Venezuelan Bolivars being exchanged for Bitcoin at the beginning of August. The International Monetary Fund (IMF) projected that Venezuela will experience the world’s highest inflation rate in 2019.