Bitcoin As A Pressure Release Valve

As small-cap currencies inflate, Bitcoin gains adoption.

Bitcoin is the first fully sovereign digital currency. This means that anyone in the world with an internet connection and a computer can download the protocol and start running it. Maybe they want to invest in the technology, maybe they want to store their wealth, or maybe they are using it as a form of payment. Whatever the reason, Bitcoin doesn’t discriminate on the basis of race, creed, or nationality.

This is especially attractive for people in countries with a history of inflation or even hyperinflation. What is hyperinflation? It is when a country’s government or central bank, by printing more and more money to supplement their needs, increases the supply of the currency at a rapid and excessive pace. When the supply of money increases more rapidly than the demand, the price of goods nominally rises. A good example of this has occurred during the last year: food prices have risen dramatically, in part due to the monetary expansion of the world’s currency supplies.

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Image Source

Price increases of bitcoin in fiat terms can also be seen when the supply of fiat currency expands. Extreme increases in national currency supplies cause the prices of everyday goods to rise. Two recent examples of this are Venezuela and Zimbabwe: prices have risen so dramatically that Zimbabwe is now printing 100 trillion dollar bills and even using paper bills in more utilitarian ways, such as using them as fire starters.

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Image Sourceundefined

Many times, countries shut down access and use of the US dollar. Because people change over to a more reliable currency, demand drops and so does the value for the currency being left behind. In turn, closing off the escape route to other currencies cripples the people’s ability to save and destroys the economy. People aren’t allowed to buy USD,so they are forced into using it on the black market

When countries’ currencies hyperinflate, countries have blamed the US dollar. In 2010, Hugo Chavez signed a currency law, pegging the Bolivar to a certain exchange rate. Since then, inflation has only risen, and citizens have been forced into using dollars on the Black Market.

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Image Source

In November, 2020, Zimbabwe’s Secretary for Finance, told business leaders Zimbabwe wouldn’t return to the USD, saying “One of the biggest mistakes was dollarizing and removing your own currency,” according to a Bloomberg report.

Bitcoin solves this. With the use of bitcoin, people have an option to escape their collapsing, hyperinflated currencies and hold their wealth in a decentralized network that is independent of the current financial system. You cannot stop someone from buying bitcoin, you cannot stop them from transacting in bitcoin, and you cannot stop them from holding bitcoin. There are ways in which a government could constrict the use of bitcoin, but in the past, this has increased adoption. And to stop Bitcoin all together, you would need to shut down the Internet. We all know that doing that, would mean there would be no GDP. When a currency collapses, and people adopt Bitcoin, the incredible value of its use case is revealed in both theory and practice. This increases adoption and could help propel people to create more Bitcoin infrastructure.

The more countries that have hyperinflated currencies, the more capital gets eaten up. Because Bitcoin was created to be the scarcest asset in the world, it is the best instrument to which people can turn. The people who see its value the most are the ones closest to the problem. The first likely event is that impoverished countries adopt Bitcoin as a store of value that is less volatile than their own currencies. Although USD is great for this, Bitcoin allows for better digital transacting. As Bitcoin’s market cap grows, it becomes a more stable form of money. Then, eventually, we could see a cascading effect as an exponential amount of adoption occurs. In Argentina, the inflation rate has increased by 40% in 1 month (January–February 2021). They have a history of inflation, and Paxful, a trading exchange, has been onboarding people there in a rapid manner.

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Image via 

This is known as leapfrogging. When a new technology is introduced to a poorly developed country, they leapfrog the entire costly infrastructure of the previous system and adopt the new, less costly one. A good example of this is the introduction of cell phones in less developed countries. Building the infrastructure and wiring for traditional telephones would have cost large amounts of money that these countries simply didn’t have. Then, cell phones came around, and building their communication towers carried only a fraction of the cost. This is very similar to the situation with banking infrastructure. So, the first dominoes of adoption to fall could be the smaller, less developed countries.

Historically, the US dollar has been extremely stable, so seeing this specific use case in the US is difficult. However, in a country whose currency loses 40% of its value year over year, Bitcoin would seem stable. As countries with less stable currencies start to adopt Bitcoin and add to its market cap, the network will slowly become less volatile until price fluctuations are reduced to stable levels. This is already visible on the network today.

This all seems very far away, but adoption generally occurs slowly, then all at once. This is the nature of network effects and exponential growth. Ultimately, Bitcoin can be a tool for liberty and freedom from currency abuse, empowering the world and its people. The more efficiently people can store their time and energy as money, the more efficient the world economy will be. 


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Prominent Analyst Reveals Mega Bullish Targets for XRP, Litecoin, and Binance Coin

A high-profile crypto trader is offering up some short-term bullish price predictions for XRP, Litecoin (LTC) and Binance Coin (BNB).

The pseudonymous analyst Kaleo shared with his 161,000 followers that he believes XRP is going to surmount the $2 dollar mark within the next week.



Source: Kaleo

The fourth-largest asset by market cap has been on a tear recently, rallying by 144% on the week. Ripple’s native token has been soaring since the firm had two big wins in its legal battle with the U.S. Securities and Exchange Commission (SEC). The payments giant was able to both keep chief executives Brad Garlinghouse and Chris Larsons’ financial histories sealed and was able to unearth documents revealing that the SEC had previously referred to XRP as a “digital currency,” not as a security.

Kaleo also has his eyes on BNB, noting that the asset has broken out of a descending wedge pattern in its US dollar pair and almost passed the $500 mark. Kaleo says $750 is his next target for the coin, remarking that he’s “never been more long” on a trade.

“BNB to $500 almost complete. $750 sooner than you think.”

Source: Kaleo

The analyst adds that although BNB is seeing a strong break to the upside, it will really begin its march upward when it breaks out in its BTC pair, which he believes will occur shortly.

“BNB just made a USD all-time high (ATH), but it won’t really take off until the BTC pair makes a new ATH, which should happen pretty soon.”

Finally, the trader is also bullish on Litecoin or “digital silver” as he calls it. Kaleo notes that he is long on Litecoin, as it appears to be battling with resistance in its BTC pair.

“LTC/BTC pair has shown strength throughout the day. I longed resistance here.”

Source: Kaleo

Now that LTC has briefly bested the $260 level, he believes it will also fly in its USD pair.

“Clean break of $250, and a quick return to the ATH seems likely”

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Enterprise blockchain solutions rally as businesses get hip to crypto

The mainstream adoption of blockchain technology continues to pick up steam as stories like Microstrategy using Bitcoin (BTC) to pay bonuses for its board of directors and Topps announcing plans to release nonfungible token collectible trading cards make headlines on a almost daily basis. 

As more companies and organizations explore what the integration of blockchain technology can do for them, tokens that offer enterprise solutions and provide simple ways for interested parties to explore and use distributed ledger technology have seen triple-digit gains in 2021.

XRP/USDT vs. XLM/USDT vs. XDC/USDT 1-day chart. Source: TradingView

Stellar (XLM), XRP, and XinFin Network (XDC) are three enterprise-focused cryptocurrencies that have seen their prices outperform the field over the past few weeks as global businesses increasingly look to blockchain to help create a simplified and efficient global trade network.


XRP is perhaps one of the most well-known crypto projects behind Bitcoin and Ethereum as it has a large group of supporters often referred to as the XRP Army for their willingness to defend the somewhat controversial project.

While growth for XRP in 2021 was initially slowed due to regulatory actions by the U.S. Securities and Exchange Commission which led to the delisting of XRP on multiple cryptocurrency exchanges, its price has surged in the month of April.

XRP/USDT 4-hour chart. Source: TradingView

Trading volume and social activity for XRP picked up significantly in early April when the platform refocused its marketing efforts on promoting how Ripplenet can help create a “more financially inclusive and sustainable future.”

The refocus also included the acquisition of a 40% stake in cross-border payments specialist Tranglo on April 5 and the announcement of a partnership with Mercury FX on April 9. The goal of these partnerships is to help develop an international payments system throughout Africa, and this coincided with the last major spike in the price of XRP.


Stellar is an open network that was originally founded in 2014 as a result of a hard fork from the Ripple Labs protocol due to differences in the vision of where the project should be headed.

Over the years its mission has morphed from that of trying to increase inclusion by reaching the world’s unbanked to helping financial firms connect with each other with blockchain technology.

Some of the biggest news for XLM came at the beginning of March with the release of Horizon 2.0:

According to the announcement, Horizon 2.0 created a new way to run the Stellar network infrastructure that “enables large organizations and small developers alike to deploy Horizon with fewer resources, under looser constraints, and with far more flexibility than ever before.”

The team also announced partnerships with Velo protocol to help foster international payments in Southeast Asia and with the Cowrie Integrated Systems to help develop payment corridors throughout Africa, with an initial focus on Nigeria.

On April 6, the Stellar Development Foundation’s (SDF) validator nodes temporarily stopped validating transactions on the Stellar network causing concern for community members. According to the SDF, the network remained online during this time as most nodes on the network were still functioning and processing transactions.

XLM/USDT 4-hour chart. Source: TradingView

After an initial pullback in XLM price due to the SDF nodes being taken offline, the reaffirmation in the security and decentralization of the Stellar network led to a quick recovery and breakout to $0.656, its highest level since January 2018.


A lesser-known enterprise-ready solution that has burst onto the scene in 2021 is XinFin Network (XDC), a hybrid Blockchain technology company optimized for international trade and finance that “combines the power of public & private blockchains with Interoperable smart contracts.”

The XDC protocol utilizes the XinFin Delegated Proof of Stake (XDPoS) consensus mechanism which is designed to create a ‘highly scalable, secure, permissioned, and commercial grade’ blockchain network.

2021 got off to a slow start for XDC due to a hack of the AlphaEX exchange in December 2020 that saw 300 million Ethereum-based XDC (XDCE) stolen and sold on the open market.

A series of steps were taken to mitigate the effects of this hack, which included the burning of 500 million XDCE and the decision to eventually phase out the XDCE contract and focus solely on the XDC token.

XDC/USD 4-hour chart. Source: TradingView

Following the community resolution of the hack, XDC price has exploded to a new all-time high of $0.076 on April 10 thanks to protocol upgrades like the ability to send tokens while offline and a XinFin to Corda bridge that enables XDC to move freely between the Corda Network and XinFin.

XDC also benefited from being listed on multiple exchanges including Liquid Global and Probit, as well as the launch of a regulated index for XinFin digital assets by the regulated index provider Vinter.

As blockchain technology continues its integration into multiple sectors and businesses explore what DLT has to offer, enterprise-focused solutions like XRP, XLM and XDC are well-positioned to see further growth due to the fact that they offer simple solutions that allow people to create and transact cryptocurrencies with minimal effort.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.