๐ ๐ฉ๐ซ๐ข๐ฆ๐๐ซ ๐จ๐ง ๐๐ฅ๐จ๐๐ค๐๐ก๐๐ข๐ง & ๐๐ซ๐ฒ๐ฉ๐ญ๐จ๐ฌ ๐งต
I still everyday meet investors who think Bitcoin & Blockchain are the same & this thread is specifically for them
Do re-tweet & help us educate more invetsors โบ
#Investing #Cryptos #Bitcoin (1/n)
(Q1) Lets start with what was historically used as a method of payment?
- Barter system, you give me a cow and I give you 100 kgs of rice (2/n)
(Q2) So why dint we continue with the barter system?
- It was difficult to transact in fractions
- What if I want only 50 kgs of rice? I cant give you half a cow right?
- This is the prime reason for the introduction of smaller units of payment method we now call as coins (3/n)
(Q3) How did Gold coins get shortlisted for the job?
- It was malleable & portable
- It was non corrosive, could be stored for a long time
- It was a perfect combination of abundance & rare
- Plus it was eye catching & visually appealing (4/n)
(Q4) What about paper currencies?
a) When paper currencies were introduced, it was decided that a country could only print as much currency as the gold reserves they have but this was withdrawn in 1971 bcoz of which the central banks could then print as much money as they wanted