Is Bitcoin rising? or is the currency falling?

As prices tend to fall in the long run due to innovations and productivity increases, saving money becomes worthwhile again. This enables the individual to plan and provide for the future more effectively, as savings do not lose purchasing power and it is therefore easier to save for long-term goals. This makes the future more important to the individual and creates incentives for long-term thinking and action. Short-term oriented consumption tends to be avoided because the opportunity costs are more obvious. The realization that the unit of account is not set by a central authority leads the individual to realize that he or she is not dependent on the low interest rate, monetary expansion, and central bank policy, but is responsible for the unit of account and its perspective on the world. The individual gets orientation and security through the appropriate choice of the unit of account. As a result, wealth is created through the savings process and individuals can escape poverty and the hamster wheel.

A deflationary monetary system has the impact on businesses that profits do not have to be reinvested at risk as well as reserves do not continually lose purchasing power. As a result, "good" money as a secure treasury asset increases companies' ability to plan and improve their economic freedom. Moreover, profitability calculations based on "good" money reveal resource misallocations and, with the help of the market interest rate, opportunity costs become clear. Resources will flow into the economic sectors with the greatest customer demand, which increases productivity and thus the prosperity of all. For the companies the responsible use of scarce resources is rewarded and is the only way to survive in the market, since there are no bailouts or credit money creation. Since people tend to spend money less quickly because of the benefits of saving, a company must pay increased attention to the quality of products and services so that people will make a trade.

If the individual, capable of learning, realizes that there are advantages to view the world from a deflationary perspective, a society made up of people capable of learning synchronizes to a money that has a constant money supply. This automatically leads to a separation of money and the state (or another central authority). This is also referred to as a focal point/Schelling point. What is meant here is an equilibrium that occurs because it represents the optimum for each individual. A society in which saving is profitable becomes prosperous in the long run because more is produced than is immediately consumed. A unit of account that cannot be manipulated leads to economic calculations that enable the accumulation of capital and thus the accumulation of wealth for the individual and, in sum, for society as a whole. Decentralized structures such as families are strengthened because they can build their own wealth and independence and are no longer dependent on the promises of central institutions. Society as a whole becomes less fragile because not everyone is dependent on the same central authority. Bitcoin enables unrestricted property rights due to cryptography. This prevents redistribution by a central authority for the benefit of a few. Furthermore, Bitcoin enables the financial inclusion of all people because Bitcoin is an open monetary system. As a result, all people can participate in the society based on the division of labor and benefit from cooperation, which in turn benefits everyone, since everyone has a specialization. In a society in which companies do not receive monetary gifts from politicians, they must handle their resources as sustainably as possible and for the benefit of customers if they want to survive on the market. The resulting competition is a regulating force that punishes waste of resources, rewards long-term planning, and incentivizes quality and productivity. This creates a sustainable and advanced society that increases the prosperity of all.