BITCOIN VERSUS MODERN MONETARY THEORY

Bitcoin is up $1,000.00 this morning. It's trading approximately at $12,850.00 . Some months ago bitcoin was trading in the $3,000-$4,000 range . So what's up? I think the implicit embrace of Modern Monetary Theory by Trump and his poodles at the Federal Reserve were the catalyst. When was the embrace? About a month ago-approximately May 8. Trump publicly dog whistled, so to speak, his companion dogs at the Fed kennel and told them that interest rates were too high. That was revolutionary.Ten years into an expansion, 3.6% unemployment and near trillion dollars deficits at federal level for this year and maybe into the future as long as we have a future and Trump wants more stimulus.Our fiat money is already laughable. We we give it away gratis to illegals just for showing up. We give it to homeless who don't buy toilet paper with it. We also start wars of choice with it.The theory behind Modern Monetary Theory is the governments monopoly on fiat currency is justified and by extension it's spending because it's confined to our democracy and all in our democracy deserve to participate in government spending. The only caveat is when inflation shows up the Fed must tighten. But what about all that debt at the federal, state, local, corporate and personal level that was created during the easy money stimulus? How will it be paid off with a tightening fed policy? All of these moving parts don't bother the technocrats at the Fed nor does it bother the Philistine Trump who worships at the liquidity altar.Investors are not buying it.And so goes bitcoin up in a ballistic trajectory. There's a social dividend to bitcoin. Bitcoin won't pay illegals, won't give assistance to homeless and bitcoin won't fund wars.