Bitcoin Analyst: Central Bank Rate Cuts Mean ‘World Has Gone Zimbabwe’
Zimbabwe-style mayhem is a possible outcome from a flood of cheap money hitting the global economy, warns MMCrypto.
Bitcoin (BTC) supporters are watching as almost every central bank in the world lowers interest rates and the global fiat money supply skyrockets.
Statistics compiled by Charlie Bilello, CEO of wealth manager Compound Capital Advisors, show that in 2020, 84 of the world’s 118 central banks cut interest rates.
“Bitcoin cannot be printed!”
Largely due to coronavirus, institutions have slashed rates by as much as 1,700 basis points, with Argentina leading the way.
Israel changed the least, with a 15 basis point reduction, while Ukraine, Pakistan, Barbados and the East Caribbean joined Argentina at the top of the list.
Argentina’s current central bank interest rate is 38%, the highest of any central bank on the list.
Lower rates are designed to incentivize borrowing and spending and go hand in hand with quantitative easing policies, under which the money supply of fiat currencies can increase exponentially.
Missing from the rankings are countries such as Venezuela, Iran and Lebanon, where currency meltdowns have become an unavoidable feature of central bank policy.
Coin Telegraph - 1st Jul 14:07