Our economy depends on credibility of the Governments. Traditionally, gold, silver was kept in lieu of the currency notes issued by the government. Later it was found that this system is not very convenient as the precious metals have many uses and keeping them in lockers is not a good idea. So, currency notes, which are known as fiats have been backed by only the credit of the government. So, a government can print as much as currency as it deem fit. However, there are limitations as too much printing of currency notes increases inflations. ![]()

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Traditional economy is highly centralized and managed/manipulated by the governments. In addition to it, it has lots of shortcomings. It is prone to economic slowdown. It is becoming a means of concentration of power in a few hands. Rich are getting richer while poor are becoming poorer because of the policies of the various governments which formulate policies keeping the interests of the rich and powerful people.

Crypto currency is free of such things like centralization. Anyone can make his own crypto and freely issue in the market. As it is blockchain based, chances of fraud and manipulations do not exist. This is the tough time for global economy. Share market is going down, consumption is decreasing and increase in rate of interest by the various central banks have made situation worse.

IMF's predictions are negative about the future of the economy. It predicted that global economy would shrink during 2023.

The International Monetary Fund predicts global growth will slow to 2.7% next year, 0.2 percentage point lower than its July forecast, and anticipates 2023 will feel like a recession for millions around the world.
source:

In this situation, it seems that the story of 2008 will be repeated. Recession seems unavoidable. Fiat would lose its value and life of the people depending on it, will be a hell. In this situation, it seems to me that it would be a good thing to hold cryptocurrencies. This time price of cryptos is not much. So, it would be better to buy them. Bitcoin and alts may be useful. Apart from it, people should invest a part of their money in stable coins like USDT, USDC etc. Stable coins price will not decrease. So, they will be advantageous. Gold and precious metals may be purchased as they will always be valuable. Share/stocks may be risky. So, weaker shares may be avoided.

We already have entered into this stage. Share market is going down, Dow Jones is at its all time low, real estate and auto sector is registering low sells. So, future is going to be very gloomy.

What do you think about it? It you have something to say, feel free to say it through your comments.

Thank you!

I am not a financial advisor, please be careful before investing.