US Federal Reserve Chair Jerome Powell spoke at a virtual forum recently and made a statement that many already sensed was indicative of the reality of the times we are living in. “We’re not going back to the same economy. We’re recovering to a different economy.”
He mentioned that we’ll be seeing more telework than in-person work as we were previously accustomed. It’s clear to most observers that life and the economy are likely not going to return to what they once were. The extended nature of the global pandemic has led to long term changes in human behavior.
Powell continues to advocate for US lawmakers to pass another stimulus package that provides much needed aid directly to individuals and businesses that are most in need. Providing direct aid would likely have a swifter impact versus relying solely on the banking system to filter through any enhanced monetary policies.
The good news is that banks are stronger today than they were during the Great Recession in 2008. Part of the reason for this strength is that the Fed pumped $3 trillion into the financial system earlier in the year, while the first round of stimulus provided $2 trillion in aid to individuals and businesses.
He continued to say that the US should be deliberate and take its time with developing a sovereign digital currency. Meanwhile, China’s central bank has already begun testing a digital currency of its own and the EU President suggested a desire to get started soon since it may take two to four years to complete the process.
These points are all very relevant to the cryptocurrency community. When central banks print more money to boost economies, that generally increases inflation. Owning cryptocurrency, like META 1 Coin would be good way to hedge against the effects of inflation.
Powell’s emphasis on the need for greater government and central bank influence in supporting the economy suggests that they will likely be more involved for quite some time, even after the pandemic ends. META 1 Coin and other cryptocurrencies’ lack of government and central bank involvement make them ideal alternatives as a further hedge against the unforeseen implications of these outside forces.
And the steady migration of populations out of cities to more spacious, affordable and telework-capable locations are already causing major shifts in people’s lives, as well as the economy. The combined effects of the pandemic and a widely embraced digital, remote lifestyle are reducing reliance on in-person retail and services businesses. Many jobs and professions will be lost by these shifts and major changes will occur in how people earn incomes and conduct their daily lives.
The current dynamic seems to be a reversal of trends seen during the industrial revolution. During that time, people moved into cities in droves to find work. With work readily available now via the internet and the declining status of many cities, many are moving out to literally greener pastures. The world is constantly changing, yet this new reality includes many more changes in a shorter span of time than has been experienced in recent times.
New trends are appearing, such as widening adoption of online shopping. This will likely lead to greater acceptance of other emerging technologies including digital currencies, like META 1 Coin.
META 1 Coin was developed as a gold-backed digital currency, to provide greater stability than digital coins that aren’t backed by any assets. Our social mission is to advance the abundance and freedom of Humanity. Buying META 1 Coin during these times provides a hedge and an alternative to sovereign currency and as its popularity grows over time, it may lead to enhanced value, just like any popular physical item. Now is the perfect time to get involved with META 1 Coin, as we grow together in this new world.