The Fed’s relentless money-printers have unleashed a financial contagion of biblical proportion. There are simply no asset classes that have escaped the resulting inflationary whirlwind, and most especially not the very newest asset class that, ironically, is held to be the monetary antidote for fiat money gone wild.
We are referring to the crypto currencies, of course, and do so from a philosophical vantage point that would embrace honest private money over state-issued money every day of the week and twice on Sunday. But whatever their theoretical merit and pretensions as private money, they cryptos have been swallowed whole and thoroughly corrupted by the great storm of speculative madness that has been unleashed by the central banks.
As they now function, therefore, the crypto currencies are not money in any way, shape or form, as we amplify below. To the contrary, they are merely the latest boiling hot speculative asset class that is just another bastard spawn of the central bank money-printers. They are not an alternative to bad central bank money; they’re are an issue from its very own loins.