Central banks in the United States and the EU are putting together rescue packages to deal with the corona crisis that is currently panicking the stock markets worldwide. While the measures largely fizzle out, Bitcoin is picking up again without any help. Was it too early to write off Bitcoin as a lifeboat?
If you have already dealt with Bitcoin, you know for sure: The maximum number of Bitcoins is limited to 21 million units. Almost 18.3 million of these are currently in circulation. The protocol states that there will never be more than 21 million monetary units, and it is almost impossible to change this protocol in a decentralized network.
Bitcoin critics sometimes complain that this control of the money supply is too rigid. Too inflexible to respond to crises, too deflationary to create the kind of value stability that central banks define as ideal. The corona crisis, which has dominated the minds, media and stock exchanges for a few weeks, shows again what the central banks mean by managing a crisis.