Cantillon Effect is Why Bitcoin is Working : Interview with Demelza Hays ①
The number one reason why I am a Bitcoin fan is because of the Cantillon effect. Richard Cantillon was an Irish-French economist in the 18th century writing in the 1750s. He described what is now described as the Cantillon effect; when you print money, you debase the purchasing power of the units that are currently existing. Hence, if a person is saving up rupees or dollars, and she is putting it under her mattress every day, there will not be much value. As long as the central bank in Mumbai is printing, her hard-earned savings are being depreciated, whether she wants that or not. What the Cantillon effect discusses is that, if all the money in the economy was equally debased at the same time, that might be fairer, and this is the number one reason to use bitcoin.