Posted 2 years ago | by Ben Armstrong
Coinbase Sees Surge in Crypto Investment
Brian Armstrong, CEO of Coinbase, revealed that there was a drastic surge of deposits invested in one of the most important crypto exchanges in the USA.
Many of the deposits were in the amount of $1200 USD, which was also coincidentally the same amount of money that the federal government is giving each eligible individual amid the pandemic outbreak.
It isn't difficult to see that people might be getting a little worries about both the economy and monetary system, and they are clearly looking to cryptos as a way to have a Plan B.
While the American taxpayers who are eligible to receive checks from the coronavirus stimulus package, which aims to help them facing with challenges caused by the pandemic, the crypto exchange Coinbase seems to be on the receiving end of this government spending.
Coinbase Gets More Attention
The US government will be spending $2.2 trillion USD on a stimulus package aimed to revive the economy and help people get through the COVID-19 pandemic. Unfortunately, the psychology of the US public seems to be shifting, and they are looking for safer ways to sock away value for the problems that are coming.
According to the government’s announcement, the stimulus package would give a one time $1200 payment to eligible citizens while several politicians and experts had argued that one-time payment would not be enough for some people, and had suggested a monthly stimulus payment which offered to citizens until the economy is closed.
Of course, the idea that giving people $1200 USD on a one time basis could solve all the problems from locking down the economy is patently absurd, and the economic fallout from this misguided political blunder is sure to be horrific.
Cryptos are Probably Going Higher
More than 22 million people in the United States have filed for unemployment and the number of unemployment claims has been rising quite strongly because of the lockdown and global pandemic. In fact, all the jobs that were created in the post 2008 'recovery' have been eliminated in less than 4 weeks.
State unemployment offices are overwhelmed and many people are still waiting for unemployment payments weeks later. There are signs that the unemployment system isn't able to service all the people who need to file claims, and this may be making the unemployment picture look better than it actually is.
In other nations, like South Africa and Germany, people are beginning to lash out at their governments with violence. The same thing may happen in the USA, which has the most firearms on a per capita basis globally.