The Inevitable Collapse of Fiat

The concept of modern central banking, which relies on unbacked helicopter money, is like a hovering parent, never allowing its "child" to face the challenges of life.

Just like children of helicopter parents, who are unable to leave the comfort of their parents' home, certain companies that are heavily leveraged and dependent on access to easy money, also cannot survive without it.

These companies, much like the smooth-kneed 25-year-olds, lack the drive to be financially responsible (“when paper fiat currency is free, why bother with financial discipline?”), the means to succeed in a higher interest rate environment (“our business model doesn’t work at higher interest rates”), and in some cases, even the permission to go bankrupt (“you bail us out because we employ so many voters, or because we intermediate and credit-multiply your monetary policy”).

The easy availability of fiat currency leads to continuous political compromises, fostering unrealistic expectations and fueling a self-sustaining cycle that only accelerates.

Even those in power, who wish to avoid printing more money, find it difficult to break away from the system.

The bottom line: without the rigid barrier of strictly limited funds – that is, with non-scarce money – nothing will stop indefinite growth of government expenditure.

Untethered to the future generational tax burden it is simultaneously exploding and expropriating.

The result: With an unlimited supply of money, government spending will continue to increase indefinitely, putting future generations at a disadvantage.

It's no surprise that millennials feel the odds are stacked against them. They are.

-- an excerpt from the Stone Ridge 2020 Shareholder Letter, its 2-minute version can be found here https://www.2minutebitcoin.org/blog/stone-ridge-2020-shareholder-letter
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I'll leave you to guess the solution ;)