Governments can buy/use bitcoin to fund their war efforts. But the point is that they will eventually run out of bitcoin. When countries on the gold standard have gone to war, they run out of gold before they finish the war, and have to either debase their money, or borrow from the public.
So yes, bitcoin can be used to fund war. But not forever. On a fiat system, wherein money can be printed (seemingly) infinitely, countries have the ability to extend the amount of time they can wage an unprofitable and destructive war. Ex. the war in Iraq/Afghanistan costing approx 2.4 Trillion Dollars. That's printed money.
What's preventing governments buying Bitcoin to fun there war efforts? Or for that matter anyone using Bitcoin the same way Fiat currencies are used ?
Governments can buy/use bitcoin to fund their war efforts. But the point is that they will eventually run out of bitcoin. When countries on the gold standard have gone to war, they run out of gold before they finish the war, and have to either debase their money, or borrow from the public.
So yes, bitcoin can be used to fund war. But not forever. On a fiat system, wherein money can be printed (seemingly) infinitely, countries have the ability to extend the amount of time they can wage an unprofitable and destructive war. Ex. the war in Iraq/Afghanistan costing approx 2.4 Trillion Dollars. That's printed money.