# Sometimes it is easier to explain why Bitcoin matters with a picture rather than with words...

For anyone looking to explain why bitcoin matters, it's pretty simple in the current environment.

All you have to do is show them this chart...

https://i.postimg.cc/7hw9zzX0/US-Fed-Balance-sheet-2020-04-16-total-assets.png

(Source: https://wolfstreet.com/2020/04/17/fed-massively-tapered-qe-4-hasnt-bought-any-junk-bonds-yet-was-just-jawboning/)

That's a chart of the FED's balance sheet.

As you can see, it is now holding over $6 trillion in assets, which smashes all previous record holding levels.

If I were to zoom out a bit more on that chart, you would see that the FED's balance sheet has mostly only been expanding since 2008, with a few brief draw-downs.

Which further underscores the notion that quantitative easing is like a drug, once you start you get addicted, and can never stop.

# Which is exactly why bitcoin matters...

While the dollar supply is ever expanding, at an increasing rate, bitcoin's 'money supply' is increasing at a decreasing rate.

This chart illustrates where we are currently pretty clearly:

https://i.postimg.cc/s2sBPJ7n/EV5j-Gx-FVc-AEcx5l.jpg

(Source: https://twitter.com/ChartsBtc/status/1251546904292294656)

Eventually there is an inflection point where that first form of money completely loses control, and runaway inflation ensues.

How do I know?

Well, it has happened to just about every major fiat currency that has existed previously.

At some point people a migration will begin over to harder money.

At this point, bitcoin looks very much like it could be that harder money.

And it may start happening with the dollar as soon as the next couple years. I think a lot of that is going to depend on how much more money is created during this current crisis, if we cross that threshold, whatever it is, bitcoin gains a major footing that it is unlikely to relinquish.

Stay informed my friends.

-Doc