What if the US dollar would collapse leading the way to hyperinflation? Causing Bitcoin to not only gain mainstream adoption but become the world reserve currency overnight, and bring hyperbitcoinization. In a blink of an eye, the world could be completely different. Transferring into a world of those who have Bitcoin, and those who don’t.

This is a scenario that Bitcoiners have been thinking about for years. In fact, many of them believe that it will inevitably happen. It’s something that they have been preparing for, and something that they have been warning others about as well. However, more often than not these “doom and gloomers” are ignored. Thought of as just trying to spread fear, or trying to shill Bitcoin so that prices increase. While it may seem silly to be talking about this while Bitcoin is likely near its bottom price during the bear market. It is important to consider all possible scenarios for the future. With that in mind, let’s imagine that Bitcoin would take over the world, and do so much quicker than anyone imagined. What would be the results of that? And perhaps more importantly, what would be the consequences?

Haves and Have Nots

If Bitcoin would become the world reserve asset in a very short period of time, there is no denying that it would cause extreme pain. The world would become a place for those that have Bitcoin, and those who don’t. If this happened we could expect that the US dollar, Yen, Euro, Pound, and all fiat currencies would see hyperinflation. Seemingly overnight everyone who held their wealth in fiat would have lost all of their savings. While only those who had Bitcoin would have been able to escape the disaster.

Now think about your friends, family, and co-workers. How many of them invest in Bitcoin? How many of them invest significant amounts of their net worth into Bitcoin? The answer is likely very few. This means if this scenario played out, those people would have lost everything. A large majority of the world would have to start over financially.

Chaos

When people have lost everything. Their wealth, hope for a bright future, and maybe even the ability to support their families, will cause chaos and riots around the world. People will want to know what happened. Why did their money lose all of its value? Why did only those who have Bitcoin benefit? This confusion will lead to anger, and this anger will lead to an unsafe world.

It will be unsafe for those who have been investing in Bitcoin for several years. People who have large amounts of BTC would quickly become targets. This is why Bitcoiners have theorized for years that in the future there will be Bitcoin Citadels. Areas where those who have Bitcoin live separately from those who don’t. This is for Bitcoiner's protection. The discrepancy of wealth between the rich and the poor will be the highest it's ever been.

In the short-term many people will lose all of their wealth. There will be riots and crime would likely skyrocket. Becoming an unsafe world for some time.

However, as the years go by, this hyper Bitcoinization would become beneficial to the world.

Savings

In today’s world, it is extremely difficult for a poor person to get ahead in life. They would be very hard but have very little savings to show for it. Being able to retire is a luxury that seems impossible for many. For that to even be possible, regular people need to become investors. With Bitcoin, the idea is that since its value won’t be inflated away over time, people will be rewarded for keeping their savings in Bitcoin.

Meaning that people will no longer need to be investors to be able to retire. All you will need to do is work hard, keep your savings in Bitcoin, and everything else will be taken care of. It seems so easy.

Lowered Costs

We currently live in a debt-controlled society. Spending money we don’t have and companies take advantage of this. Even though the cost of manufacturing continues to fall, prices continue to go up. This is due to the need for ever-increasing profits for companies.

However, we have never had an asset quite like Bitcoin. Those who own it already know how it can change your spending habits. It is much easier to spend dollars or use your credit card to buy that new t-shirt, rather than spend your Bitcoin. The reason for that is we know that Bitcoin will likely continue to increase in value over time. That t-shirt that costs $25 today, will be less expensive in dollar terms due to inflation. However, if you pay with Bitcoin, that $25 t-shirt, could cost you $2,500 if Bitcoin were to go up by 100x. Before making any purchase, you will begin to think more carefully about the future price of Bitcoin and how much it is costing you.

This will likely cause prices of consumer goods to come down. They will have to work harder to give you enough value to give your Bitcoin. This transformation alone will change the world. Remember those days when you bought something that was a little expensive because you knew it would last you for years? Today that doesn’t seem to be the case. Phones are replaced every few years, and that tends to be the trend with most electronics and goods. There will be a shift towards quality that will benefit everyone.

A More Connected World

As we move to a Bitcoin standard, the world will become much more connected. Each country and the citizens that live there will be on equal ground. Since Bitcoin cannot be controlled by any one party, no country will be able to boss other countries around or give out sanctions.

We will need to learn to co-exist and work together even more. The borders between countries may begin to become blurred, and the world will become one. Since Bitcoin cannot be seized or controlled by any one country, perhaps it will cut down on the number of wars in the future.

Those who previously had no access to banks, or a decent currency to save in, and were told by governments what they could and couldn’t use their own money for. Will now have all of these, and it will transform the world. This is one of the reasons why Africa is thought to be the next hub for Bitcoin. It could be a fresh start for the world.

Hyperbitconization. Could it happen? Yes, it definitely could. If there is one thing you should know about Bitcoin, it is that we should always expect the unexpected. Just two years ago, most of us would have never predicted that a country would have made Bitcoin legal tender. El Salvador did. As we look back on history, that will likely be the moment that started the dominoes of Bitcoin adoption to begin spreading.