Would Crypto Be A Good Asset To Have If Crisis Strikes By DailyCoin

According to a recent disaster preparedness survey, more than 75% of Americans are not ready with ample food or water supplies – even after going through COVID-19.

When it comes to money, some experts recommend a goal of $2,000 in cash on hand if banks go down. However, the U.S. Federal Reserve reports that nearly 40% of Americans couldn’t handle a $400 cash emergency. It makes sense to have a supply of food, water, and money available if disaster hits.

But disasters and crises take many forms. Natural disasters such as the spreading wildfires we’ve seen this summer across California or hurricanes ripping up the U.S. eastern coastline have caused mass evacuations. As we all saw and experienced last year, civil unrest or a pandemic can force families and individuals into protective lockdown.

Not to mention the possibility of an economic collapse. Consider the consequences if a country’s currency turns hyperinflationary, or supply chain disruptions cause prolonged stock outs at stores, or if there’s a repeat of the 2008 housing collapse that spread globally – producing an extended economic crisis, which can be just as dangerous as any natural calamity.

In all of those scenarios, and other macro level crises, would it be a good idea to have some of your investments in cryptocurrencies as well as a stash of cash, food, and water? The answer is yes – but it’s a qualified yes (besides the most important disclaimer that this is NOT financial advice).

Here’s why:

Scenario 1: SHTF aka Mad Max Post-Apocalypse

We need to remember that mass adoption of cryptocurrencies is still several years away due to price volatility, regulatory scrutiny, and technical complexity. So in a “S**t Hits the Fan (SHTF) scenario” where economic upheaval occurs or society breaks down, not everyone is going to universally accept cryptocurrencies as a method of exchange. In those circumstances, cryptos would likely be worthless.

In a “Mad Max” type of scenario, it’s better to have skills to barter such as woodworking, nursing, butchering, clothes and shoe mending, small engine repair, candle and soap making, etc. Additionally, fiat currencies might not be worth much either.

Perhaps the best option to consider from a “currency” perspective would be having a pre-supply of hard goods such as various size bandages, matches, candles, disinfectants, soaps, shampoos, zip-loc bags, toothpaste and toothbrushes, socks, large garbage bags, bottled water, plastic flatware, paper plates, toilet paper, aluminum foil, plastic tarp, zip ties, duct tape, and hand tools. All of those have multiple uses with heightened value in a SHTF situation.

If the power grid goes down, it will be difficult – if not impossible – to access the Internet and subsequent crypto exchanges to remove your crypto and convert to dollars. Even if you do get your funds converted and transferred to your bank, the banking…