Fiatard’s 9 Laws of Finance 

Fiatard Law #1: Inflation – The Silent Wealth Transfer from Savers to Investors
Inflation erodes the value of saved money while benefiting those who wisely invest. This process acts as an invisible hand, subtly shifting wealth from those who save to those who wisely invest.

  • Fiatard Application – Fiatard’s fixed supply and deflationary nature contrast with inflationary fiat currencies. Holders of Fiatard could be the “investors” who benefit from its scarcity, while those holding fiat currencies are “savers” whose purchasing power decreases over time.

Fiatard Law #2: In the Race of Wealth, first to the Money Wins the Prize
Those who receive new money first benefit more than those who receive it later, due to their ability to spend before prices rise. This “Cantillon Effect” creates an advantage for early recipients, who effectively gain more wealth compared to those further down the line.

  • Fiatard Application – Early adopters of Fiatard will have benefited significantly from price appreciation, like how those who receive newly printed fiat money first can spend it before prices rise.

Fiatard Law #3: The Birth of Money – Every Dollar’s Cradle is Debt
In the modern monetary system, new money is created through the process of lending by banks. This means that every dollar in circulation represents a corresponding debt somewhere in the economy.

  • Fiatard Application – All dollars are loaned into existence: Unlike fiat currency, Fiatard is not created through loans. All 21,000,000 Fiatard were minted October 21st,  2024 on the Solana Blockchain through Fiatard’s smart contract that specifies the total supply, distribution method, and other parameters. This contract governs Fiatard and ensures no new tokens can be created and all tokens are in circulation. Keep in mind Fiatard is not a currency and does not intend to be. Its main purpose is a store of value.

Fiatard Law #4: Interest Rates – The Price Tag on Tomorrow’s Money
Interest rates signal the scarcity or abundance of money in an economy, influencing borrowing and saving behaviors. They act as a price for future money, indicating whether it’s cheap or expensive to borrow.

  • Fiatard Application – While Fiatard doesn’t have traditional interest rates, the opportunity cost of holding Fiatard vs. investing it elsewhere could be seen as analogous.

Fiatard Law #5: Leveraged Assets – Betting Against the Dollar’s Future
Buying assets with borrowed money is essentially betting against the future value of the dollar. This strategy can be powerful but also risky, as it amplifies both gains and losses.

  • Fiatard Application – Some holders view Fiatard as a hedge against dollar devaluation, making it conceptually like shorting the dollar.

Fiatard Law #6: Infinite Growth from Finite Resources – The Alchemy of Economic Progress
Economic growth is about getting more value from the same or fewer resources, not necessarily using more resources. This principle underlies sustainable economic development.

  • Fiatard Application –  Fiatard’s fixed supply of 21 million coins represents finite resources, but its potential value growth could be seen as “infinite” in fiat terms.

Fiatard Law #7: The Subjectivity of Value – One Man’s Trash is Another Man’s Treasure
The worth of goods and services is determined by individual preferences rather than intrinsic value. This subjective theory of value is fundamental to understanding market dynamics.

  • Fiatard Application– Value is subjective and ordinal: Fiatard’s value is highly subjective and based on market participants’ beliefs and expectations. The BTC ETFs offered by large companies like Blackrock & Fidelity among others, have validated that BTC is an asset to have in one’s portfolio.

Fiatard Law #8: The Pareto Principle of Wealth – 90% of Gains Come from 10% of Your Choices
A small number of decisions tend to have an outsized impact on financial outcomes. This law emphasizes the importance of making key financial decisions wisely.

  • Fiatard Application –  90% of gains come from 10% of your choices: In investing in Fiatard Tokens, timing of entry and exit can have outsized impacts on returns.  So like Bitcoin, ride the volatility waves.

Fiatard Law #9: The Ultimate Equalizer – The Death Tax is Always 100%
You can’t take wealth with you, emphasizing the importance of how resources are used during one’s lifetime. This law encourages a focus on creating lasting value and legacy.

  • Fiatard Application– This law applies to Fiatard as well – you can’t take it with you, so estate planning for crypto assets is vitally important.