Saifedean Ammous:

“Fiat money is essentially designed to optimize for conflict. It relies on authority and power to function, as you must trust someone’s word regarding how the ledger operates. This necessitates the imposition of will, leading to conflicts both in domestic politics, where everyone wants control of the money printer, and in international politics, where everyone wants to control the global reserve currency. This high-stakes environment naturally pits people against each other, both within countries and globally.

This system is a negative-sum game, where everyone is trying to protect themselves from the destruction of capital and wealth. In societies experiencing hyperinflation, people often become angry and confrontational, feeling robbed and wronged. With no clear perpetrator to target, this anger can lead to a desire for revenge and restitution.

If people haven’t studied inflation, money, or Austrian economics, they may not understand the cause of their plight and seek a scapegoat. In such situations, ethnic minorities often become targets, especially if they are perceived to be more successful due to connections, trade, or expatriate communities.

Fiat money fosters division and prevents the natural order of society from functioning. In a natural order, people can work, save, accumulate capital, and grow their savings over time, reducing the need for conflict. However, with fiat currencies that inflate, individuals are continually robbed, leading to constant conflict with those around them.”

Add racism & nationalism to the mix and you have a cocktail for disaster.