Immigration is a hot topic right now.
For much of the world, it is an election year. Hence, this is a hot political topic.
Over the past 5 years, the amount of migration has accelerated, only slowed by the COVID years where travel was difficult. However, the last couple years saw this kick into overdrive.
While much of the focus is on refugees, there is another class that moves but for an entirely different reason. This is the millionaire class who relocate with an eye on capital preservation.
Could we see a third class starting to emerge?
In this article, we will look at the idea of crypto-migration.
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Crypto-Migrants: The Next Generation
In the past, we discussed how remote work is growing in size. This is going to kick off the globalization of real estate.
Behind this concept is the fact that most migration, at least in the developed world, was based upon job prospects. This led to the artificial urban real estate bubble where demand pushes the prices up.
With remote work, national borders will have little meaning. This means people will chose areas based upon factors other than the job prospects.
If jobs remain, this is likely to emerge.
Going one step further, what about the people in crypto? They are, in many nations, an ostracized bunch. We see this happening in the United States for the last few years.
Obviously, within the crypto world, people are making money online. This would put them in the remote work pool. That means national boundaries are not as important.
The question is when people start to exercise their ability to move about.
If this becomes widespread, we could see hundreds of thousands of people migrating to those areas where they are treated better.
Capital Flows To Where It Is Best Treated
There is a concept about capital going to where it is treated best.
This is the epitome of a global concept. Capital is not hindered by national boundaries. Money flows around the world on a daily basis. Many monitor the capital flows as a means to determine what is taking place.
Crypto is a bit different since they are not based in any single country to begin with. We can likely extend this to most digital assets.
However, if we see the evolution of the concept, does this apply to crypto holders. Could we see a time when massive amounts of crypto holders locate to where they are treated best?
If this does occur, we could see crypto migrants becoming commonplace.
Network Economies
The digital realm is going to see the formation of network economies. This is radically different from the concept of a national economy.
Most relocate to those areas that offer better job prospects. The crypto migration is more aligned with what the millionaires do.
This means that where one is located is less important in the future.
The difference is we could see the numbers much bigger than we presently see. Also, when capital holders move, it has more impact on both the nations relocated to and from. Both countries are impacts but in opposite ways.
It is a step forward that could have major impacts. Does it happen? A lot depends upon what governments do. If regulation is oppressive, people will simply leave. When they have resources and a lack of incentive to stay, they will simply opt out.