From politicians to Wall Street execs: Anyone who says crypto people print money out of thin air is a goofball who doesn't know what they're talking about

This is something as a response to Rep. Sherman. He made a statement that "crypto bros" "print money from thin air." He also said it's okay for the US government to do the very say thing but these a whole other post addressing that. It goes to show either how ignorant and/or arrogant our 'leaders' are, yet they are the ones drafting policies. However, he is not the only individual who makes claims like this. Wall street execs, people who you'd imagine to be well-versed in finance and economics make the same ignorant statement, like Wall Street investment banking and research firm D.A. Davidson analysts. These are not the only two, but just examples of those of even the "upper classes" in society make stupid statements with no pushback or correction.

What really happens is that individuals with money decide to buy some token with unclear value, and bubbles may form with the asset rapidly increase in price due to hype. Sure, a that bubble can caused the crypto token to become grossly overvalued, but no where in the equation is the money coming from thin air. It's just some poor fool paying way more than they should for a token of dubious or even near-zero value with money that existed before coming from fiat. Almost every time a millionaire is made in crypto it's because someone took fiat and bought the token, maybe with a stablecoin as an intermediary, but the money doesn't just come from thin air. Thus it is a wealth transfer, not printing.

There is one exception to this, that being a stablecoin issuers. Since stablecoins are pegged, minting them without reserves can act as printing money. So a stablecoin issuer..let's give them the hypothetical name of Tether. Tether would be able to actually print money similar to the government...but they deserve a post all on their own.