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Bitcoin will conquer weaker currencies first. How could it happen any other way? Even if you're not convinced until you see it conquer USD, you should still ex
by PKop 9y ago
Bitcoin will conquer weaker currencies first. How could it happen any other way?
Even if you're not convinced until you see it conquer USD, you should still expect to see what we're seeing now[0]... weaker currencies falling before strong ones as BTC adoption follows along an S-curve of adoption.
[0] http://nakamotoinstitute.org/mempool/speculative-attack/ http://nakamotoinstitute.org/mempool/speculative-attack/
- mr_toad 9y agoBitcoin is too valuable to be used as currency.
- PKop 9y agoSure as it appreciates rapidly I agree. Eventually the expectation is the appreciation will slow down as X % of global currency/gold value is absorbed into the market cap of Bitcoin. At that point, you would expect to see more stability or at least slower appreciation. Then, the opportunity cost will be much lower than today. Deflationary currencies generally will produce less frivolous spending, which is a good thing. Lower time preference [0] vs fiat high time preference of today's economy will result in much more savings and investment vs consumption spending. Longer time horizons vs short termism that plagues markets now. Overall, an increase in prosperity and economic growth and decrease in debt and credit cycles (BTC immune to M0/M1 credit expansion and contraction = decrease in business cycle roller coaster) [0] https://en.wikipedia.org/wiki/Time_preference https://en.wikipedia.org/wiki/Time_preference