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Its like when Saudi Arabia and all OPEC nations cut their oil output in half, without all the drama. easy to understand right?
by vmception 7y ago
Its like when Saudi Arabia and all OPEC nations cut their oil output in half, without all the drama.
easy to understand right?
- tootie 7y agoOil value is based on supply and demand. Bitcoin value is purely arbitrary.
- vmception 7y agoa halving has nothing to do with its value. demand stays the same, supply cut in half. analogy fits no matter which asset class you happen to respect more
- lkbm 7y agoSupply growth cut in half. Unlike oil, BTC doesn't get used up.
- vmception 7y agoYes, supply growth. A semantical distinction not used in any other asset class so why here? Maybe it does better help someone understand, here's to hoping. But in any case, BTC does get burned in a variety of ways - immovable unable to be spent - in predictable ways based on the poor but improving user experiences. When it isn't burned, people look at the days destroyed metric to understand the actual supply.
- tootie 7y agoI suppose it's more apt to say that demand is arbitrary. Demand is currently based on perceived demand.