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The situation is not much better with inflating fiat currencies. Those who are closer to the money spigot have an advantage over those who are further way.

• rmc 15y ago
  It's no where near as pronounced with fiat currencies as it is with bitcoin. Only a few currencies have experienced this level of hyperinflation that bitcoin has (e.g. weimar republic, zimbabwe), and those currencies have failed.
  • BarkMore 15y ago
    If inflation is defined as money supply growth, then bitcoin is not hyperinflating. The rate of bitcoin inflation is decreasing over time until it reaches zero. If inflation is defined as the rise in prices of goods, then bitcoin is deflating.
  • zacharypinter 15y ago
    Isn't bitcoin experiencing some sort of hyperdeflation, not hyperinflation? The strange thing here is not that too many coins are being created, it's that the demand for bitcoins is increasing faster than the supply. The coins are becoming hypothetically more valuable, not less.
  • RickHull 15y ago
    Under hyperinflation, each monetary unit is worth less and less. Your complaint about bitcoin is that each unit is worth more and more. Your analogy makes no sense.