3 ms·

> would you take a mortgage denominated in Bitcoin? Of course not! If its price continued to go up Only so long as Bitcoin is pegged to the USD. Once Bitcoin b

> would you take a mortgage denominated in Bitcoin? Of course not! If its price continued to go up Only so long as Bitcoin is pegged to the USD. Once Bitcoin becomes the basis of value, and the USD is pegged to Bitcoin instead, things become different. Bitcoin stabilizes. You take a loan in Bitcoin, you take a salary in Bitcoin. Bitcoin isn't going up anymore in this scenario because it's not related to fiat currency. You're still thinking in terms of BTC going up in USD. 1 BTC = 1 BTC

seoaeu 6y ago
So you're saying that BTC will be a good currency once it stops being deflationary?
- eric_cc 6y ago
  I think BTC and crypto are already good ways to transfer value. I think it'll "stabalize" in time such that it'll be boring in terms of its volatility.