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Many cryptocurrencies are deflationary and/or have fixed supply; I cannot say the same for the dollars in my bank account. https://fred.stlouisfed.org/series/
by JohnJamesRambo 5y ago
Many cryptocurrencies are deflationary and/or have fixed supply; I cannot say the same for the dollars in my bank account.
https://fred.stlouisfed.org/series/MABMM301USM189S https://fred.stlouisfed.org/series/MABMM301USM189S
- threevox 5y agoThat's why you don't store money in your bank account, you keep it in investment vehicles which also appreciate in value over the long run (not the best inflation foil, but an OK one)
- JohnJamesRambo 5y agoInvestment vehicles like the stock market are being propped up by the money printing, so I don’t consider that a good alternative. That’s just a game of musical chairs that stops and usually the poor people and those furthest from the money printer are the ones without a chair.
- CPLX 5y ago> Many > fixed supply Perhaps we've identified a small crack in this otherwise bulletproof logic.
- rchaud 5y agoBitcoin's near infinite divisibility weakens the fixed supply argument, does it not? The smallest possible fraction of a dollar is $0.01. You can transact BTC in denominations with a lot more zeros behind the decimal point.
- JohnJamesRambo 5y agoRead more about Bitcoin and what fixed supply means. There will only be 21 million Bitcoin ever, but the dollars keep being printed en masse. This makes each Bitcoin continually worth more and each dollar continually worth less. https://www.visualcapitalist.com/purchasing-power-of-the-u-s-dollar-over-time/ https://www.visualcapitalist.com/purchasing-power-of-the-u-s...
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