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Being deflationary isn't the problem there. Stealing gold/silver happens because they are small physical objects with objective value that can be stolen from pe
by effie 5y ago
Being deflationary isn't the problem there. Stealing gold/silver happens because they are small physical objects with objective value that can be stolen from people guarding it with enough people with guns. Stealing crypto-assets is much different and given competent security policy, seems much harder to do. These assets are not guarded in vaults by people, but in computers by strong access controls and encryption algorithms.
- ClumsyPilot 5y agoYou would not give up your (hypothetical) bitcoin wallet password even if mafia put a gun to your head? https://xkcd.com/538/ https://xkcd.com/538/
- effie 5y agoI would, but that is a different problem, not specific to deflationary currency. It can happen whether I have dollars, gold, diamonds, crypto-assets. But with crypto-assets, being non-physical, it is possible to easily hide them and also hide who owns them, and then mafia has a very hard time figuring out who to hit with the wrench to get them. Deflationary currency would be bad for the current inflationary system and the small group of extremely rich people, but could be good for most people, who don't want to be in debt their whole life.