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> mostly unusable currency I suppose that's why it has grown in price in spite of its supply slowly increasing. Because it's unusable! (sarcasm) > "problem" b
by danuker 5y ago
> mostly unusable currency
I suppose that's why it has grown in price in spite of its supply slowly increasing. Because it's unusable! (sarcasm)
> "problem" being solved
In essence, it takes scarcity to make scarcity. So, to get digital scarcity, you have to fork over scarce resources.
But I agree with you that the computing cost is excessive, and the reward function was not well calibrated.
On the other hand, the rate of the explosion in price could not have been foreseen.
- megapolitics 5y ago>I suppose that's why it has grown in price in spite of its supply slowly increasing. Because it's unusable! The fact that the price is consistently increasing is what makes it an unusable currency. A deflationary currency is a useless medium of exchange as any rational actor will not spend it due to the potential future increase in price. I hold multiple crypto assets but I think you have to be kidding yourself if you think that Bitcoin and the like are usable currencies.
- danuker 5y agoComputer hardware has gotten exponentially cheaper in the past half-century. But people keep buying it. I am looking to buy a flat, so I will spend some of my Bitcoin.