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You're confusing monetary deflation with price (value) deflation. Yes, BTC is monetarily inflating, but 1) It's all baked in. We know exactly how much BTC is
by imaginenore 11y ago
You're confusing monetary deflation with price (value) deflation.
Yes, BTC is monetarily inflating, but
1) It's all baked in. We know exactly how much BTC is generated and will be generated and when it will stop.
2) The demand for BTC is growing, so we don't see the price collapsing exponentially.
- zanny 11y agoThe problem with bitcoin is inevitably the monetary base starts contracting irreversibly whenever coin generation is eclipsed by lost wallets. It is actually a great place to store value, buy BTC, and over time there is just less BTC so BTC becomes more valuable. Its not good for a daily currency to run an economy on. Something like dogecoin would do that better, albeit even doge is kinda doing it wrong because they just linearly increase the monetary base by 5 billion a year forever.
- imaginenore 11y agoHow is that a problem? Somebody loses his wallet, my money is worth a bit more. That's awesome.