>...bear the transaction costs. > ...users wanting to transfer money so they have to pay for this service. Wrong! ;-) You are misunderstanding and implying, on

>...bear the transaction costs. > ...users wanting to transfer money so they have to pay for this service. Wrong! ;-) You are misunderstanding and implying, once again, that transaction costs are somehow "adding value." Bitcoins, like all financial instruments, exists _because_ of the transactions. The transactions _are_ the thing that makes financial systems live. Only parasites live at and leech off the system at the transactional level. Miners don't mine because of any arbitrary value in a product. They mine because the results of mining is going to be transacted. Putting all the costs, at the point of the miners means the "most fair" deal for everyone. (You can read that as Socialism if the word sticks in your craw. ;-) The costs go up-front at the point where the bitcoin goes into the system. It doesn't mean the miners get less overall so much as it mean everyone gets less but effectively only one time. As time goes on and resources become scarce and mining costs go up, transaction "costs" are subsumed into mining to a vanishing small amount. Transactions are effectively free which means that the market is open to everyone, regardless of wealth, without siphoning off capital into the hands of the 0.1% and out of the pockets of the rest of the people.