Quote from: macsga on June 12, 2015, 12:55:53 PM

Quote from: Bicmac1973 on June 12, 2015, 12:35:19 PM

Quote from: macsga on June 12, 2015, 10:58:13 AM

Quote from: Bicmac1973 on June 12, 2015, 10:49:23 AM

Adopting BTC as national currency would be suicide for Greece. Their problem is not that the Euro inflation is too high, but it is too low. Bitcoin is deflationary in the long term, so their debts would explode, when BTC price rises.

That would be contrary to the aforementioned Gresham's Law. I'd indulge you to read it here: https://en.wikipedia.org/wiki/Gresham%27s_law

The undervalued currency would (in this case) be the EUR. That means the debt in EUR will be lowered as the BTC would go up and finally eliminated when BTC reaches a high rate. Such an experiment is -of course- non applicable on a country under a sovereign coalition, so we can only assume here (both me and you) what we *think* it will happen.

You could also be right and me just typing nonsense here.

Thanks for the link, quite interesting lecture. My conclusion is that we talked about two different things: Gresham's Law is driven by the public, while the official legal tender is issued by more or less state-controlled institutions. It may well be possible that the greece public will adapt BTC as an unofficial currency for everyday use.

Yanis Varoufakis has an opinion regarding Bitcoin though. The following article is more than 2 years old and I am sure it has already been posted here. But maybe someone finds it interesting:

http://yanisvaroufakis.eu/2013/04/22/bitcoin-and-the-dangerous-fantasy-of-apolitical-money/

Your conclusion is right; Bitcoin cannot be issued by Greek Govt. (like i.e. Drachma). The idea though, is to legalize its use as a second currency and let Gresham's law take over. I know about Varoufakis thesis on the subject but it seems he somehow changed his ideas from 2013:
1. http://yanisvaroufakis.eu/2014/02/15/bitcoin-a-flawed-currency-blueprint-with-a-potentially-useful-application-for-the-eurozone/
2. http://www.grreporter.info/en/varoufakis_advisor_singaporean_bitcoin_company/12732

Look, we're chasing dragons here. I know what I'm proposing is beyond the wildest imagination of the most insane speculator here (NLC? Grin

) but; that's what we are here for... right?

I think he didn't change his ideas so much. In the first article, he again bashes Bitcoin for being deflationary, but proposes a more or less government-controlled "FT-Coin" altcoin with built-in inflation as a special feature. He is definitely not the first one with wet dreams about a tamed government- or bank-controlled bitcoin with freely configurable inflation rate though. Wink

The second one is about a consultancy service he provided to a company in Singapore. It does not contain any remarks regarding his opinion related to Bitcoin.

Just let's hold our coins and see what happens ...