....

Agreed this is a problem when there is a huge double-digit percentage annual debasement due to PoW that is mostly ending up in professional miners hands. The professional miners locate their latest model ASICs next to hydropower plants have 1/4 the electricity costs (compared to residential) and 1/100th - 1/1000th (for a specially designed PoW hash function such as the one I will soon release, not SHA) the computational costs compared to general CPU at home, thus their cost of mining for example a Bitcoin is less than $50 each. They will always have an incentive to add more resources to capture a greater percentage of the mined coins.

But that isn't the only way to structure PoW mining.

There are two ways to deal with this problem:

1) Force every user to submit PoW with their transactions, i.e. no transaction gets on the block chain without PoW attached. Note getting this sort of design to be robust, requires an entirely different way of structuring a block chain. If the attached PoW is low enough difficulty, then it costs more to farm it out (network latency cost) than to mine it locally given it is an insignificant and unnoticeable cost.

2) Limit debasement to a small annual percentage.

In that case, the professional miner will not be able to mine a significant quantity of the coins, and they will not be selling a significant percentage of the market cap. Thus the downward pressure on the price that impacts Bitcoin will be abated....