Post
Topic
Board Speculation
Re: Halving guide for noobs: Why it's not possible for halving to be priced in now
by
Ultrafinery
on 14/05/2016, 12:43:31 UTC
Basically in a halving situation, the economy is in a deflationary scenario.

In all deflationary scenarios the price of goods fall, in this case bitcoin will gain value, against fiat currencies.

1. "In a halving situation, the economy is" NOT "in a deflationary scenario." Decreasing base money supply and "economy [experiencing] a deflationary scenario" are two totally different things.
2. After the halvening, Bitcoin base money supply will continue to grow ("inflate"), just at a slower rate; will only be ~5%, instead of the ~10% we're seeing now.