Quote from: Findeton on June 04, 2011, 12:47:05 AM

I actually think that it will stabilize when the number of people using it stabilizes for a long time. Perhaps that will happen after some bubble bursts.

And perhaps it will never happen. Given that the number of computer and internet users hasn't "stabilized" until now and is not expected to stabilize in the foreseeable future, what makes think the number of bitcoin users will stabilize anytime soon, if ever? And even if it stabilizes, we still have the 19% deflation problem!

Quote from: goatpig on June 04, 2011, 12:49:27 AM

This example was to show you, with data to support it, that the behavior you're expecting in a deflationary market just isn't happening.

And I explained that what I "expected" wasn't a lack of transactions. It's about the purpose of those transactions. And even if all those transactions were genuinely for consumption (which is impossible because consumption doesn't increase the price ten-fold in a month), why isn't a stable currency a better idea anyway?

Quote from: goatpig on June 04, 2011, 12:49:27 AM

Are you trying to say people won't buy food, lodging, clothes, transportation, energy and god knows what else because they're on a deflationary currency?

No, but they won't buy those things using a deflationary currency. They will simply use another medium while saving the deflationary currency under the mattress for a rainy day (or until they feel the price might drop soon and exit the market safely, only to sell the money to a new hoarder)

Quote from: goatpig on June 04, 2011, 12:49:27 AM

Why exactly do you want more transactions as the unique result from an economic model as opposed to natural market levels.

Because the "natural" market levels is based on perpetual built-in deflation. That's a natural pyramid scheme not a natural stable medium of exchange.

Quote from: goatpig on June 04, 2011, 12:49:27 AM

Besides that it is unfeasible and no one would use such currency? Nothing.

Elaborate please.