The sheer intensity of this thread puzzles me.

Lets assume you're right, Satoshi really does have 1 million coins all to himself. Currently there are 11 million coins in circulation, and that number is growing by 1.3 million per year. (~12% inflation)

So he dumps every last coin, all at once. That's 9% of the market cap, maybe 18% if you assume half the coins mined to date have been lost. In a rational economy I'd expect that to make the price drop by 18% Lets triple that for good measure, giving us 60% In the past week Bitcoin has gone from a high of $265 to a low of $55, an 80% drop, and Bitcoin is still going strong. I dunno about you guys, but I have a double-digit % of my wealth tied up in Bitcoins, and I spent the past week thinking "Cool!" and having a good laugh at Gavin's twitter comment about speculators and squirrels - if you can't afford to lose 100% of your high-risk investments, you shouldn't have them. I know I could walk away from every bit of time and money I've invested in Bitcoin thinking it was fun while it lasted. But my other hobbies include cave exploration and rock climbing; activities with a very real possibility of losing your life give you some perspective about the meaning of risk. That perspective might explain why in my experience caving, unlike Bitcoin, is dominated by average middle-aged men and women (nearly 50:50) with average jobs who take a sober, calculated approach to taking risks.

In any case, Satoshi selling every single one of his supposed 1 million BTC hoard just won't affect the economy all that much in the grand scheme of things. If anything, I think it would be a positive development removing a lot of uncertainty: he can only do it once!