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Board Beginners & Help
Re: Why such agreement that Deflationary currency is a bad thing
by
pyra-proxy
on 28/04/2013, 02:11:03 UTC
Bitcoin is not Deflationary currency. Current yearly inflation of Bitcoin is higher than fiat. In your whole life Bitcoin will be inflation currency, though the inflation rate decreases every year.

How can it be inflated when the supply of Bitcoins cannot be changed? People like you need to look up the dictionary definition of inflation, this is to do with money supply, not speculation, which are both entirely different things.

ehm, 144*25 BTCs are created daily, thats why inflation

This does not necessarily mean its inflationary.....  inflation also takes into account demand as well as supply, for instance if everyone in the world started using bit coin tomorrow even with all those shiny new coins you would see massive levels of deflation and this IMHO is why btc price is generally on the rise and will continue upward again soon, simply put the bit coin community is growing and very likely faster than new coins can accommodate right now.