Post
Topic
Board Bitcoin Discussion
Re: Down to zero it goes!
by
iya
on 26/06/2011, 18:23:39 UTC
For fun's sake, let's compare dollars to gold

$1.00 in 1800 held in a bank as a CD with, let's say 2.5% continuously compounded interest, would be worth about $178 today.
$1.00's worth of gold in 1800 would be worth $72.66 today. (Sources: "Gold Standard" of $20.67/oz and $1502/oz spot price today)

Clueless OP, what was your point again?

That's not a fair comparison, since most of the time-span, theoretically until 1971, the dollar was pegged to and/or backed by gold.
So these 2.5% interest would have been paid in gold for the majority of years. It's also no secret that gold inflates at ~2% per year because of mining.