Quote from: nuffsaid420 on October 02, 2013, 07:55:04 PM

Ok, I am not exactly sure how this works, so please excuse my ignorance.

Not a problem. None of us know anything until we learn it. Just try not to be so confrontational when you know that you aren't exactly sure how something works. It might have been better to simply ask why it would take 127 years and skip the whole "Let's revisit this statement in another year shall we" part.

Quote from: nuffsaid420 on October 02, 2013, 07:55:04 PM

Would it not be possible to bring online with new technology some mining rigs that do Petahash/s(PT/s) soon?

Sure. And at first they'd solve blocks very quickly. Then within 2016 blocks the difficulty would be adjusted so that blocks would return to occuring at intervals of approximately 10 minutes each.

Quote from: nuffsaid420 on October 02, 2013, 07:55:04 PM

and after that... the machines catch up to and surpass the difficulty level?

Difficulty level just adjusts again every 2016 blocks. The faster the network is hashing, the higher the difficulty. The opposite is also true. If it takes more than a fortnight to create 2016 blocks, then the difficulty will be adjusted down to speed the block creation back up to 2016 blocks per fortnight.

Quote from: nuffsaid420 on October 02, 2013, 07:55:04 PM

So Bitcoin was inherently created to only give out so many BTC based on TIME not difficulty??

Yes, bitcoin is designed to give out so many bitcoins per block, and is designed to try to keep the average time between blocks as close to 10 minutes as can be done with adjustments made every 2016 blocks.

Difficulty is used to adjust the average amount of time it is likely to take to solve a block, so it plays a roll.

Quote from: nuffsaid420 on October 02, 2013, 07:55:04 PM

So even if we find ourselves with a machine that can do 600000000000 MHash/s it would still take 127 years?

Approximately (give or take a few years), yes.