...
Assume I have 10 bitcoins today. Ten years from now I go to spend them and have the 2% annual "fee" taken. I can only spend 8 bitcoins. I have lost twenty percent of the bitcoins I owned. That is a loss of value. If, as you stated, bitcoin is only a currency the exchange rate is irrelevant.
...
Wrong! If the price of let's say a car in Bitcoins today is 10 BTC and the price of a comparable class car in ten years is 8 BTC you haven't lost any value. You have lost a
nominal amount of 2 BTC, but have at the same time retained the full value of your assets in BTC.
I am not sure where you learned math, but if I have $1000 today and in 10 years, you take $200 as a fee and I have $800, I have lost $200 in value. I have lost 2% per year (not compounded). Same for bitcoin. Saying that is "Wrong!" is at such odds with math that you clearly need to review it. I started with 10, you took 2, I ended up with 8. That is a loss.
Where I come from 2 BTC is not "nominal". Right now it is nearly $2000. Hardly a nominal amount. Also, there is no guarantee that it will appreciate so you can't say, but in fiat terms you are still ahead. Finally you assume that I intend to cash my bitcoin out for an inflating currency to buy a car. Why would you assume that someone wouldn't just sell me a car for BTC?
Here is my final thought on this since you are having serious problems having a civil discussion: if you don't like Bitcoin, go to freicoin or fork bitcoin with a rule that will steal 1-2% of their bitcions each year. Or start an alt-coin. If you think this is a brilliant idea that will save bitcoin from itself, put up your time where your mouth is. Instead of arguing here, fork bitcoin and see if you can get people to follow you. You should have no problem since this is such a wonderful idea.