Post
Topic
Board Bitcoin Discussion
Bitcoin - how to protect its value
by
nightwatch
on 10/02/2011, 21:09:53 UTC
I'm new to bitcoin idea and find it very interesting, however I've got a question:
how do you protect your wealth from inflation? I know the Bitcoin system is internally protected from an uncontrolled inflation as only a limited amount of currency can be in circulation, but what would happen if Bitcoin became a popular currency with market worth USD millions? Wouldn't it make people clone it and produce an unlimited amount of alternative cryptocurrency systems based on the value of CPU work? Wouldn't these BTC alternatives gradually erode the purchasing power of Bitcoin? Or would BTC value remain constant no matter how many alternatives are there?