Instead you just chirp about currency, deflation, mining costs, volatility - the same shit we've heard from countless others in the past, and surely countless others in the future.
Windjc:
I know that I am catching you in the middle of another conversation; however, I frequently am having concerns about the deflationary aspects of bitcoin. DONT get me wrong... I am bullish on bitcoin, but I remain quite concerned about its lack of expansion.... surely it is expanding at around 10-12% per year, and that will decrease. Probably o.k. to have btc for a store of value.. but questionable as a currency with such lack of expansion of the supply.
Personally, I recognize the near infinite divisibility but am more concerned about the ability for BTC to continue to adjust to the increased population, lost coins etc..
Surely, this may be a real long term problem, and NOT really as much of a problem in the short term, but NONETHELESS the problem concerns me.... b/c if there becomes a great demand, it could cause the value of BTC to increase way too much.. and way to exponentially...
The technology world has lived in a state of price deflation for 20 years, yet Apple is the biggest company in the world.
Inflation doesn't work. Proven. I certainly do not see why we wouldn't give deflation a chance.
Don't get me wrong. Currently, I am NOT objecting to trying out BTC and to see how it plays out but currency deflation seems to be way too liberating to poor people in my current understanding of capitalism.
Accordingly, capitalism works by exploiting people and creating an incentive for people to work. For example, if any schmuck can get a bitcoin (or fraction of a bitcoin) when he is a baby (and then stashes it away), then he would never have to work a day in his life by the time he is 18 years old.
Maybe I am being too narrow minded to think that way, but compounding interest is a powerful thing and if BTC is guaranteed to go up every year by even as little as 10-15% (and those are conservative numbers based on the supply issue and I would think that the guaranteed price increase would be greater than 15% annually). BTC would change the whole dynamics of the world and incentives for labor......
Maybe there is a way to make this deflationary aspect of BTC work, but the whole deflationary concept puzzles me b/c it is a very different dynamic than the one that we are used to within the current scheme of things and incentive structures. Rich people are NOT going to want poor people to have guaranteed avenues to become rich, so the more ingrained bitcoin becomes, the more the rich are going to want to fight to keep poor people from getting the advantages of it... that is part of the problem of the deflationary aspect, in my current thinking.
Look, I am not one that believes that bitcoin is going to become the premier or even "a" premier currency in the world. I do however believe that bitcoins first mover advantage is a massive advantage. Bitcoins power (just like gold) comes from peoples belief in its value first and foremost. That isn't going to change, its going to grow. Second, the applications being built on top of the protocol are going to more and more valuable. Just like html was to the development of the internet. We truly don't know where this technology will become. Probably something we haven't though of yet.
But even if bitcoin is a little bit of a lot of things - frictionless payment system, currency, store of value, remittance vehicle, collapsed state secondary currency (see NEO/BEE in Cyprus), trade payment system, trust and will platform, it doesn't matter. There are only 21 million of these coins. And there are 7 billion people. It doesn't take a lot for bitcoins price to be in the high 5 figures or 6 figure range. And when it gets there volatility will actually be a helluva lot less too.