Quote from: adzino on February 22, 2020, 02:16:20 PM

Quote from: johnyj on February 22, 2020, 09:44:04 AM

Quote from: adzino on February 21, 2020, 11:04:34 PM

-snip-
3.I don't see any correlation between fiat money supply and the exchange rate of the coins. Again, increasing fiat money supply would end up being a disaster. Good luck keep up with the inflation with the increase of sudden money supply.
-- fiat money supply generally increase the total fiat income of the whole planet, and that will raise the exchange rate of cryptocurrency since the buyers are getting more fiat money each year

Actually this thought just came over me when I saw this a few days back:
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You probably are not thinking right. The price of Bitcoin/cryptocurrenies might increase, but you "won't" be able to buy "more". The sudden increase of fiat money will cause the aggregate demand to increase (a shit on the right curve takes place) but the amount of "goods" (output) remains the same. This means that more people will be chasing the same amount of goods, thus causing the price of the goods to increase at an abnormal rate. This ultimately means that you won't be able to buy more instead, there is a chance of you being able to buy even less than before. In the long run its just going to cause inflation.

Like buying land in NewYork or very populated capitals, the lands are mostly sold out, the only way to get a piece of land is to first find someone who want to sell because of some situation and then raise the price to defeat other bidders

My point is, unlike NewYork or other big cities, the land on cryptostar is very secure from any kind of violence. Of course those lands are not able to provide some physical usage like on earth, but besides physical usage, human still have lots of other demands, being secure from any kind of violence itself is already a demand, and another demand will be investment return

You can compare this to investment in some developing country, it could be food production or car construction, the final result is that your capital gained

Why did your capital gain? From a micro level, it is because you did some production/service for the people in that country at a low cost and you get very good sale. But from a macro level, your business will be very difficult to generate any return if the money supply in this country did not increase

So, the ultimate reason that your investment generated return is because:
1. You produced something that have a high demand in this country
2. The country have increasing money supply

Now to this cryptostar, it is similar, the star's land have high demand, and increasing money supply from earth. If you could produce land for this star (mining), you will get a good return, or you just simply buy and hold land, because anyway not so many land left for producing