While I'm not as opposed to "fiat" currency as most people, I do look forward to a reasonable p2p alternative. I have been intrigued by bitcoin for going on two years now. However, from the beginning I have thought its monetary policy was flawed. "Flawed" of course is an argument word, but in this case the flaw I saw was that it would lead exactly to this current dynamic.

Lots of others saw the same "flaw". There was a French guy here arguing bitcoin should pay a Universal Dividend. It is a fascinating twist of logic. Morality in his view dictates that every living human receive and equal share of all new money created. The money supply itself should grow 5% a year in order to provide this universal dividend. When pressed the logic for this was to make up for the penalty of having been born later than your predecessors. Ostensibly, some people where here when all that money got created. "They got it for free! So we want some too!"

I just wanted a stable currency. One that wouldn't inflate or deflate over time. Indeed it looks possible to create. It was just that nobody was interested in such a currency two years back. What would be the point? Everyone was going to get rich on the bitcoin plan.