Quote from: ranochigo on Today at 08:58:57 AM

It depends on how you interpret it. The key thing about the value of a currency is the amount of currency in circulation, not the entire possible supply of the currency.

I have to disagree, the main marketing point for BTC economy is it's capped 21M, nobody knows what is the current supply unless they google it, and nobody even cares about it, the same concept of the 21M max supply has been in play since bitcoin's inception, I have yet to see anyone who invests into bitcoin because it's current supply is 19.x M.

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Case in point, if we do not see high adoption rates by the time mining rewards dwindle even further, it would just be an indication that Bitcoin hasn't been a successful experiment

I don't think that would make BTC unsuccessful, in fact, I do think that the number of transactions is going to enter a downtrend at some point, despite BTC gaining more popularity and users, BTC seems to work better as a store of value than a medium of exchange for daily usage, the more value it gains (vs other goods) the less it will spent, I think in 5-10 years transactions will be close to flat, everyone will be buying it to store, so the average user who makes 1 transaction a day will likely only have 1 transaction a year or so.

Quote from: o_e_l_e_o on Today at 10:11:53 AM

If I have $100 and you take 1% of it, my money is now only worth 99% of what it was worth.
If I have $100 and you inflate the supply by 1%, my money is now only worth 99% of what it was worth.

Ya pretty much as what ranochigo said, it depends on how you want to interpret it, you guys are looking at it from a personal perspective and the effect on the user individually, I look at it as a global effect on the whole currency, while the numbers are the same, the effect is likely to be a lot of different, especially if the fee is very low, say it's 0.1% a year on all coins, by doing this you maintain one of the most aspects of BTC economics which is the finite supply, going beyond 21M even with 0.1% coins a year will take away the concept, so the difference between circulation 0.1% and injecting new 0.1% supply is pretty large, its the difference between finite and infinite.

When miners take 0.1% of your coins it doesn't make Bitcoin less scarce, the scarcity of bitcoin remains the same regardless of the fact that you now own a little less of it, when you create 0.1% out of thin air and give it to the miners, every block that passes affects the scarcity of the coin, the effect this could have on it's value is probably going to be more than fee which you could otherwise pay to the miners just to keep that 21M cap.