However, it is also clear that the Bitcoin price cannot more than double every four years for all time. This means that fees are becoming increasingly important for miners. This contradicts the decentralized structure of Bitcoin.
How do we escape this dilemma?
I do not get it, why do you believe Mining becoming increasingly important for Miners will lead to a contradiction in the Decentralized structure of Bitcoin? To me the two have no link. Mining will continue to be important for Bitcoin, we still need Transactions and Bitcoin becoming twice as scarce every four years is in my opinion more than enough to sustain it.
Questions:
- What is the point of a mining process that hardly generates any new coins?
If Block Rewards are about zero by that time and Bitcoin becomes twice as scarce every four years, then it simply sounds like Mining Fees will become worth enough to make Bitcoin Mining desirable to most Miners. Or, there is the option of increasing the number of zeroes after the decimal which I am pretty sure would be allowing for Block Rewards to continue. Although I think it was franky who said before something interesting. Putting another zero after the decimal is about the same thing as making the Bitcoin Supply infinite. Anyway, I do not think that is a solution to be implemented in order to avoid the questions you brought up.
I believe small but worthy Mining Fees are still what will matter and what will continue to sustain a Bitcoin network with no Block Rewards.