Quote from: zipmaster on February 07, 2014, 05:18:26 AM

Quote from: WynX on February 06, 2014, 11:28:12 PM

Interesting, so I agree the divisibility of the currency itself is not a problem. Even the bit-wise convenient satoshi*10^-3 is more than enough.
Do you think the need for massive deflation for bitcoin when successful adoption of the coin *occurs*, is being hampered by the current distribution of the money supply? Simply put, everybody on bitcointalk (owning some coins) now are the future miljonairs? The rich in bitcoin now, are going to buy their own countries?

http://i57.tinypic.com/1570kgi.png

Does it really seem feasible to expect such a sudden shift of wealth?

No, with deflation I would think the shift in wealth to be minimal. The utility curve of money for individuals flattens out for larger wealths. As an example, the difference in net wealth of 100 million vs. 10 billion has the potential to change the actual quality of life by an amount which is much less than the difference between 10k vs. 100k. As a result, as currency deflates, the ultra rich find themselves holding excess wealth whose utility is of small effective value.

In a deflationary economy, wouldn't the ultra rich be induced to spend more since their wealth is less useful" to their own quality of life over time?

So distribution should be fair at the beginning

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