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Posts: 2239 from 2003/2/24
Quote:
takemehomegrandma wrote:
The Bitcoin system can for example only have 21 million coins available. There won't *ever* be more. Bitcoin currently has 17 201 950 of them mined.
Which sounds like a good idea, but really is a bad one.
Cos if Bitcoin ever got adapted as payment to some degree it would have deflation written into it's genes.
Deflation in a consumer spending based economy is pure poison as it will lead to hoarding and delaying spending, both will even more decrease the amount of Bitcoin in circulation.
Actually that kinda already happened.
At 1st it was just a novel way to waste CPU cycles (just like SETI or DNETC) and at one point if became a possible to order a pizza or suchlike with it.
When that spread, demand for Coins grow and in came the speculators.
Right now no one offers anything for BT, shops may offer to pay xxx $/€ via Bitcoin, but that something completely different.
In order for any crypto to really take over as money it would need to be able to adapt the number of coins to how widely it is used.
