Lysander Spooner on Nostr: Bitcoin is not becoming more expensive lol. Nor is it going through adoption, in any ...
Bitcoin is not becoming more expensive lol. Nor is it going through adoption, in any meaningful sense. Trying to enforce deflation through central planning failed.
Nayib Bukele could buy 100% more BTC today if he just hodled USD until 6 Feb 2023, instead of trying to get in early and profit off the centrally planned deflation that never was. The opposite happened. https://nayibtracker.com
Saylor could buy $1BN more BTC today if he just hodled USD until today, 6 Feb 2023, instead of trying to get in early and profit from the centrally planned deflation. https://saylortracker.com
But since Bitcoin maximalism is based on prophecy, the in-group still talks *as if* the centrally planned deflation is actually working, or will actually work. Failed prophets are never obvious to their followers, because the future is perpetually not here yet to inspect.
Volatility is what makes something unsuitable as currency, not necessarily in either direction. Inflation *or* deflation corrupts it's use as a dispassionate medium of exchange, and turns the medium itself into more of a deciding factor as to whether the exchange even occurs.
Re. "during the migration from fiat to bitcoin" -- Bitcoin is fiat, hon. That 21M number was completely arbitrary and pulled out of thin air. It doesn't even appear in the holy whitepaper. It can be changed by the 6 or 5 core devs any time. Yes, you can fork but that's a different convo. Proof of Waste is not mechanically tied to production of coin, or there would be more production if there was more mining (it would be market-determined, then, and act as a stabilizing factor to offset swings in demand). But there's not, the same amount of digital reward points are produced per day if there are 1 billion miners breaking encryption or just 1.
This makes the rate of supply artificially fixed and totally unresponsive to changes in demand and price. This guarantees volatility, as all the price needs to swing wildly is a change in demand. There is no way to offset it. Bitcoin is forever going to be unsuitable to anything that resembles reliable economic calculation in advance relative to any other good.
"1 BTC = 1 BTC" is the thought-stopper I usually get when talking about rates of exchange with other things lol, which totally misses the entire purpose of an exchange currency.
Nayib Bukele could buy 100% more BTC today if he just hodled USD until 6 Feb 2023, instead of trying to get in early and profit off the centrally planned deflation that never was. The opposite happened. https://nayibtracker.com
Saylor could buy $1BN more BTC today if he just hodled USD until today, 6 Feb 2023, instead of trying to get in early and profit from the centrally planned deflation. https://saylortracker.com
But since Bitcoin maximalism is based on prophecy, the in-group still talks *as if* the centrally planned deflation is actually working, or will actually work. Failed prophets are never obvious to their followers, because the future is perpetually not here yet to inspect.
Volatility is what makes something unsuitable as currency, not necessarily in either direction. Inflation *or* deflation corrupts it's use as a dispassionate medium of exchange, and turns the medium itself into more of a deciding factor as to whether the exchange even occurs.
Re. "during the migration from fiat to bitcoin" -- Bitcoin is fiat, hon. That 21M number was completely arbitrary and pulled out of thin air. It doesn't even appear in the holy whitepaper. It can be changed by the 6 or 5 core devs any time. Yes, you can fork but that's a different convo. Proof of Waste is not mechanically tied to production of coin, or there would be more production if there was more mining (it would be market-determined, then, and act as a stabilizing factor to offset swings in demand). But there's not, the same amount of digital reward points are produced per day if there are 1 billion miners breaking encryption or just 1.
This makes the rate of supply artificially fixed and totally unresponsive to changes in demand and price. This guarantees volatility, as all the price needs to swing wildly is a change in demand. There is no way to offset it. Bitcoin is forever going to be unsuitable to anything that resembles reliable economic calculation in advance relative to any other good.
"1 BTC = 1 BTC" is the thought-stopper I usually get when talking about rates of exchange with other things lol, which totally misses the entire purpose of an exchange currency.