I think what is being forgotten is that while a currency must not be inflationary to be a good store of value, it must not be deflationary as well to be a good medium of exchange. That's not what bitcoin is at the time of ongoing bitcoinization, and that's why it's difficult to promote as a MoE.
**Your wealth is fading silently **
The obsession with "store of value" alone isn’t healthy. It’s much better to embrace all three characteristics of bitcoin at once.
- 💭 Think in bitcoin, so you get real insight into how the value of your assets is evolving.
- 📈 Save in bitcoin, so you don’t lose your wealth.
- 💪 Pay in bitcoin, so no one can stop you from doing so.
Read the full article here:
https://github.com/hynek-jina/Hynek/blob/main/blog/Your%20wealth%20is%20fading%20silently.md
…and let me know in the comments what you think.
Discussion
Prices need to be informative, not necessary stable
It's not about stability, it's about the effect of deflation on your consumer behavior. In deflation, you delay consumption and don't exchange deflationary currency in anticipation of its higher value in the future. If you have other nondeflationary money available, you are more likely to use that.
You have a great point, but I think it’s also fallacy. I’ve tried to express it here:
https://github.com/hynek-jina/Hynek/blob/main/blog/Is%20it%20time%20to%20pay%20with%20bitcoin.md
Or here in czech here: