Replying to Avatar The Fishcake (nostr.build)

Hypothetically, if let’s say bitcoin had a fixed yearly supply of new coins, instead of the current halving each epoch and so on, would you think it’ll make it more acceptable for circulation? Yes, I know that you all want to keep it as gold and all, but if it were to be used as a regular day to day currency and not just a store of value, the deflation would definitely hurt that. What are your thoughts about that? I once asked similar question almost a year ago, and had a lot of good and not so good replies. Some admitted that in the end early adopters just want to HODL it and keep it out of circulation, further causing deflation and hurting its adoption.

(There, I made a Bitcoin note 😂)
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Laeserin 8mo ago

1. I think you're underestimating how far Bitcoin prices can fall, during a fiat deflationary period. In that case, Bitcoin prices would completely collapse, if you just kept emitting the same amount over and over. NGU long-term, but not necessarily every month or every year. The volatility would be wild, to the downside.

2. The population will eventually begin to shrink, worldwide, and you'd have more and more money chasing fewer and fewer goods and services.

3. It's sort of the "pre-mine" effect for early adopters, who had to put up with crazy shit for years, so that would be a gigantic rug pull.

4. It reduces the hardness, so that you'd have to spend it faster or lose purchasing power.

5. No real point, as we have Lightning and lots of places after the decimal.

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The Fishcake (nostr.build) 8mo ago

1. Not sure this is entirely relevant to the argument in “all Bitcoin economy”, but ok.

2. This is unknowable, and not what history predicts.

3. The idea is not to please everyone, especially the minority. The idea is to make an independent and universal currency that is stable and reliable (I am not an economist so take it with a grain of pepper)

4. That’s ok, that’s how money work, and their sole purpose is to support exchange of goods and services, not to keep as investment.

5. Division is not at question, anything is divisible into infinity, it doesn’t help with the circulation.

Maybe, as the hash hardness changes to maintain the stable rate, the production of new coins could change with number of inflowing transactions? 🤔🤔🤔