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People that think that the only way that #bitcoin mining can survive is extra fees from inscriptions, don’t understand free markets, nor the difficulty adjustment.

If all prices fall to the marginal cost of production in a free market, and bitcoin is the first global free market that has ever existed, then block rewards are alone enough to keep a robust market for mining.

Why: because relative to Bitcoin (open, decentralized, secure, protocol, bounded by energy) the rewards are the same in 2130 as they are today because all prices are falling forever.

It’s hard to even imagine the abundance in that world or “money” that you would need because your reference frame is now and the past, but can you imagine our descendants (from that place)- ever changing back to this one.

Just a friendly reminder that creating different incentives, changes behaviour.

Hanshan 8mo ago 💬 4

this is assuming a hell of a lot

how is this helpful and not just utopian thinking?

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Discussion

Jeff Booth 8mo ago 💬 1

The only assumption here is that bitcoin stays decentralized and secure.

The only one!!

Hanshan 8mo ago 💬 2

not at all

you're assuming a Bitcoin UoA

which is a HUGE assumption

Jeff Booth 8mo ago

Nope - because if it doesn’t become a unit of account (it already is and will continue) and all people use an inflationary token (USD) it will centralize and fail as a store of value. (Like gold)

Hanshan 8mo ago 💬 4

Sorry, adding more assumptions doesnt help.

and no

it isn't a UoA as long as people are setting prices in USD

Murmur 8mo ago

Hello, im setting prices in sats, nice to meet you.

Hanshan 8mo ago 💬 2

how do you determine the number of sats to price a product?

Murmur 8mo ago 💬 2

You would think it matted but the only think that counts is the mindset, price everything in sats for a while and you will get it 😉

Hanshan 8mo ago 💬 2

iow

you divide a fiat price by the fiat price of BTC

and call that "pricing in sats"

Murmur 8mo ago

I value my sats and my time from a very specific and original set of indicators suited for my individual needs as every human should do. The price is just the result of that process meeting the values of some other individual.

Hanshan 8mo ago 💬 3

you use USD as your UoA.

that's what prices are.

sorry, its just a fact.

Michael Hollomon Jr. 8mo ago

I believe gold was initially more a SoV than UoA, at least until the Lydians started coining it. As the dollar falls to zero against BTC, BTC will take its place as the default UoA. And that will happen way before the block subsidy falls to zero

Hanshan 8mo ago

cool story.

beliefs are nice.