The current Bitcoin economic model doesn't work

[Cryptomaniacal]

Bump. Been fun reading up on this ancient thread. The Suggester, for all his angry childishness, had been proven at least somewhat right by time.

The thing that gets me, however, is the fact that although the narrative has gone from a medium of exchange to a store of value, none of the early adopters and more disturbingly, core developers, especially Satoshi, had anything like this in mind, when they laid the foundation.

[jaysabi]

Bump. Been fun reading up on this ancient thread. The Suggester, for all his angry childishness, had been proven at least somewhat right by time.

The thing that gets me, however, is the fact that although the narrative has gone from a medium of exchange to a store of value, none of the early adopters and more disturbingly, core developers, especially Satoshi, had anything like this in mind, when they laid the foundation.

You release something like this out into the wild and you longer have agency over it. It no longer matters what Satoshi had in mind or what the early developers thought Bitcoin was going to be. All that matters now is what it is, and it's definitely not a viable currency. It's only now being more widely accepted as a store of value.  I don't expect these two things to change.

[Cryptomaniacal]

I don't expect these two things to change.

Ever? It'll never become a currency and forever remain a store of value?

[bitpunkzy]

An interesting thread after so much time, but the question remains: how did the first pump turn out? Was the price just doubled?

Heck, just look at NewLibertyStandard's graph. It will keep shooting up as long as this 4-year model continues.

My exchange rate will only increase as Bitcoin becomes more popular. There are practical limits to the popularity of Bitcoin. Sure, potentially it could be run on every functional computer around the world, but from practical perspective, that will never happen. The swarm is currently pretty small, so when a few new users join, there is a large effect on my exchange rate and it increases fairly quickly. As the rate of growth slows or reverses and as my exchange rate average increases over the next two years, the exchange rate will steady out with only very small increases AND decreases every day. As for the impending doom and gloom you're prophesying will accompany the decreased payout in a few years, all I have to do is add a little multiply by two to my exchange rate calculation and the problem is solved. The exchange rate stays constant and everyone is happy. In any case, hopefully by then there will be other ways of calculating the value of a bitcoin other than my single solitary exchange service.