throwing heavy, regarding BTC stability and deflationery nature

[Mohammed bayrote]

please note, I am writing for my own skill improvement, and these are my opinions down there:
 we know Bitcoin mining rules allows for a deflationary force. and I am talking post US however it goes down, in a free market where what happens is an act of nature.

imagine, BTC now is nominated in %20 of world's market transactions.
after a parity with market growth and stability in BTC value, there will be no mechanics for the worldwide community, to study the heavy production growth in the free market and the pressure it causes.
this pressure in theory is bad, it goes against the natural growth and prosperity of the human race, it's what humans do, to create and expand, most of the time, this is what we do, it's bad because this natural growth needs money supply to account for it, it was synthasized, simply created of the miracle of life.
it's, for me, suffice to say, emerging cryptocurrencies that will solve this problem, the inflation problem, will foster and thus, BTC has delivered it's final objective, after helping in shifting wealth, it can be traded in an ever growing world, where it will gradually acount for less and less ratio of world's transactions, mainly because other currencies have grown in supply steadily. in the foreseen future BTC will retain it's value, in the growing world.

[1715000891]

1715000891

[jackg]

Welcome to the forum!

I'm starting to think the idea of inflation is merely a psychological venture to make it look like somethings booming and your wealth is growing when in actuality it may not be...I'm not sure how far I'm actually willing to take this but it'll be interesting when bitcoin rises further how people will handle not seeing exponential growth in things such as interest on btc but still see bitcoin ascend compared to other assets (if it keeps going hypothetically of course).

[Darker45]

BTC... helping in shifting wealth

First off, I am afraid this is not really the case as regards Bitcoin. It may somehow level off the playing field, especially in terms of financial freedom, with Bitcoin being created to emancipate us from the shackles of the banks. However, it does not invert the wealth pyramid.


Deflationary appears to be the buzzword these days. It has certain negative implications to the economy; for example, falling of wages as the value of Bitcoin is rising, or the rising of "real debt burdens on bitcoin denominated loans," and so on. Here is an article that might help elucidate this topic. This explains why Bitcoin is not at all deflationary and the fears on it are not really based on solid ground.

Source:
https://medium.com/the-bitcoin-times/stop-calling-bitcoin-deflationary-84462cb90345

[pooya87]

your problem is that you are focusing a lot on the price and profit making from bitcoin that you have started to forget what bitcoin really is. there is no "shifting of wealth" since bitcoin is not made to give people profit or help them make money. bitcoin is just a currency and as a currency it was designed to have a reasonable total supply as its maximum allowed supply (cap). the main reason we have been seeing bitcoin price shoot up (from zero to $20k) is because its adoption is growing. otherwise when mass adoption occurs the price will become stable and only rise against fiat when fiat loses its value.

[davis196]

your problem is that you are focusing a lot on the price and profit making from bitcoin that you have started to forget what bitcoin really is. there is no "shifting of wealth" since bitcoin is not made to give people profit or help them make money. bitcoin is just a currency and as a currency it was designed to have a reasonable total supply as its maximum allowed supply (cap). the main reason we have been seeing bitcoin price shoot up (from zero to $20k) is because its adoption is growing. otherwise when mass adoption occurs the price will become stable and only rise against fiat when fiat loses its value.

Bitcoin adoption is growing,but not so steadily and not so fast.The prices get pumped by the crypto whales
and often we can see some short term price bubbles.Anyway,demand isn't the only factor that pumps the Bitcoin price.The federal reserve system is another big factor.
When the BTC/USD price increases,that doesn't always mean that Bitcoin became more "valuable",it means that the US dollar became cheaper,because of the FED printing/quantitative easing/low interest rates.
FED's policies can create inflation in the financial markets,and inflation really re-distributes wealth-it makes the rich even more rich.

[FanatMonet]

A fully digital currency that would allow for anonymous value transfers upsers

There are no completely anonymous currencies and never will be. With a great desire, you can track any person, even if he is completely turned on his anonymization and other ways to protect his data. Therefore, one cannot speak of anonymity in translations.

[Wenbing]

imagine, BTC now is nominated in %20 of world's market transactions.
after a parity with market growth and stability in BTC value, there will be no mechanics for the worldwide community, to study the heavy production growth in the free market and the pressure it causes.

While reading your post the above quoted comment caught my attention. I have learnt that there is nothing like stability in Bitcoin because it runs on volatility- free market mechanism.

If there is stability then there won't be trading benefits. Trading professionals are able to make profit because of the volatility  nature of the system.