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Author Topic: Is bitcoin inflation wilder than fiat?  (Read 592 times)
serjent05
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March 11, 2023, 10:27:14 PM
 #81

Many countries have thought to change currency into bitcoin because the government thinks bitcoin is more related stable than USD. because the reality, USD is not have something great if their foreign policy isn't great in the past. The powerful country is just running their greedy for self-benefit. Now, they begin to turn to bitcoin and look like started to control the bitcoin inflation, so what you think if bitcoin inflation is wilder than fiat?

Care to say this many countries that thought to change their currency into Bitcoin?  Another thing, Bitcoin being highly volatile more stable than USD?  How does that happen?  I think your source of information is kinda unique that it goes differently on what we have known.

About inflation, what makes you think that Bitcoin inflation is wilder than fiat?  As far as everyone knows, Bitcoin has a finite supply.  That initially nullifies the inflation factor instead due to lost Bitcoin because of the owner losing access to the wallet, Bitcoin is believed to deflationary.
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March 11, 2023, 10:38:55 PM
 #82

Bitcoin is deflationary, which means instead of losing value over time due to printing of banknotes, it increases in value at the expense of the circulating supply. That alone should answer your question whether bitcoin's "inflation" as you put it is wilder than fiat. However, let's say you mistook bitcoin's volatility rate for its "inflation" rate, to which I will say it is wilder, as bitcoin can virtually go down to as low as half or even practically zero of its price in a single go, depending on market conditions, among other factors. You wouldn't see this happen in fiat, not unless a whole country mutiny against the government and overthrow even their currency system, but hey.

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March 12, 2023, 03:50:21 PM
 #83

Because the bitcoin system is decentralized then price fluctuations will always be high, I'm sure if one day the bitcoin marketcap rises more than 100x from now then high fluctuations will continue to occur, if there is a country that legalizes bitcoin then if inflation occurs it can create serious chaos, it is natural that many countries have not legalized bitcoin.

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