Linked Questions

4
votes
1answer
114 views

Will people not spending their Bitcoin cause Bitcoin to fail? [duplicate]

Everyone I know that owns Bitcoin (including myself) seems to plan to sit on it until it becomes widely accepted/used and the price sky rockets to a ridiculously high value (100000 dollars each). It's ...
49
votes
13answers
8k views

Will deflation destroy Bitcoin?

With the limited total quantity of bitcoins, and people losing their wallets constantly decreasing that number, won't rampant deflation destroy Bitcoin?
60
votes
11answers
10k views

Will Bitcoin suffer from a mining Tragedy of the Commons when mining fees drop to zero?

One issue that I haven't seen clearly addressed is the possible Tragedy of the Commons in Bitcoin's future (see this answer). 40 years into the future, the only significant direct benefit for honest ...
21
votes
7answers
18k views

Are bitcoins really immune to inflation?

I see people everywhere saying that bitcoins are immune to inflation but nobody has explained it adequately to me. I understand why bitcoins would be more or less immune to inflation cause in ...
13
votes
3answers
38k views

What are the perceived advantages of bitcoin as a store of value?

This complements What are the perceived advantages of bitcoin as a means of exchange? To some, Bitcoin today is considered "better" than other stores of value. Why do some people think it's a good ...
12
votes
4answers
2k views

Does speculation hurt bitcoin?

Related Question: Does hoarding really hurt Bitcoin Does speculation hurt bitcoin? I often hear people complain that speculation is destroying Bitcoin, or that Bitcoin will fail because of ...
8
votes
3answers
3k views

How does the mining process support the currency?

Why is mining Bitcoins necessary? Is it essentially a distribution mechanism to ensure Bitcoins are not held by a few (wealthy) individuals from the get-go who might just hoard Bitcoins rather than be ...
3
votes
4answers
2k views

How is hoarding to be prevented?

If all humans used bitcoins now (Jan 2013) for most of their transactions, then a dollar would be worth about a billionth of a bitcoin (1/10 Satoshi). If bitcoins take ten years to catch on that ...
6
votes
3answers
884 views

Cryptocurrency with less deflationary properties

I wonder what is the benefit of having Bitcoin reduce the coins mined per block over time? Suppose a slightly less deflationary growth scheme was possible (and keep other properties that make Bitcoin ...
5
votes
3answers
780 views

Why is the supply of Bitcoin not pegged to its demand?

If it's supposed to be a decentralized currency, then why is it set to be capped at 21 million? What if that demand for Bitcoins exceeds 21 million but all of them are already purchased? Wouldn't it ...
1
vote
2answers
208 views

Can a bitcoin bank solve the problem of intensive value fluctuation caused by hoarding?

Let's assume a bank dealing in bitcoins is not any central of government bank that could control the money supply. Instead, let's say there was a bank where the people would deposit money at some ...
1
vote
3answers
237 views

Will large Bitcoin holders be a threat in the future?

There are most likely individuals or groups who hold (and hoard?) large sums of Bitcoin because of various reasons. I believe these people are the early adopters or miners of Bitcoin. Basically, we ...
1
vote
3answers
287 views

Will the decreasing Bitcoin production cause a liquidity crisis?

Based on the fact that the bitcoin "production" will stop around 21 million bitcoins, could this lead to a bitcoin flow freeze? What I mean is, if we produce all 21 million bitcoins, and keep using ...