I think you misunderstood my point. Bitcoin is not a technology, its a protocol. A self sustained peotocol, a living thing, just like languages, or the game of chess... And I wasn't trying to attack crypto. Not at all! And I didnt mean to rub you the wrong way. I'm just pointing out why bitcoin will be the only thing that will last because of its nontrivial properties, namely, its supply cap of 21 million, proof of work and the difficulty adjustment. These properties are the only reason bitcoin will outlast every technology, including crypto.
Let's say there's 1 crypto that has mining and the difficulty adjustment but its supply isn't capped, you will essentially be running fiat on a blockchain. You will not be able to measure deflation in in the free market. Things may be cheaper to you relative to fiat holders, but you can't measure the deflation. Absolute scarcity is very very important here.
Let's then say another crypto has both features I mentioned earlier, then you will indeed be able to measure the de flation due to productivity, but not the boost from new adopters because of the network effect. In this case, since bitcoin is the first in the block, it will invite more adopters. So things will indeed get cheaper for you over time compared to measuring in fiat, but bitcoin hodlers will enjoy far greater price deflation as a result of the network effect. This will translate to price increase when measured in fiat, and this will invite new adopters, ans so on....
That's precisely why a new crypto with exactly the same features as bitcoin will eventually die out, as they do.
This new crypto will be akin to a new language. Chances are, unless this language solves a new problem that forces or invites new adopters, it will die out because most people will stick to and keep using the big ones, precisely because more people already speak it.
I'm not trying to trigger people. This is an invitation to really look into bitcoin. There's a reason it works. But if you like crypto and want to use it, more power to you.
Mr. Wood
npub1pg…fsfvn
2024-07-14 11:36:04
in reply to nevent1q…ddc3
Author Public Key
npub1pgju9xs2czjlpvyvhqxmty9shjn48pesgzz87n88hk2tnza3rv3qqfsfvnPublished at
2024-07-14 11:36:04Event JSON
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"content": "I think you misunderstood my point. Bitcoin is not a technology, its a protocol. A self sustained peotocol, a living thing, just like languages, or the game of chess... And I wasn't trying to attack crypto. Not at all! And I didnt mean to rub you the wrong way. I'm just pointing out why bitcoin will be the only thing that will last because of its nontrivial properties, namely, its supply cap of 21 million, proof of work and the difficulty adjustment. These properties are the only reason bitcoin will outlast every technology, including crypto. \n\nLet's say there's 1 crypto that has mining and the difficulty adjustment but its supply isn't capped, you will essentially be running fiat on a blockchain. You will not be able to measure deflation in in the free market. Things may be cheaper to you relative to fiat holders, but you can't measure the deflation. Absolute scarcity is very very important here.\n\nLet's then say another crypto has both features I mentioned earlier, then you will indeed be able to measure the de flation due to productivity, but not the boost from new adopters because of the network effect. In this case, since bitcoin is the first in the block, it will invite more adopters. So things will indeed get cheaper for you over time compared to measuring in fiat, but bitcoin hodlers will enjoy far greater price deflation as a result of the network effect. This will translate to price increase when measured in fiat, and this will invite new adopters, ans so on.... \n\nThat's precisely why a new crypto with exactly the same features as bitcoin will eventually die out, as they do.\n\nThis new crypto will be akin to a new language. Chances are, unless this language solves a new problem that forces or invites new adopters, it will die out because most people will stick to and keep using the big ones, precisely because more people already speak it. \n\nI'm not trying to trigger people. This is an invitation to really look into bitcoin. There's a reason it works. But if you like crypto and want to use it, more power to you. \n\n",
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