| > Do you have an example ...? The Great Depression. https://en.m.wikipedia.org/wiki/Deflation#Deflationary_spira... If you're looking for commodities only, it's easy enough to Google "commodities bubble". https://en.m.wikipedia.org/wiki/2000s_commodities_boom#Opini... The problem is that when markets get turbulent, they can suddenly shift to going the other direction. Instead of everyone wanting to buy, suddenly no one wants to be the last one out the door. And with Bitcoin, what authority is going to stop the panic? > What happened to Gold? I suppose it depends on which branch of Bitcoin you're on. Are we talking about store of value or medium of exchange? Soros' comments on gold are helpful. > “Typically, a self-reinforcing process undergoes orderly corrections in the early stages, and, if it survives them, the bias tends to be reinforced, and is less easily shaken. When the process is advanced, corrections become scarcer and the danger of a climactic reversal greater”. http://blogs.reuters.com/great-debate/2010/09/30/gold-as-the... |
What commodities ceased being traded during the Great Depression?
> Are we talking about store of value or medium of exchange?
Mostly store of value for now, both when adoption improves and LN support is more widespread. Eventually the base layer will also need some capacity bumps.
> Soros' comments on gold are helpful.
A multi millennium bubble? Can't get more unprecedented than that.