[woadwarrior01]

I found a part of Sean Lynch's comment to be very insightful.

Bitcoin's deflationary nature, ironically, will almost certainly cause it to suffer from Gresham's law, in fact it probably is right now: when the novelty of using Bitcoin to pay for things wears off, we'll all come to our senses and start using our inflationary fiat currencies to pay for things, and spend the rest to buy deflationary Bitcoin, and nearly all Bitcoin transactions will be for a fiat currency or for something illegal or that otherwise has very high transaction costs with fiat currencies.