| A currency that constantly loses value in terms of purchasing power over time is not stable. Again, zoom out and the picture looks different. The US Dollar loses approximately 100% of it’s value per century. Bitcoin maintains or increases its purchasing power by many orders of magnitude per decade. While the market rate on offer for Bitcoin at a given moment fluctuates, sometimes wildly, over a multi-year period the value always tends to go up. This is by design as Bitcoin is the scarcest asset ever invented - giving it the property of hard money which unlike fiat is immune from debasement. > Value stability should be one of the top goals for any currency. Per my comment above the US dollar’s value is not stable. It falls by ~100% per century and because of the Fed’s 80 year long policy of continuous debasement the value of US dollars will never be stable over time and will always go down. By contrast, while Bitcoin is volatile today, as it matures in its price discovery Bitcoin is likely to become more and more stable (read less volatile) in the future. |