[intabli]

Yet another attack on peer to peer electronic cash, masquerading as a benefit handed over by the amazing thoughtful overlords to their ignorant peasants. Cryptocurrency is CURRENCY, meant to be spent and replaced and worked for, not “Hodl bro” like idiots everywhere tout.

[somenameforme]

One interesting aspect of any form of currency that is strictly finite (like most crypto implementations are) is that it will become deflationary over time. Economies, demand, etc will grow but the amount of currency will stay, more or less, the same. So the currency will inherently become worth more.

Good and bad depending on how you look at. As a holder, it's good because your money becomes worth more. But on a macroeconomic level, there's an argument to be made that inflation is good because it basically is a deterrent against 'hodlllll' and a motivator for things like lending and what not, which help the gears of the economy churn. But we're probably going to get to see the endgame of the inflationary fiat game in our lives and I guess we just get to see whether a depressionary crash or an inflationary crash is less awful.

[dcolkitt]

This is common folk wisdom, but not exactly what macroeconomists actually believe. It's true that deflationary shocks tend to lead to hoarding money and economic activity freezing. But long-run deflation that's baked into the system and expected appears to have no impact on economic activity.

We know this from the economic history of the 19th century. The entire period from 1815-1914 was broadly deflationary, yet economic growth rates were significantly higher than the 20th century. There was certainly no shortage of massive investment made into industrialization, railroads, electrification, and fossil fuels among other major endeavors.

https://www.nber.org/digest/apr04/good-versus-bad-deflation-...