Hacker News new | ask | show | jobs
by jstalin 4820 days ago
In other words, saving money is completely disincentivized in favor of constant spending? Why would anyone adopt this?
1 comments

People are complaining about bitcoin's deflation meaning people are too incentivised to save rather than spend/invest

The fee is really no different from inflation in fiat currencies. Why would anyone save dollars when they are worth 1-2% less every year?

True, but in normal economic times, one can usually earn interest that outpaces inflation. Right now we have the federal reserve purposely punishing savers, just as freicoin would do.

I think the issue with bitcoin is that it's very very new. My guess is that it will eventually stabilize. On top of that, I hold the Rothbardian view that competing currencies are a good thing. Freicoin would only work if it had a monopoly on currency adoption.