0 sats \ 1 reply \ @andyleroy OP 6 Jul 2022 \ parent \ on: How does everyone think about Bitcoin and Inflation - is a 21 million *permanent* cap correct? bitcoin
Totally follow all of this - but it's that last paragraph I'm hung up on from an incentives/game theory perspective.
If I know you have a large stack of bitcoin, and will work to increase its value (by becoming more productive), why should I bother working harder or taking any risks? My bitcoin savings will increase the same (proportionally) to yours, and I didn't do any extra work?
So you don't, if you don't think you can outpace the productivity increase that my investment will have.
This is on purpose. I've heard the argument that there is a lot of time wasted by having everyone try to become an investor. Not everyone knows exactly what will and won't work.
Now if you don't work at all, this is a different problem. Now, you're looking at running out of money because you still have to buy food to eat and pay rent or buy a house or what have you.
Now if you own a business and you aren't looking at being more productive, now you're looking at the problem of more productive businesses earning money and nobody buying from your store.
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