What Happens to Bitcoin After All 21 Million Are Mined?
Bitcoin vs Money Supplies
Bitcoin is Money. Many have lost sight of what Bitcoin ...
Bitcoin - The Currency of the Internet
A community dedicated to Bitcoin, the currency of the Internet. Bitcoin is a distributed, worldwide, decentralized digital money. Bitcoins are issued and managed without any central authority whatsoever: there is no government, company, or bank in charge of Bitcoin. You might be interested in Bitcoin if you like cryptography, distributed peer-to-peer systems, or economics. A large percentage of Bitcoin enthusiasts are libertarians, though people of all political philosophies are welcome.
Rya is a crypto designed to function as a stable, scalable and decentralized medium of exchange. By using a smart money supply solution based on p2p loans, the price of money will always be appropriate for the state of the economy.
According to recent FDIC data, the average deposits per FDIC insured commercial bank branch in the US was $103 million. So the Bitcoin money supply, at $20 x 10.7 million coins, is equal to slightly more than the deposits in two bank branches. There are slightly over 90,000 bank branch offices in the US. Data source: http://www.fdic.gov/bank/statistical/
Random Thought: Won't the entire bitcoin money supply eventually all be lost?
Here me out. I had this thought a while ago when I lost a wallet file. I downloaded an android bitcoin wallet and stored 1 bitcoin in it. I eventually had to re-flash the entire phone due to non-bitcoin related issues and realized that I lost that 1 bitcoin. That wallet file is gone. That bitcoin is gone forever. I can check the address balance, which still says 1BTC, so it exists, but no one on Earth can access that bitcoin. I'm sure other people have lost their wallet files too. We know for a fact that at some point in time, the bitcoin money supply will stop growing. There will only be 21,000,000 bitcoin in existence. People do lose bitcoin from time to time. It happens. With enough time, people consistently losing bitcoin, wouldn't the money supply all be lost (inaccessible) at some point? I understand this would take decades to happen, but in theory, won't it eventually happen?
I am just wondering how will Bitcoin deal with the lost of bitcoin as time goes on. Given that there is a cap on the number of bitcoin possible to be in existence, it will become incredibly deflationary I assume. With cash, they can be replaced. But a lot bitcoin that gets lost either through forgetting addresses, passwords or hardware failure; there will reach a point where they were be less and less bitcoins in circulation every day. Is this a problem?
Bitcoin Money Supply Growing At Faster Rate Than USD
So let me break down the math. Tell me if I get anything wrong. M2 USD April 23, 2013 ... 9812 billionUSD April 23, 2013 ... 10501 billionUSD Difference in one year = 689 billionUSD Divide. 689/9812 = 7% data source Bitcoin May 8, 2012 ... 9814 thousandBTC May 8, 2013 ... 11129 thousandBTC Difference in one year = 1315 thousandBTC Divide. 1315/9814 = 13% I understand that the rate will change in the coming decades, but right now it seems like the US dollar is more deflationary than bitcoin.
We should probably not think of the Bitcoin money supply (Price x bitcoin in circulation) as market cap. Better to compare like with like. We can compare with other currencies. We can do this in terms of the M1 money supply (which equates to cash, checking accounts and other "near money" vehicles). One lightly used currency, the Icelandic Kroner, has M1 of about $3.3 bn at the moment. The population of Iceland is 327,000. Right now (June 12th) we could say that Bitcoin has an M1 of roughly $10 bn - three times as much, implying (very roughly) a Bitcoin population of about 1 million citizens. Bitcoin M1 is also a little less than one three hundredth of the MI money supply of the US with its 300+ millions of citizens - which also indicates a Bitcoin population of about 1 million citizens. Bitcoin is (clearly) also a vehicle for speculation, so this is only a rough equation and does not properly indicate how much Bitcoin usage reflects payments. However the Bitcoin transaction graph has a clear upward trend indicating a growing population of bitcoin users. This should lead us to expect that if the Bitcoin user population increase by a factor of 10 then so will the price - although it may do more than that because the speculators would probably go wild and create a temporary bubble in the currency's value. The Bitcoin population will definitely increase by such a factor because it is a viral currency. It is impossible (for me at least) to know how fast that population will grow and what its practical upper limit is.
Stop thinking bitcoins money supply inflation rate (1.8%) is the same thing as US CPI (2%). The US money supply just went from like $3 trillion to $5 trillion in the last 3 months. That is 70% money supply inflation! Stop being stupid and comparing bitcoins money supply inflation rate with the US CPI. They are not the same thing. Bitcoins money supply inflation rate is 1.8% US dollar money supply inflation rate is 70%
Bitcoin: The money supply grows at a predictable rate with a hard cap of 21 million total Bitcoins and this program is 100% verifiable by anyone... The Fed: There is an infinite amount of cash at the Federal Reserve. [Brrrrr]
Humanity is about to get red-pilled so hard in the next ten years.
A fixed money supply, or a supply altered only in accord with objective and calculable criteria, is a necessary condition to a meaningful just price of money. —Fr. Bernard W. Dempsey, S.J. (1903-1960) In a centralized economy, currency is issued by a central bank at a rate that is supposed to match the growth of the amount of goods that are exchanged so that these goods can be traded with ... The Supply of Bitcoin Is Limited to 21 Million . In fact, there are only 21 million bitcoins that can be mined in total. Once miners have unlocked this amount of bitcoins, the supply will ... 2) The Bitcoin Money Supply. We covered Bitcoin mining in part 1. Mining is crucial to the ecosystem for both its security and the money supply. New bitcoin enters the ecosystem through Bitcoin mining. Miners issue new coins to themselves when they mine a block, and these new coins are called Coinbase transactions. Whether you agree with Modern Monetary Theory or not, what is clear is that Bitcoin challenges this economic theory. The world’s leading digital currency has a fixed money supply and a deflationary issuance model. Its total money ... The total supply of BTC is limited and pre-defined in the Bitcoin protocol at 21 million, with the mining reward (how Bitcoins are created) decreasing over time. This graph shows how many Bitcoins have already been mined or put in circulation. Notes. The Bitcoin reward is divided by 2 every 210,000 blocks, or approximately four years. Some of the Bitcoins in circulation are believed to be lost ...
What is Bitcoin? Bitcoin Explained Simply for Dummies ...
HIDDEN AGENDA OF JP MORGAN EXPOSED! TO RUN FED MONEY SUPPLY BITCOIN XRP ALTS ON ETHEREUM BLOCKCHAIN I go over Bitcoin and crypto market. JP Morgan federal re... Bitcoin Live Btc Price Liquidation Watch 24/7 Bull vs Bear Pump or Dump Bitcoin Currency Bitcoin is a cryptocurrency. It is a decentralized digital currency without a central bank or single ... Bitcoin: The End Of Money As We Know It traces the history of money from the bartering societies of the ancient world to the trading floors of Wall St. The d... bitcoin,litecoin,crypto, This video is unavailable. Watch Queue Queue Start trading Bitcoin and cryptocurrency here: http://bit.ly/2Vptr2X Bitcoin is the first decentralized digital currency. All Bitcoin transactions are docume...