Oddbean new post about login | logout The problem with this kind of thinking threatens the "only 21 million" philosophy and makes of Bitcoin just a part of a larger set of "cryptos" that imply effective inflation (anyone can trade in any currency they themselves issue). The cult of Satoshi won't allow this, I'm sorry. Personally I couldn't care less, since my goal is to create and acquire my own "means of production" and store value in any form that is not dependent on someone else's free will. Yes, I will use Bitcoin and Monero because both are not inflationary. But they are only accessories. What really matters is real life value, not a number on a screen.
Weird logic too. There's still 21m Bitcoin. Even if there was 10 billion XMR, there'd still only be 21 million BTC. Monero devalues Bitcoin in the same way an armoured truck devalues a G-Wagon. Apples and oranges.
Not if people use it. If people effectively use it to assign value to real world stuff, it effectively creates inflation for the market in general, making Bitcoin less valuable. More or less what happened with the US dollar and Bitcoin. They printed trillions of USD, but Bitcoin keeps its price trend as if nothing happened, it didn't double in price or anything. The Fed effectively pushed Bitcoin down by having people use it.
How can you call Monero "not inflationary" though when it's issuance can never be audited? I don't use Monero simply because sound money needs transparency at the base layer, or one day it'll be inflated away again just like the dollar is.
It's issuance *can* be audited because new Monero that is mined is briefly transparent as it enters so you can literally count them. Did you mean you can't *manually* audit it's circulating supply? You say this is an advantage, but in practice do you ever do it? How often have you manually audited Bitcoins circulating supply? I'm guessing never. Running a node is not the same thing. You're just relying on a node to do it all for you just like any Monero user would. But for what it's worth even Peter Todd, famous Bitcoin developer, doesn't consider Monero inflationary: "Surprisingly, Tail Emission Is Not Inflationary" https://petertodd.org/2022/surprisingly-tail-emission-is-not-inflationary "Monero has chosen to implement what they call tail emission...a fixed block reward does not lead to an abundant supply. In fact, due to the inevitability of lost coins, a fixed reward converges to a stable monetary supply that is neither inflationary nor deflationary." As for the dollar comparison. Major differences. Fiat issuance is centralized, unpredictable, and massive in comparison. All opposite of Monero.