 |
November 19, 2017, 01:26:23 PM |
|
Okay, so I'm just gonna skip the argumentation phase and get right to the point: You're half right. Bitcoin in its current state, has a limited supply: 21 million. However, changes can be made... If the whole network agrees to it, we could up that limit. Now I seriously doubt that will ever happen, but it's possible.
But that wasn't what you were trying to say. You're saying that if someone forks a coin, it would effectively up the coin's supply limit. This is not true. If you fork a coin, you increase the supply limit of ALL cryptocurrencies together. Not that of Bitcoin. The supply limit of Bitcoin stays the same: 21 million.
Though I must say that I sort of agree with you that the argument of "Bitcoin has a limited supply" isn't a great argument for its price to rocket. It's partly a reason. If Bitcoin's supply could grow 10x in 1 month, obviously no one would invest in it. Luckily, that's not the case and Bitcoin's inflation is quite low. However, it's quite likely that Bitcoin won't keep growing. Why? Because there are a whole shit ton of other cryptocurrencies out there, each competing to become the largest. And is Bitcoin, the oldest crypto of all, also the best crypto? Probably not. There are many cryptocurrencies offering way faster & more anonymous transfers, lower fees and other awesome features.
Bitcoin's dominance isn't an infinitely strong force. It's going to collapse and other, more advanced, cryptocurrencies will take its place. It's not a case of "if", it's a case of "when".
In short: Bitcoin has a limited supply. It's not a great reason to invest in it though, as there will be many, far more advanced, cryptocurrencies, competing for dominance over the relatively new world of cryptocurrencies.
Regards, Trump
|