Bitcoin
Out of context: Reply #91
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- ETM0
@omg
Has it always cost 0.80BTC? As well, as previously discussed on this thread, you are not using "inflation" correctly in the context. Inflation is the decrease in buying power of a currency. Example. last week a loaf of bread cost $2.00, now it's $3.00, next week it's $4.00. That's inflation. The currency's buying power diminishes causes dramatic price increases to obtain the same materials/products.With bitcoins, it's been the opposite. It's buying power is rising. As well, a currency's value in USD (or other currency) is not it's finite value. In theory, bitcoin does not follow standard economic models as it's a "global" currency. Not hinged to a country or standard. It's value within it's own ecosystem is simply what one charges or is willing to pay, not what it's worth against other currencies.
Within it's own context, 0.8btc may be perfectly reasonable. Or perhaps the person charging 0.8btc is simply overpriced. That's for the bitcoin market to establish. Will someone pay that or not? They're not paying in USD, they're paying in bitcoins.
But if you can only think of a bitcoin simply as it's value in USD, then like many people, are not fully understanding this new currency.