100 years of deflation and disinflation - BSOV vs. Bitcoin

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Quote from: suryapro on November 26, 2019, 11:36:30 AM

Maybe in broad terms deflation is a period in which prices generally fall and the value of money increases. while disinflation is the process of the high inflation rate. there may be many factors that cause the current price decline from bitcoin.

Yes, true. There are many factors which cause the current price. Not only scarcity and demand.

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Quote from: suryapro on November 26, 2019, 11:36:30 AM

Maybe in broad terms deflation is a period in which prices generally fall and the value of money increases. while disinflation is the process of the high inflation rate. there may be many factors that cause the current price decline from bitcoin.

Yes, but what about inflation in FIAT currency? Inflation-rate is adjusted UP and generates a higher circulating supply.
Isn't deflation the opposite? That in BitcoinSOV (BSOV) the inflation-rate is adjusted DOWN and generates a lower circulating supply.

Btw, we are currently redesigning our website, and it is soon ready. You may check it out at https://dev.btcsov.com

Here is an updated image which presents the predicted supply of BTC and BSOV.

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Maybe in broad terms deflation is a period in which prices generally fall and the value of money increases. while disinflation is the process of the high inflation rate. there may be many factors that cause the current price decline from bitcoin.

Rouse_creationsHostel

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Quote from: Text on November 04, 2019, 02:05:50 AM

I think OP posted on wrong section. He is not only comparing the BSOV and Bitcoin, but he is clearly promoting Bitcoin SV, in my opinion this should belong to Altcoin Discussion. Well, look at the progress of Bitcoin, 10 years of existence. What could be the path of BSOV? Could it survive in the long run? Bitcoin has a limited supply by the time when all BTC has been mined, but we are still far from it for sure we are not part of the world anymore when that time comes. Its not all about deflation and disinflation, what matters is its features which make it being used.

Oh, maybe this was the wrong section? Okay, it looks like it has been moved to Speculation (Altcoins).
This isn't BitcoinSV (BSV), by the way!
This is BitcoinSOV (BSOV), a mineable supply nearly identical to Bitcoin, however with a deflationary mechanism that is triggered whenever there is an on-chain transaction.

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Quote from: Red-Apple on November 04, 2019, 09:22:13 AM

you are being fooled (or maybe trying to fool others) by the very common misconception that only supply determines inflation deflation of a currency. but the reality is that being deflationary means nothing if you don't consider the other important factor of this equation called demand.

for example there are hundreds of altcoins that have smaller supply than bitcoin, they burn coins, and do a lot of weird shit. in the end because they don't have any demand whatsoever they are useless garbage.
and when a coin is using bitcoin's name (is a fork of bitcoin) then it is definitely a garbage coin.

Yes. Demand is a huge factor to determine if any asset is deflationary. But the point BSOV is trying to make, is that Bitcoin is not deflationary by design. If Bitcoin didn't have demand, then there still does not exist a protocol mechanism that makes Bitcoin's supply deflationary by design, rather disinflationary.

Maybe I could have improved this infographic to explain this concept better? I'm just a volunteer who has discovered BSOV, and I understand how in the future, the supply will become more scarce. Is it feasible? Probably not without purchasing demand. How will purchasing demand be created? That's for the community to decide.

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Quote from: tonyvo2017 on November 03, 2019, 10:23:19 PM

I really didn't realize a certain belief in BSOV. For this deflation to work, the business needs to have many people know and use your coin.
Like Bitcoin, although it has no deflation mechanism, people make it deflation by buying at a higher price, because they have faith that bitcoin will have a higher demand in the future.
What BSOV now needs to do is increase purchasing demand, not give us these charts.

True! BSOV needs purchasing demand. Well, I made this chart to inform how the future may look regarding supply.
Yes, you could say Bitcoin is deflationary since it has demand, so relatively between supply and demand, the Bitcoin is relatively more deflationary than usual FIAT like USD. However, the point that BSOV likes to make, is that Bitcoin is not deflationary by design, since the supply does not dissipate over time, like BSOV does.

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Quote from: mu_enrico on November 04, 2019, 04:48:16 AM

What the heck is BSOV? Bitcoin Satoshi Original Version? LMAO Grin

I said it many times that Bitcoin IS NOT a deflation based currency:

Quote from: mu_enrico on May 12, 2019, 12:04:41 AM

I don't think Bitcoin is a deflation based currency because you need negative inflation to be called deflation. Bitcoin is a non-debased currency with ~21 million supply. I think it would work since it promotes price stability and economic certainty, similar to the gold-standard era.

Deflation based currency will inevitably fail. People will not trust money that magically disappears from their wallets.

BSOV is not a fork of BSV.
BSOV stands for "Bitcoin Store-of-Value".
You can read more in this article:
https://medium.com/@real_rouse/no-bitcoinsov-is-not-a-fork-of-bitcoinsv-2be7da42dc7e?source=friends_link&sk=7434b12fcd40ebf37389d0af1e43613c

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Quote from: lobat999 on November 04, 2019, 01:53:59 AM

Quote from: Upgrade00 on November 04, 2019, 01:17:13 AM

Your graph really does not tell much, like what each axis represents. It also lacks details about the other factors which affect both currencies and it's market behavior.

I take it that it's a graph of total supply against time, i.e, number of years. Both coins have the exact same maximum supply. Both have speculative value and hence they are traded somewhat like an asset, this to an extent, introduces the concept of deflation and/or disinflation.

I hope those graphs and the OP wasn't designed as a tool for a smear campaign to discredit Bitcoin so that another coin may gain from it because I think almost everybody else that did smear campaigns against Bitcoin had eventually failed!

Now I would appreciate if OP would be kind enough to provide us a more objective comparison on Bitcoin and BSOV and let the community see both of their strengths and weaknesses and decide upon it.

This is not at all any smear-campaign against Bitcoin! This graph was made just to illustrate the deflationary supply attribute of BSOV, compared to Bitcoin. The 1% transaction burn is nearly the only difference between BTC and BSOV. The effect of this deflationary supply is more scarcity, assuming that BSOV is actually used.

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whoa, there is a lot of discussion here. I will try to answer as much as I can very soon

Red-Apple

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you are being fooled (or maybe trying to fool others) by the very common misconception that only supply determines inflation deflation of a currency. but the reality is that being deflationary means nothing if you don't consider the other important factor of this equation called demand.

for example there are hundreds of altcoins that have smaller supply than bitcoin, they burn coins, and do a lot of weird shit. in the end because they don't have any demand whatsoever they are useless garbage.
and when a coin is using bitcoin's name (is a fork of bitcoin) then it is definitely a garbage coin.

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Quote from: NathanJB on November 04, 2019, 05:05:57 AM

Bitcoin is supposed to be inflating in value because of the limited total supply, as well as the reward halving every four years that is integrated in the design, and the fact that the demand is ever rising.

That's not entirely correct. Bitcoin becomes a deflationary currency when there are no block rewards left anymore and the coins that are in existence become more scarce because people lose them and all that.

It's quite an ingenious economical model that for now seems to work, but we'll have to wait and see how it performs throughout the next decades.... as long as the demand is present there is no reason to worry about it.

It will be interesting to see how the future plays out, but for now we don't have to worry about any of that because we very likely won't survive Bitcoin's last ever block reward decrease to practically zero.

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Quote from: mu_enrico on November 04, 2019, 04:48:16 AM

What the heck is BSOV? Bitcoin Satoshi Original Version? LMAO Grin

I said it many times that Bitcoin IS NOT a deflation based currency:

Quote from: mu_enrico on May 12, 2019, 12:04:41 AM

I don't think Bitcoin is a deflation based currency because you need negative inflation to be called deflation. Bitcoin is a non-debased currency with ~21 million supply. I think it would work since it promotes price stability and economic certainty, similar to the gold-standard era.

Deflation based currency will inevitably fail. People will not trust money that magically disappears from their wallets.

Bitcoin is spawning countless of shitcoins. BSOV is the latest? Lol. I guess he refers to Bitcoin Satoshi Original Vision, a coin which is not even original.

Bitcoin is supposed to be inflating in value because of the limited total supply, as well as the reward halving every four years that is integrated in the design, and the fact that the demand is ever rising. But since its value is determined by the market, it becomes neither deflating nor inflating.

mu_enrico

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What the heck is BSOV? Bitcoin Satoshi Original Version? LMAO Grin

I said it many times that Bitcoin IS NOT a deflation based currency:

Quote from: mu_enrico on May 12, 2019, 12:04:41 AM

I don't think Bitcoin is a deflation based currency because you need negative inflation to be called deflation. Bitcoin is a non-debased currency with ~21 million supply. I think it would work since it promotes price stability and economic certainty, similar to the gold-standard era.

Deflation based currency will inevitably fail. People will not trust money that magically disappears from their wallets.

Wynn1427

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Dont believe BTC supply was ever intended to be deflationary by design. Normal for new ideas to have low demand at start with low prices but over time if demand increases so should the price, unless some distortion or outside events influence the demand side of the curve. Would consider BSoV graph as a depreciating asset once peak supply has been reached. No whitepaper as of now, but curious how second part of BSoV life is justified as a coin to have/use? Not so sure that just taking the opposite view of the traditional fiat inflation is a viable long term solution.

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The chart just compared how BSOV and BTC is in terms of deflation. It's severely lacking to be considered as a promotion of one's product since you're basically lacking information that could entice people. Plus, just based on reputation itself, BTC beats BSOV by a mile. With how long BTC has come and all. Look at BSOV and look at BTC, comapring the two who would you take just based on its acheivements?

Text

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I think OP posted on wrong section. He is not only comparing the BSOV and Bitcoin, but he is clearly promoting Bitcoin SV, in my opinion this should belong to Altcoin Discussion. Well, look at the progress of Bitcoin, 10 years of existence. What could be the path of BSOV? Could it survive in the long run? Bitcoin has a limited supply by the time when all BTC has been mined, but we are still far from it for sure we are not part of the world anymore when that time comes. Its not all about deflation and disinflation, what matters is its features which make it being used.

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Quote from: Upgrade00 on November 04, 2019, 01:17:13 AM

Your graph really does not tell much, like what each axis represents. It also lacks details about the other factors which affect both currencies and it's market behavior.

I take it that it's a graph of total supply against time, i.e, number of years. Both coins have the exact same maximum supply. Both have speculative value and hence they are traded somewhat like an asset, this to an extent, introduces the concept of deflation and/or disinflation.

I hope those graphs and the OP wasn't designed as a tool for a smear campaign to discredit Bitcoin so that another coin may gain from it because I think almost everybody else that did smear campaigns against Bitcoin had eventually failed!

Now I would appreciate if OP would be kind enough to provide us a more objective comparison on Bitcoin and BSOV and let the community see both of their strengths and weaknesses and decide upon it.

Upgrade00

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Your graph really does not tell much, like what each axis represents. It also lacks details about the other factors which affect both currencies and it's market behavior.

I take it that it's a graph of total supply against time, i.e, number of years. Both coins have the exact same maximum supply. Both have speculative value and hence they are traded somewhat like an asset, this to an extent, introduces the concept of deflation and/or disinflation.

Periodik

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Quote from: tonyvo2017 on November 03, 2019, 10:23:19 PM

I really didn't realize a certain belief in BSOV. For this deflation to work, the business needs to have many people know and use your coin.
Like Bitcoin, although it has no deflation mechanism, people make it deflation by buying at a higher price, because they have faith that bitcoin will have a higher demand in the future.
What BSOV now needs to do is increase purchasing demand, not give us these charts.

Exactly. If the matter on the table is the difference between Bitcoin SV and Bitcoin, people do not care at all about deflation and disinflation, about where the two will be headed in the next 100 years. They will only care about Bitcoin SV being the shitcoin of Craig Wright and Bitcoin being the coin of Satoshi Nakamoto. And that difference is enough for them to choose Bitcoin rather than Bitcoin SV.

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I really didn't realize a certain belief in BSOV. For this deflation to work, the business needs to have many people know and use your coin.
Like Bitcoin, although it has no deflation mechanism, people make it deflation by buying at a higher price, because they have faith that bitcoin will have a higher demand in the future.
What BSOV now needs to do is increase purchasing demand, not give us these charts.

Topic: 100 years of deflation and disinflation - BSOV vs. Bitcoin (Read 252 times)