All Bitcoin holders are essentially charged a 10% tax per year, perpetually, by the PoW mining network. How can this be sustainable?
How did you come with perpetual annual 10% tax? I think this is quite a pessimistic expectation.
But even it it is correct, don't forget that global economy grows.
Let's say it grows ~5% per year and this growth is not absorbed by monetary emission, so the tax becomes ~5%, that is much, much better than in many countries. Do you feel it is sustainable?
Oh, and don't forget about few percents you implicitly pay everytime you use your credit card (even when you pay in cash, it is priced in!)
Btw, at these early days bitcoin economy is supposed to grow much faster than 10%/year, so it is not inflationary, it is deflationary by nature.
Current price ignores it though because it is driven by speculators' expectations and it will continue to do so until Bitcoin becomes mature or vanishes.
It would be possible (and some people would argue probable) that the overall value of bitcoin will increase by more then this amount this year for a number of reasons, which would negate the monitory inflation and have real deflation.
Also it is important to note that the monitory inflation rate will decline over time as the rate at which new bitcoin are created will decline over time while the total number of bitcoin that have been mined will increase
