As I see it, the price is only fluctuating so wildly because of it being treated mostly as a speculative investment at this point, and so many uneducated newb investors thinking they will make it big.
If one looks at it, in some ways the early US Dollar market was wildly fluctuating, mainly in that you couldn't use it many places, or everywhere valued it differently due to its newness and lack of trust (sound familiar?). It wasn't until the government stepped in and made it illegal to NOT accept it that it gained forced usage, thus evening out its value, and gaining it some (imo undeserved) trust. So a larger force stepped in to stomp the speculation, and look what we have now. Once that power is given, it cant just be taken away, and you cant trust in some all-powerful entity to ever not abuse their power eventually.
Topic: Has anyone proposed a coin that adjusts its supply to stabilize prices? - page 4. (Read 2417 times)
April 16, 2013, 10:21:18 AM
April 16, 2013, 10:18:59 AM
I'm considering writing up my idea for it, but I wanted to see if anyone would be interested other than as a fun joke. (:
April 16, 2013, 10:14:08 AM
How would you do it without a central authority?
April 16, 2013, 10:11:44 AM
Well, the difference would be that the monetary policy rule would be automatic and implemented in a decentralized way. So there's no central authority setting the supply.
April 16, 2013, 10:11:17 AM
The difficulty is that it would need to introduce a trust in a party to provide the price. No one has really found a way to get around that.
April 16, 2013, 10:07:06 AM
I expected to find that some of the alternative crypto-currencies would address the issues with price volatility that come from a fixed supply, but I haven't found any.
LMAO
sorry...
But you mean...a USD clone?
Just would not be any different than USD, an in fact, as I know it, the whole point of a crypto-currency is how hard it is to make... thus sorta inflation-proof as a function of supply.
April 16, 2013, 09:51:37 AM
I expected to find that some of the alternative crypto-currencies would address the issues with price volatility that come from a fixed supply, but I haven't found any.
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