Topic: So what happens to lost bit coins? - page 2. (Read 2199 times)
Didn't consider that part - if we have no real way of knowing, then the effect should be negligible.
If its not only possible, but pretty easy to lose your wallet info
Then again, note that it's much easier to backup bitcoins and keep them safe & secure, than to safely store or backup fiat money or bars of gold.Quote
Which would mean value should sky rocket?
Only if we would *know* which coins are lost. 
If its not only possible, but pretty easy to lose your wallet info - a bunch of people have lost their wallet info by now.
What happens with that currency? If its gone forever, then the bit coin pool would be constantly lowering, regardless of how low a rate, right? Which would mean value should sky rocket?
What happens with that currency? If its gone forever, then the bit coin pool would be constantly lowering, regardless of how low a rate, right? Which would mean value should sky rocket?
Lost coins are like gold on the bottom of the sea. A very deep one..... like a black hole.
Actually that analogy is not true, since the bitcoin protocol is based on consensus. If society at some points determines that all coins which are not spend within 100 years should be recovered then they can just fix the source code of the validation nodes to accept an unsigned spend. Question is why would they do that
And you're right. Lost coins add to the deflation rate. It's like someone horting all those coins with the intent to never spend them.
Yes, coins can be lost permanently. At some point, probably many years from now, the losses will exceed the decreasing subsidy. That means that in the long run, the value of the remaining BTC will increase, but it will be gradual.
Keep in mind that the subsidy makes the currency very inflationary right now.
Keep in mind that the subsidy makes the currency very inflationary right now.
If coins are lost the value of each coin will go up, yes. I think much less coins will be lost than you think - people can lose a few bits here and there but are more careful with large sums, and backing up the wallet is easy. Which means the effect on the economy should also be fairly small.
If its not only possible, but pretty easy to lose your wallet info - a bunch of people have lost their wallet info by now.
What happens with that currency? If its gone forever, then the bit coin pool would be constantly lowering, regardless of how low a rate, right? Which would mean value should sky rocket?
What happens with that currency? If its gone forever, then the bit coin pool would be constantly lowering, regardless of how low a rate, right? Which would mean value should sky rocket?
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