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Topic: The Importance of Inflation in USD (Read 214 times)

sr. member
Activity: 602
Merit: 250
HEX: Longer pays better
December 04, 2020, 11:18:35 AM
#20
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.
I dont agree with this. Do you say that Bitcoin increases year by year? Have you seen Bitcoin since 2017 -> 2019? Since the Halving, its price has been drastically manipulated, and for three consecutive years Bitcoin's price has not been able to return to the ATH peak in 2017.
Even though Bitcoin has no inflation, it is still an asset, with no certainty that it will grow with each passing year. If the world had a better invention than Bitcoin and was more convenient than Bitcoin, maybe the price of Bitcoin would crash because there was no DEMAND to hold it. The problem here still revolves around Supply and Demand!
member
Activity: 182
Merit: 10
December 03, 2020, 12:20:47 AM
#19
Then again, I don't figure expansion will be essential to USD yet it tends to be utilized to see how to handle it regarding the examination and get the answer for lift the economy or the cash of that territory of being expanded. Swelling isn't generally useful for a nation since it makes the cash useless and the resident will endure as the cost of goes will increment.
legendary
Activity: 3010
Merit: 1156
Leading Crypto Sports Betting & Casino Platform
December 02, 2019, 11:56:04 PM
#18
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.

Bitcoin has no inflation? LOL...

Well technically it has a fixed supply, at least that's how i am counting future value propositions for bitcoin, not by circulating supply. I don't obviously mean near future by this, for that i am using stock to flow model.
legendary
Activity: 1652
Merit: 1007
December 02, 2019, 11:40:33 PM
#17
Here's what we do know. Bitcoin's inflation is fixed, meaning as long as the network keeps chugging along, BTC rewards are given to the miners which are new bitcoins out of thin air. However, it is reduced on a fixed schedule at every halving. Lost BTC access is a different matter.
legendary
Activity: 2730
Merit: 1288
December 02, 2019, 11:52:56 AM
#16
I think many people in crypto are only considering the inflation of a crypto compared to itself but I think what is more important is the inflation of a specific crypto in US dollars because everything is ultimately priced in US dollars. Bitcoin's daily inflation in US dollars for example is over 12 million dollars a day now. But when it comes to Litecoin, this number goes to almost only half a million dollars! That's 24x less every day! I've made the following chart for example which shows the numbers for BTC, LTC, DOGE and SWIFT. Keep in mind that SwiftCash aka $SWIFT has a very small community and not even closely as big as something like BTC, LTC or DOGE but it's one of my favourites. Haters gonna hate!

I made this table 5 days ago but it's pretty much the same today so I didn't change it! Let me know what you think below. Do you think the daily inflation in USD matters more than the inflation of the crypto itself? Or do you think it doesn't matter? Explain your thoughts! If anyone can change my mind about the importance of inflation in USD, I'll give them 10,000 $SWIFT lol



You need to be clear you are talking about emission inflation. It is much different then price inflation.
hero member
Activity: 1568
Merit: 511
December 01, 2019, 10:49:37 AM
#15
It's straightfoward
Inflation in Fiat give them a "reasonable" reason to print more fiat to offset inflation

Somehow it is needed for the sake of economic controlling
We often heard terms like dovish or hawkish
Inflation/Quantitative Easing/Fiat printing is all the policies/tools to gauge the value of fiat
member
Activity: 172
Merit: 17
December 01, 2019, 06:50:08 AM
#14
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.

Bitcoin has no inflation? LOL...
Yes, it only get deflated.Because when someone keeps bitcoin in a wallet and lost their private keys means it will be considered to be burned bitcoins which influence the price of existing bitcoins.

You sir have no idea what you're talking about loollll
full member
Activity: 1498
Merit: 146
December 01, 2019, 06:12:05 AM
#13
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.

Bitcoin has no inflation? LOL...
Yes, it only get deflated.Because when someone keeps bitcoin in a wallet and lost their private keys means it will be considered to be burned bitcoins which influence the price of existing bitcoins.
legendary
Activity: 1652
Merit: 1007
December 01, 2019, 02:45:11 AM
#12
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.

Bitcoin has no inflation? LOL...

I think he mistakenly understood inflation as an economic function where there is an increase in the price of goods. He doesn't understand that fiat inflation is the increase in supply of fiat which is also the same with Bitcoin increasing its supply through miner rewards.
full member
Activity: 428
Merit: 172
chenille!
November 30, 2019, 05:58:40 PM
#11
Crypto has a lot of advantages if you compare them with a regular currency. I hope that the future of crypto is bright and would have a lot of opportunities. We need to achieve the next step to near the mass adoption and then everything would go well.
But be aware: not all crypto is identical. Different coins have different characteristics and when we do our research, it is important to sort out bad crypto projects - I'm not talking about scams (what we should sort out, too  Wink). But I'm talking about bad crypto, especially centralized coins, where the team has too much power. Such like XRP, EOS, or TRON are not decentralized like Bitcoin. Some people consider shitcoins like fiat-based stablecoins as crypto but in fact it's not really crypto, it's just a digital asset. And also inflation is an aspect but not so important like decentralisation.

DOGE is also nice and about DOGE's inflation: inflation will not be a problem, it will go down over time because new circulation supply will increase compared to new issued coins.
member
Activity: 172
Merit: 17
November 30, 2019, 05:07:06 PM
#10
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.

Bitcoin has no inflation? LOL...
sr. member
Activity: 2366
Merit: 332
November 30, 2019, 04:37:27 PM
#9
On the other hand, I don't think inflation will be important to USD but it can be used to understand how to tackle it in terms of analysis and getting the solution to lift the economy or the currency off that area of being inflated. Inflation is not really good for a country because it makes the currency worthless and the citizen will suffer as price of goes will increase.
full member
Activity: 1498
Merit: 146
November 30, 2019, 12:47:04 PM
#8
Bitcoin has no inflation then how did you calculate inflation per day for every crypto?

Inflation is not really good because if we are holding money on our hand then the value of them will lose this is a reason why crypto price increases year by year but this is not the ultimate reason.

Only inflation will be good if you have loan to be paid.
copper member
Activity: 490
Merit: 2
November 30, 2019, 12:05:03 PM
#7
Crypto has a lot of advantages if you compare them with a regular currency. I hope that the future of crypto is bright and would have a lot of opportunities. We need to achieve the next step to near the mass adoption and then everything would go well.
legendary
Activity: 1820
Merit: 1092
~Full-Time Minter since 2016~
November 30, 2019, 11:33:30 AM
#6
I think many people in crypto are only considering the inflation of a crypto compared to itself but I think what is more important is the inflation of a specific crypto in US dollars because everything is ultimately priced in US dollars. Bitcoin's daily inflation in US dollars for example is over 12 million dollars a day now. But when it comes to Litecoin, this number goes to almost only half a million dollars! That's 24x less every day! I've made the following chart for example which shows the numbers for BTC, LTC, DOGE and SWIFT. Keep in mind that SwiftCash aka $SWIFT has a very small community and not even closely as big as something like BTC, LTC or DOGE but it's one of my favourites. Haters gonna hate!

I made this table 5 days ago but it's pretty much the same today so I didn't change it! Let me know what you think below. Do you think the daily inflation in USD matters more than the inflation of the crypto itself? Or do you think it doesn't matter? Explain your thoughts! If anyone can change my mind about the importance of inflation in USD, I'll give them 10,000 $SWIFT lol



this is a good way of thinking about it i believe, nice idea man Smiley  traders should consider your words
Inflation is major part of crypto prices yupp, as it shows market support when a coin can rise even through massive inflation of millions of dollars in USD a day
i was talking to someone last week about this and ETH.  currently theres like 3+ million USD a day in ETH mined, but prices is stable mostly, what will happen with no more mining? Cheesy
Exactly. prices are gonna moon, as the support will stay but inflation will end :O
sr. member
Activity: 1526
Merit: 251
November 30, 2019, 10:04:27 AM
#5
I don’t really get what you meant.
But i get the question “which is more important, the inflation of USD or Crypto?” Rigth?
The thing is, as long as the price of crypto isn’t rushing down or having a high inflation, then there’s no much problem and even though the inflation of usd is rising or maybe sinking, there won’t be much effect in crypto perspective. Because inflation of usd will not only effect crypto, but all of economic’s elements.
Different from usd, crypto’s inflation won’t effect anything except its ownself.

So here’s a little complicated thoughts about these inflation things.
USD Inflation effects economic’s element.
Crypto inflation effects only crypto’s element.
That’s my point of view.
newbie
Activity: 10
Merit: 0
November 30, 2019, 05:03:24 AM
#4
Inflation is an economic condition where prices generally increase over a long period of time. Temporary price increases such as price increases during Eid are not considered inflation, because immediately after Eid, prices can go down again.
I think many people in crypto only consider inflation from crypto compared to themselves but I think what is more important is inflation from certain crypto in US dollars because everything is finally valued in US dollars.
member
Activity: 172
Merit: 17
November 29, 2019, 05:48:58 PM
#3
Why don't you add IOTA to the comparison as well then? That one has zero inflation.

Inflation isn't the factor that determine's a coin's value or popularity. Otherwise, deflationary coins would be currently experiencing the highest growth in terms of price, at least. What matters more so than supply is the demand, which is shaped by the fundamentals of each coin.

Also, it's an unfair comparison to make to take things out of proportion without mentioning market caps. Large market cap coins obviously are more prone to nominal inflation in USD terms.

Because I don't know anything about IOTA. How was the initial supply? If you premine everything into your own pocket, with zero inflation, that's not really something I'd be interested in investing in. And how do deflationary coins exactly incentivise those who protect and secure the network? A healthy economy needs inflation to function. And regardless of marketcap, my point still stands. You need a minimum of 12 million USD per day to hold the price of Bitcoin but with Litecoin, you only need about half a million USD per day to hold the price.
sr. member
Activity: 504
Merit: 250
November 29, 2019, 05:41:22 PM
#2
Why don't you add IOTA to the comparison as well then? That one has zero inflation.

Inflation isn't the factor that determine's a coin's value or popularity. Otherwise, deflationary coins would be currently experiencing the highest growth in terms of price, at least. What matters more so than supply is the demand, which is shaped by the fundamentals of each coin.

Also, it's an unfair comparison to make to take things out of proportion without mentioning market caps. Large market cap coins obviously are more prone to nominal inflation in USD terms.
member
Activity: 172
Merit: 17
November 29, 2019, 05:36:36 PM
#1
I think many people in crypto are only considering the inflation of a crypto compared to itself but I think what is more important is the inflation of a specific crypto in US dollars because everything is ultimately priced in US dollars. Bitcoin's daily inflation in US dollars for example is over 12 million dollars a day now. But when it comes to Litecoin, this number goes to almost only half a million dollars! That's 24x less every day! I've made the following chart for example which shows the numbers for BTC, LTC, DOGE and SWIFT. Keep in mind that SwiftCash aka $SWIFT has a very small community and not even closely as big as something like BTC, LTC or DOGE but it's one of my favourites. Haters gonna hate!

I made this table 5 days ago but it's pretty much the same today so I didn't change it! Let me know what you think below. Do you think the daily inflation in USD matters more than the inflation of the crypto itself? Or do you think it doesn't matter? Explain your thoughts! If anyone can change my mind about the importance of inflation in USD, I'll give them 10,000 $SWIFT lol

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