Hey everyone,
I want to spark a conversation about Bitcoin’s future, specifically focusing on its monetary policy and the ongoing halving events.
The Current Situation: Bitcoin halvings have historically been seen as events that drive up token prices and generate hype. However, as we’ve observed with other blockchain networks, reducing issuance doesn’t necessarily lead to a price increase. It largely depends on how tokens are distributed and perceived in the market.
The Proposal: Let’s consider making one final adjustment to Bitcoin’s protocol before leaving it as is—a stable issuance model that supports long-term network security. This means having 1 final last halving event, where we then after forever leave it at that value, lets say 21 million Satoshi’s instead times ten is 2.1 bitcoin. We’re effectively saying bitcoins are valuable to mine, there is an intrinsic reward for that. And no we won’t have a runaway inflation problem, on the contrary, the current inflation number will continue to go down, just at a much more slower rate, since the newly issued bitcoins become more and more meaningless as the pile of existing bitcoins slowly grows in size. Stop the halvings. Agree on a fixed value instead. That’d restore my faith in the project its long term survivability.
Why This Change?
- Network Security: Ensures a stable incentive for miners, reducing reliance on variable transaction fees and maintaining robust network security.
- Sustainability: Supports the network’s health in the long term, avoiding potential security issues as block rewards diminish.
- Digital Gold Concept: Bitcoin can continue to serve as “digital gold,” a store of value that doesn’t need high transaction throughput.
Bitcoin and Ethereum Coexistence: Bitcoin can be viewed as the original NFT, an independent chain that embodies digital scarcity. Meanwhile, Ethereum, or “digital oil,” has solved the scaling issues and can complement Bitcoin’s role by enabling more dynamic applications.
Let’s discuss whether this change could enhance Bitcoin’s long-term viability and how it fits into the broader crypto ecosystem. I’m eager to hear your thoughts and explore this idea together!
submitted by /u/Atyzzze
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