Quote:
Originally Posted by Ixiterra
Except the market could be "magically" flooded with bitcoins whenever someone with a lot of them so chooses. It is not different at all. Except that instead of putting faith in government, you're putting faith in the incognito designer who hasn't made an appearance in 2 years. I thought bitcoin was supposed to get away from an entity controlling the money supply, but it epically fails at that. And it is patently obvious to anyone who goes a little more in-depth than the wiki.
Okay "magic" isn't so well defined. In both Bitcoin and the dollar there is a procedure for getting new units. The differences that make Bitcoin's rule better imo are:
No reference to anyone, no one is preferred.
Strictly limited and known total number of units.
Yes, some people have more power to flood the market. Whenever they do this they relinquish their power in proportion to their effect. This is not true of the FED. Early bitcoiners have only a finite influence and they have incentive to conserve it. On top of that they happen to be pretty much exclusively people who have high expectations for bitcoin and want it to work well.